Letter Re: Paying Off Debts with Inflated Dollars?
JWR, I understand when you say that hyperinflation will make the price of things go up and up, like a ten dollar or hundred dollar loaf of bread. But what happens to a financed item, specifically the home [that is] mortgaged? Can the lender change the interest rate or the length of loan? What about other financed items like a car loan? If nothing changes then a person would be paying back the loan with inflated dollars, which might be a good thing? Please explain. Thank You, – RenoFlyBoy JWR Replies: To begin: You had asked: ” Can the lender …