Personal Finance and Money Stack Exchange
Personal Finance and Money Stack Exchange

Questions tagged [interest-rate]

a generic tag for question on rate of interest applicable. Ideally should be accompanied by geography tag and other specific subject tags

574 questions
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14 answers

Should I finance a new home theater at 0% even though I have the cash for it?

My wife and I are considering buying a home theater - plasma TV & new stereo - on Black Friday this year. We do have the cash for it, but Best Buy is offering 0% financing for up to 3 years on its store credit card. We both have excellent credit…
gabeanderson
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12 answers

What should I do with $4,000 cash and High Interest Debt?

I'm receiving a $4,000 gift. I'm going to put $1,000 in an account. Next - with this gift I can pay off a credit card with a 23% APR or I can make a 15% dent in a 26% APR credit card. Do I pay off the 23% or make the dent in the 26%? Considering…
Patti Reiss
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61
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3 answers

How can I invest in country A to take advantage of their great interest rate while I live in country B?

If I live in the US, for example, where current interest rates are practically nil, how can I take advantage of the fact that interest rates in Australia are almost 5%?
Michael Pryor
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48
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10 answers

I have 9,000 cash. What debt should I pay first?

I have 9,000 cash right now and I want to use it to pay some debt. It won't cover all, but I want to spend it on the best way possible. These are my current debts: Loan balance 3,867.35 - 23.55% interest rate 9/48 payments @ 145.59 / month Loan…
aGuy007
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40
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10 answers

How to rescue my money from negative interest?

My bank has announced negative interest rates starting Q1 2016. I have CHF 250'000 in that savings account (Swiss Francs). Now, pretty much all other banks will probably follow suit soon, if they haven't already. Also, government bonds yield…
Quandary
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34
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7 answers

Can I lend a small amount of my own money to a bank at the federal funds rate?

I have a dollar that I won't be needing tonight, and I hear that banks are in the market for short-term loans. In fact, the present Fed funds rate is higher than the interest rate on any savings account I can find. Is it possible for me to lend at…
Display Name
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31
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5 answers

Preapproved for mortgage loan but won't tell me interest rates

First Time Home Buyer/Shopper Spent about 30 minutes on the phone with Quicken Loans (Rocket Mortgage). I provided all of the expected information when running a credit check and painting a financial picture. After the person over the phone let me…
8protons
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29
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8 answers

What stops you from using fixed income in developing countries?

I was recently visiting a developing country and noticed that their interest rates are very high — ~15% with government bonds promising ~13% annually. I was just thinking, if the bid ask spread for that currency with the USD is B/A respectively,…
AspiringMat
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28
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2 answers

What does "Yield Curve" mean?

In the financial news we often read about the Yield Curve. What exactly is it?
JTP - Apologise to Monica
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25
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7 answers

Should I pay for a computer up-front or on finance?

This reads a bit like a home-work question, but this is actually my situation. The job I've taken is a BYOD (bring your own device), workplace and I prefer to use my own equipment. I've just started a new job and need to buy a new laptop within the…
user67312
23
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7 answers

Why are interest rates on saving accounts so low in USA and Europe?

For example, in USA interest rates are 1-2% percents, while in Russia it is normal to have up to 8% anually for US dollars account. Same goes for Euro. For Russian ruble it can be up to 12%, but with 10% annual inflation it is the same effectively.…
Andrey
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20
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4 answers

Does "monthly interest of 1.5% AER" mean that I will get a 1.5% interest every month?

I'll soon be 16 and I'm comparing a few high interest savings / current accounts and this one from Santander UK looks too good to be true, so I think I'm not understanding it right. Santander 1-2-3 current account says that I get Monthly interest of…
Miss Understood
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20
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3 answers

Are banks really making less profit when interest rates are low?

I've read this claim many times in the news: banks are making less profit from the lending business when interest rates are historically low. Isn't this a bogus claim? Let me clarify: To loan money out, the bank either needs to accept deposits from…
lopta88
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4 answers

Why would anyone buy a government bond?

In my country, the interest rates on government bonds are currently 2 - 3%, but I have money in a term deposit at the bank which earns 4% interest. I don't understand how this can be possible. Why are there any buyers of government bonds, either…
Flounderer
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20
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3 answers

Should I pay off zero interest debt early?

My cash reserves are around $11k, including an emergency fund of about a month and a half, and I budget rigorously. The only debt I have is $7k at zero interest, paid at $300/month, and it's from a family member who would almost certainly defer…
Paul
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