>>82249985 (OP)
>I thought debt consolidation was like a bank "pays off" your outstanding debts and then compiles that into a new singular loan that you pay off, i didnt know they just give you a loan and then you go and pay the debts yourself individually.
Those are basically the same. It's just that it requires you to send the money where it needs to go.
>Whats the point of this gay ass credit system,
So that poor minorities can get loans.
>whats it even based on i figured banks can file and see all your outstanding debts or some shit is it really all decentrallized and not understood in any way whatsoever
Banks can see your outstanding debt through your credit report. It is partially decentralized since you can owe money to almost anybody, but it is centralized because it's reported through the credit agencies. It is understood.
>yet is still the basis of almost all modern economics?
Credit reporting and consumer debt are not the basis of modern economics. Depending on the context that would probably be one of fiat currency, modern monetary theory, or fractional reserve banking.
