It's my understanding that the interest rate my bank gives me on my savings is tied to the prime rate established by the Fed. If the Fed established a negative prime rate, would my bank pay me a negative rate of interest on my savings? Dose that mean that I would, in effect, be paying my bank to hold my money? Would I do that? Would anyone do that?
When and if my bank starts charging me interest to hold my savings, my hard earned cash will fit nicely under my mattress. I ain't no Bonehead, after all.
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