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Charging some percentage on the debt (interest) is in fact just compensation for the time value of money, risk, and reasonable expenses incurred while pursuing
by fennecfoxen 12y ago
Charging some percentage on the debt (interest) is in fact just compensation for the time value of money, risk, and reasonable expenses incurred while pursuing the judgement. Money isn't free for lenders, either -- until their borrowed money is returned, they're incurring recurring costs.
It's only a rip-off when they're empowered to charge interest in excess of that.
- shmerl 12y agoIn practice it's a rip off when people aren't able to pay off the debt, because lending entities simply constantly parasitically profit from that debt.
- commandar 12y ago>It's only a rip-off when they're empowered to charge interest in excess of that. Which is what actually happens in reality.