Interest is evil
Interest is evil, why do I say this? The majority of the worlds banking systems are built around interest to make money and is debt based, meaning that the tactics used to gain money is by putting you in debt. It does not have any moral standing and is solely based around making money and does not take into account the human element of the transaction and what is fair and what isn’t fair. Interest is a way of making money from nothing, from thin air, without having to buy or sell assets. The process of interest, is to use what money is already there and to try and increase it’s worth by lending that money to someone and putting them in debt and charging the person for the use of this money.
A very simple example of this is that if a bank lent you $10,000 known as the principal amount, and if their rate of interest was 5% over a period of 3 years the amount of interest can be calculated as follows: $10,000 x 0.5 x 3 = $1,500 would be the total interest charged for borrowing, as well as repaying back the principal amount of $10,000 giving a total repaid of $11,500. This is known as simple interest.
This can be further complicated if the money borrowed over a certain period of time is subject to compound interest, where the amount to repay is calculated on the principal amount and all interest accumulated during the past. Using the original example of $10,000 as the principal amount to be repaid at 5% interest rate using compound interest is as follows:
Year 1: $10,000 x 0.5 x 1 = $500
Year 2: ($10,000 +$ 500) x 0.5 x 1 = $525
Year 3: ($10,500 + $525) x 0.5 x 1 = $551.25
Total interest earned over the three years is $1,576.25. Compare this to $1,500 earned over the same period using simple interest. This is all earned by the bank for doing nothing but charge you for lending you money. The whole principle of making money is based around debt.
Debt can lead to poverty if you cannot repay the amount within a given time period, then you will have your belongings repossessed to pay for the outstanding debt. Debt suppresses people, because they are always under the constant threat of repossession if they cannot keep up their repayments. Interest feeds on the weak, poor and vulnerable people, because they have no money and they need to borrow money to live or survive.
Interest favors the rich over the poor, because if the poor had the money then they would not need to borrow anything. This imbalance perpetuates the poor to remain poor and vulnerable because they are in debt, while making the rich richer without having to actually spend the money that they have.
Interest is a way of preserving the money that the rich already have by using this money to generate additional money by charging people to use it without any underlying assets to trade. Interest does not promote the significance of human beings in the whole transaction, but treats them as arbitrary parts of the process to gain money. The whole interest process creates an injustice by favoring rich people and victimizing the poor. This injustice is evil and immoral and leads to an unfair and unjust society.
It is imperative that you stay away from interest in all shapes and forms all together because if you participate in the interest system then you are helping to perpetuate the injustice and immorality in the world by taking part in subduing people to debt and potential poverty.
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