Remember when a 6month CD paid 15.7% Interest.

Discussion in 'Economics' started by KINGOFSHORTS, Jan 8, 2009.

  1. I wonder when those days will return? in 3 years maybe. Back in 1980 you could get a 15.70% 6 month certificate of deposit from banks.

    Minimum 10K deposit but 15.7%
  2. Bought my first CD in the mid-80's at 10%. That was the day I knew I'd be a finance major. There's nothing like learning the time value of money as a kid. One of the first things I'll do when my kids get older is teach them about money and credit. Of course they will get the version they don't teach in schools. I doubt we'll get back to the 15% area anytime soon. I think we'll be more like Japan and have decades and decades of rediculously low interest rates and the economy will just sputter along while Americans deleverage. Money and credit will never be the same but I suspect they said that back in 1929.
  3. tradersboredom

    tradersboredom Guest

    historically interes rates on cd is 1- 4.5%.

    those are short term CD only if it paid 15%

    and very few people would borrow money at 15%


  4. hehe, covered call writers will make out like a bandit if the markets stay flat. Collecting those dividends and call premiums.

    With the amount of money being dumped Who knows what will happen, Yields on treasuries are stupid right now. Government mattresses basically.