LOW INTEREST: SOMETHING IS BETTER THAN NOTHING RIGHT?
Interest rates are low enough now that they are lulling me to sleep. As my CD’s mature from last year, I look online to see what I can get now in interest for the money. Last year I was getting somewhere between 1% and 2% and right now I can’t get anything near that.
After doing the math, when rates get down to where they are now, the incentive to take the trouble to actually leave my house and go to the bank and open up a new CD is almost nonexistant for me. Likewise it is almost not worth my time to pick up the phone or go online to open up new accounts either.
So, I find myself sitting here wondering when will interest rates go up and doing nothing other than letting my money sit there everyday earning nothing. This post is kind of a pep talk for me because even though rates are low, something is better than nothing.
If I don’t want to lock up my money for a year in hopes rates go up, then I should have it in a money market. Again money market interest rates aren’t any better but they do give me liquidity and something that is risk free. Something is better than nothing right?
It really upsets me that you never seem to hear anything in the news about how these low interest rates hurt people. I know many people are in debt but what about those of us that aren’t? What about seniors who have all their money in cash equivalents and are making next to nothing? How are they going to survive? Nobody seems to care and it gets no publicity at all. It’s too bad that we are a nation of debtors instead of a nation of savers.
