Front-loaded loans: bad for borrowers?

Flickr photo by MC Quinn.

It is often said that the interest on home mortgages is "front-end loaded," implying that the way lenders charge interest is both unfair and self-serving -- possibly even sinister. The following statement is typical.

"Did you know that on your typical 30-year mortgage, it takes approximately 21 years just to pay down less than half of the principal of your loan?

The mortgage industry's big secret has been kept away from the public since the Roosevelt administration.

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