“the point is that modern finance is very complicated”
Not really. Maybe it’s in the banks’ and insurance companies’ interests to make it seem complicated. But the essence is, you borrow money, you pay interest. If you pay interest, you’ve less to spend on other stuff. So you borrow to pay for the other stuff. On which you pay interest.....
My daughter and s-i-l have just read Scott Pape’s The Barefoot Investor book. He’s not a lover of banks either, and has some great ideas about saving money, living well and not borrowing. Of course, if everyone cut up their credit cards and started living responsibly the economy would collapse.
