4 ms·
That’s over 12% APY. I think you’re either getting scammed or full of it.
by tanr54ok 7y ago
That’s over 12% APY. I think you’re either getting scammed or full of it.
- quaquaqua1 7y agoSorry, I should have been a lot more clear when I wrote this post last night. 1% compounded monthly is what I intended to say, as opposed to compounded continuously or yearly.
- BoiledCabbage 7y agoYou mean 1 percent annual return compounded monthly? Or 1/12th of a percent monthly return compounded monthly?
- quaquaqua1 7y ago1% APY compounded monthly, which is roughly below inflation. And it's taxed of course. Isn't your second statement the same as the first? 1200 dollar balance returns $1 per month, or $12 per year?
- BoiledCabbage 7y agoTechnically (1 + (x/12))^12 != (1 + x) In this case where x = 1% (or .01) they're so close it almost doesn't matter. For x = 10% it's a lot clearer. That said, it's also not equal to (1 + y) ^ 12, where y is whatever value is needed to have (1 + y) ^ 12 = 1 + x.