I finally got to the point where I pay no interest and now they pay me over 4% on super savers. A series 1 Ebond pays 9% on a minimum 5G 5 year bond, just checked it! That was a day you had to be there!
English comedian described receiving an overdrawn account notice from his bank that demanded immediate payment. His reply letter: I don’t think that’s fair. After all, you’ve had a good deal more use of my money than I have had of yours. Your truly,
And thanks to fractional reserve banking, they can lend out many times more money than they hold in investments. All other people’s money, and they get all the profit, without ever contributing anything themselves.
Whose fault is it that students borrow thousands to go to college? Isn’t it the government, the banks, the schools, the students and their parents? It’s the same system we’ve been living in for decades. Remember the housing crisis? Borrow, borrow, borrow. Every poor Joe Blow can own a house. You don’t even have to ask for a credit card these days. The banks send every Tom, Dick and Harry a form that says sign here and voila, instant buying power. And don’t even get me started on the national debt. I was taught never to borrow. The only debt we ever carried was a mortgage and we made double payments once we could afford it. Now we are well off, travel where we want to, help our grandchildren financially and teach them to stay out of debt.
I bought my first house right after Reagan’s ‘great recession’, and felt fortunate to get a mortgage at 15%. Credit cards were well over 20%, and we half jokingly called them juice loans’. As rates came down I refinanced, managed to get off the credit card juice paying off my balance in full every month. By the time my son went to college student loans were at 6% while his college fund was earning 11%. That was good reason to take the loans. I got lucky. When the student loans were paid off there was funds enough for a down payment on his house. Since then tuitions have skyrocketed, likely due to the easy funding of loans, and many are in trouble now. There is no easy answer, it takes effort and knowledge to mange finances and even that doesn’t always work. It must be recognized that those lending money are in the business of making money, not out of the kindness of their heart.
What you have there is a summation, if apparently not an understanding, of the basic model of banking: they always charge more to lend it out, than they pay for the use of the money. Heck, there’s nothing saying they actually have to pay you interest on deposits – at various times and places, that interest rate has gone to zero, or even negative. As in, YOU pay THEM to store your money. Ahhh, banks, gotta love ‘em – at least, if you’re a shareholder.
ꜝ about 2 months ago
sell the investments and pay off the loans
pschearer Premium Member about 2 months ago
The banking equivalent of “buy low, sell high”.
The dude from FL Premium Member about 2 months ago
I finally got to the point where I pay no interest and now they pay me over 4% on super savers. A series 1 Ebond pays 9% on a minimum 5G 5 year bond, just checked it! That was a day you had to be there!
Doug K about 2 months ago
This is very interesting …
Doug K about 2 months ago
I think the interest you pay me on my investments should also be 9%.
“What we’ve got here is failure to come to my rate.”
P51Strega about 2 months ago
“I can save you some time, and just say ‘no’, or, if you insist, I can check into it.”
krs27 about 2 months ago
What we have here is a failure to communicate!
sandpiper about 2 months ago
English comedian described receiving an overdrawn account notice from his bank that demanded immediate payment. His reply letter: I don’t think that’s fair. After all, you’ve had a good deal more use of my money than I have had of yours. Your truly,
uniquename about 2 months ago
What we have here is the house always wins.
constantine48 about 2 months ago
And thanks to fractional reserve banking, they can lend out many times more money than they hold in investments. All other people’s money, and they get all the profit, without ever contributing anything themselves.
InTraining about 2 months ago
Interesting…!
HenryStryker about 2 months ago
And that, my friends, is why math is so important!
Dapperdan61 Premium Member about 2 months ago
I knew Banks were in the business just to make money
GojusJoe about 2 months ago
Whose fault is it that students borrow thousands to go to college? Isn’t it the government, the banks, the schools, the students and their parents? It’s the same system we’ve been living in for decades. Remember the housing crisis? Borrow, borrow, borrow. Every poor Joe Blow can own a house. You don’t even have to ask for a credit card these days. The banks send every Tom, Dick and Harry a form that says sign here and voila, instant buying power. And don’t even get me started on the national debt. I was taught never to borrow. The only debt we ever carried was a mortgage and we made double payments once we could afford it. Now we are well off, travel where we want to, help our grandchildren financially and teach them to stay out of debt.
ncorgbl about 2 months ago
I bought my first house right after Reagan’s ‘great recession’, and felt fortunate to get a mortgage at 15%. Credit cards were well over 20%, and we half jokingly called them juice loans’. As rates came down I refinanced, managed to get off the credit card juice paying off my balance in full every month. By the time my son went to college student loans were at 6% while his college fund was earning 11%. That was good reason to take the loans. I got lucky. When the student loans were paid off there was funds enough for a down payment on his house. Since then tuitions have skyrocketed, likely due to the easy funding of loans, and many are in trouble now. There is no easy answer, it takes effort and knowledge to mange finances and even that doesn’t always work. It must be recognized that those lending money are in the business of making money, not out of the kindness of their heart.
Spacetech about 2 months ago
The House Always Wins…
Frank Burns Eats Worms about 2 months ago
He’s Fed up.
mistercatworks about 2 months ago
It’s called “vigorish” and makes the banking world go round.
namelocdet about 2 months ago
Banks have become glorified “Loan Sharks”.
dpatrickryan Premium Member about 2 months ago
What you have there is a summation, if apparently not an understanding, of the basic model of banking: they always charge more to lend it out, than they pay for the use of the money. Heck, there’s nothing saying they actually have to pay you interest on deposits – at various times and places, that interest rate has gone to zero, or even negative. As in, YOU pay THEM to store your money. Ahhh, banks, gotta love ‘em – at least, if you’re a shareholder.
Strawberry King about 2 months ago
More crookedness.