OT: Question for anyone who knows anything about banking

[heatohio]

To all the nerds that actually studied everything about banking. (I guess I've been to busy having an actual life) If I was wrong in my explaination then it was the banks fuck up, not mine. I've always had a checking account and been happy with that. It is not my fault that I was too busy with real issues to learn about a CD. Sorry to get your pocket protectors in a ruffle.

 

[Aceking]

why don't you wait 1 year and see how much is the interest ?

banks are not idiots.

 

[Woody0]

I'm going by what my bank told me you fucking ass. I guess your name says it all you are a lifetime loser. I specificaly asked asked about them about CDs. They told me that they had a 6 month CD at 4.61% paid monthly. I asked if that meant that you get 4.61% each month or if that was divided by year of 6 months. They told me it was each month. I did the math and compounded each month equals over $300 for a 6 month CD. Are you telling me that you would only get $40 for every 1000 for 6 months? I'm not sure how I'm the idiot when the banker told me this. I'm going to check once again today and get back to you fuckers. You can play your online video games while you wait for my response later you bunch of losers.

Wow, I wouldn't want a mortgage from your bank!

Who do they make loans to, drug smugglers?

 

[heatohio]

Wow, I wouldn't want a mortgage from your bank!

Who do they make loans to, drug smugglers?

No, not drug smugglers. The US government does not need loans from my bank.

 

[mrd694]

okay thanks heatohio looking for an update, but why would anyone leave $1000 for 6months just to get back $40 is crazy

 

[buddyboy]

4.61% is your YEARLY interest.

.0461 X $1000 = $46.10 per YEAR

now if you buy a six month CD that pays monthly....

take the $46.10 and divide that by 365.. that is what you earn per DAY

12.63 cents X 30 days = $3.79 per month...

so at the end of the first month your balance would be $1003.79

use that number to calculate how much you will earn in month two.. and so on.

to simplify... this cd will earn you about 23 bucks

 

[buddyboy]

to answer your question as to why in the world would someone do this?

you need to have your money 'working' for you at all times. cds, mma's and savings accts are the safest places to park money. although they don't earn a lot they do hold the value of your money.

remember this... your money looses value every day.

today is Friday, take a $100 bill and leave it in your wallet. don't spend it. next friday look at that $100 bill... guess what? because of inflation your $100 bill is now worth almost 6 cents less. if you would have put that $100 in a savings account you would be about even with inflation.