Posts Tagged 'loan'

Feudalism in 21st Century

There are many similarities between the modern society and feudalism. Simply susbstitute kings and dukes with banks and you will get a pretty medieval picture.

In the bad old days the simple people would have to work for all their lives for a master who would provide them with land and a house to live in. In exchange the peasants would give a large portion of their income to the landlord.

Do you see the similarities? The bank loans you money to buy a house, a house that you litterally have to work all your life to repay.

Of course you own the house. That’s something, right ? Well, not really. That simply means that you also get to pay all the corresponding taxes and accept all the risks involved. If  your house gets demolished, you still owe the bank the money, and you have no house. And keep in mind that after 30 years, when the mortgage will be paid (in triple at least) the house will be old and not of much value. Your children will still need a new house.

Am i missing something here ?