A Little Inflation Isn't All Bad:

[Joinfortmill]

You may receive the first interest payment in years in your savings account for the holidays. Just saying.

[Ocelot II]

1. If you're retired and living on income from things that draw interest -

CDs and money market funds, for example - it would be nice to see a little more of that. I once had a CD that paid 10%.

[demosincebirth]

3. They're paying near zero now

[Ocelot II]

4. Tell me about it.

[North Shore Chicago]

5. Was that interest rate back in the 80's?

Held CD's that paid 13% back then. It was great being a saver, not so much for interest rates on borrowed money, in the teens.

[Ocelot II]

6. Yup. Long time ago.

OTOH, mortgage interest was terribly high - I remember a guy talking about buying a new house and he was actually happy to get a 13% mortgage.

[WA-03 Democrat]

8. My folks had a mortgage at 16% in 78 I know people with 18%

Makes that real estate in the non-coast area go up for sure

[rickyhall]

2. It would take a lot to offset increase in grocery bills.

Haven't seen heating bills yet either.

[Haggard Celine]

7. When I was in high school in the 80s, I had a savings account

for my earnings from my little job. My parents still paid all of my expenses, so the money added up pretty quickly, even though I only made about $3.35 per hour. I think the interest I earned on that account was 5%. I thought back then that the 5% interest was the natural order of things, that I would be able to count on that if I saved my money. I've wished many times that we could make that interest on our accounts today instead of having to invest in much riskier ways to make our money work for us. The stock market, for example, pays a lot more than 5% in the long run, but its success isn't guaranteed.

[Tomconroy]

10. The stock market in the long term has proven to be more

Volatile but less risky than many investments.

[Joinfortmill]

12. Agree.

[Shermann]

9. Fixed-rate mortgage holders are the big winners nt

[Tomconroy]

11. My parents had a 30 year fixed at I think 4 percent taken out

In 1955. They paid it off 30 years later in the mid 80s. They were big winners.
Inflation is the friend of debtors.

[roamer65]

13. Rates aren't going to go up much.

The Federal Reserve isn’t taking the punchbowl away just quite yet.

Plus higher rates on $29T will cause a massive fiscal crisis for the government.