Originally posted by Alternative4u
For some years the British people have had bank money removed in the way of interest on savings, about 6 years ago you could get 12% interest on your
hard earned savings, now it is just half of 1 %,
It's immoral to save money.
Those pieces of paper you use to make transactions is called "currency" for a reason.
It's supposed to "flow".
When people just put their money into the bank, it doesn't flow. That means it doesn't get to enter other people's pockets, and the economy comes
to a halt.
If everybody held on to all their cash, and nobody spent anything, then the whole financial system would collapse.
Money does no good in the bank.
The moral and right thing to do, is spend your money. So, other people have a chance to get some of it into their pockets, so that they can spend it
When money starts moving, the blood flows through the arteries of the economy, and the economy becomes healthy, being nourished by the flow of the
necessary life blood.
Because so many people have been saving up their cash, the world has reached the brink of economic collapse. To solve this problem, the interest rates
have been lowered, and lowered, again and again, to try to discourage the saving, and to get that money moving again.
It still isn't working, because people have become used to saving, and by habit, they still keep putting their cash into the bank.
So, now the banks are considering paying a negative interest rate on deposits. That's right. Soon, you'll have to pay the bank to take your money.
It's already happened with the US Treasury Bills, time and again, as people rushed to find somewhere "safe" to store their money. T-Bills actually
pay negative interest, from time to time.
We've also seen banks taking a cut out of the depositor funds to keep themselves solvent. That haircut, is a negative interest rate once again.
The trend is clear, all interest rates are going to be negative numbers in the future. People want to save their money more than the banks want to
take their money. There are too many investors today. Not enough spenders.
The people who want to spend money, don't have the cash to spend. And the people who have the cash to spend, aren't spending, they are busy
So there's a huge divide.
Money needs to move from the pockets of the savers, into the pockets of the spenders, so that it can once again flow around the economy.
That's why interest rates are so low, and are going negative.
Too much cash in the wrong hands.