What would the world be like if loans did not exist?

Well?


I believe that it'd definitely be much different. We would mostly likely be where maybe we were a decade ago probably because the advance of technology would have decreased dramatically

 

Without loans many people would not have had funding to design much of the new technology as you say, but on the other hand without them, many people would not be in such high amounts of debt.

 

There's always been loans, if there wasn't, there would have been a different way to adapt, such as everyone using payment plans, either that or housing would only be available for the wealthy.

 

If legal loans would not exist people would find other ways. Kind of like people who have bad credit get loans.....loan sharks. Mafia/Crime familys lend out money at a very high rate of interest and usually ends up it being so much they never get out. If EVERYBODY had to go through them they would not have to have such high levels of interest though.

 

People would just get loans from friends or family

 

^ Another good point. Really this is an impossible question to answer as loans would ALWAYS exist, rich familys or people looking to make money would always loan it out.

 

That's still loaning though. I think he means loaning in every shape of the word. Loans from families, banks, friends, etc.

I think that if we didn't have loans, we wouldn't have a monetary system.

 

If loaning did not exist then to me there would be no generous people to lend a hand

 

That causes alot of family problems. It's ridiculous the amount of lending money and/or anything money related, causes families and friends to digress from each other.

FROM EXPERIENCE.

 

nobody would really have anything, 99% of us wouldnt have houses, cars,..

 

A thousands words in two: economic turmoil.

 

^This

Also you have to remember how banks make money. The big investment banks are able to borrow money from the U.S. government at 0 percent interest they can then turn around and buy bonds that pay 2 or 3 percent anual interest, usually in treasuries. This way the money is just shuffled from one federal bank to another, with the banks making money off the interest... while we are paying for these debts through taxes. Smaller banks are making money off us. Most americans are in debt, and paying interest on that debt. Whither it's through mortgages, credit cards, or whatever else. Since I believe the banks control this world, I also believe the world would be a happier place without it - we would just have to find a system to replace it.