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That's why there should be no banks, only money market funds. Every deposit is an investment decision. You may as well reap the rewards if you take all the risk
by pishpash 6y ago
That's why there should be no banks, only money market funds. Every deposit is an investment decision. You may as well reap the rewards if you take all the risks of lending and cut out the middleman.
I've been using a brokerage account for banking for years.
- nly 6y agoTaking those risks has trade offs most people aren't prepared to make. The online P2P lending boom here in the UK from financial crisis onward gave people this opportunity. The end result, 10+ years in, has been subdued returns (relative to e.g. stocks) and crippling illiquidity, as you are exposed to all those late payments, defaults, and have no access to a functional secondary market. Honestly you're lucky if you can get most people to even use a separate savings account. I know many people who keep 100% of their savings in their current (checking) account.