Comment by xp84
20 hours ago
But if they pay you roughly the inflation rate as interest, doesn’t that mean the use of your money is roughly free to them?
20 hours ago
But if they pay you roughly the inflation rate as interest, doesn’t that mean the use of your money is roughly free to them?
Yes, and alternatively you could invest your money in whatever they'd invest it in, and capture more of your money's value. You could even invest in risky things like stocks with your money, whereas they can't (with your money).