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Apparently I missed this news over the weekend... bloody hell.
I think up to this point I was just about paying just the interest every month
the days when we were guaranteed they would be interest free. Then they weren't.
is no real interest paid on student loans - don't sweat it!
... i have limited interest in this issue.
of inflation innit.
The amount I owe increases each month - therefore I will be paying for it for longer.
wages on average would have increased by the same proportion. If you were to put the same amount of money in a bank account where the interest was as the rate of inflation you would end up with more money over the years but the real value would remain constant.
But - the first piece advice always given for instance with credit cards is 'don't just pay the minimum payment each month'. So the system is obviously flawed when a lot of people are paying less than even the interest incurred. If the interest rises at the rate of inflation but wages don't keep up (which mine don't) the debt will never be paid. Either the repayments should be set at a higher level or at the least people should be warned before taking out the loans in the first place so they can consider the alternatives.
Except here in reality, everything increases by the rate of inflation - except salaries. Which either stagnate or increase at a nominal rate. This is generally at the point at which people strike.