So, you've probably all heard about negative interest rates.
And you've probably also heard lots of nonsense about it.
The one thing you can depend on, is that the banking system have been given time to adjust their computing systems to deal with negative numbers.
So.
How will it all work.
I have no idea.
Negative interest rates might simply be a tool between the Government and the Trading banks.
That shouldn't directly alter the way everyday people deal with their personal bank accounts.
But I wonder about this legal principle called "Consideration".
How can an agreement take place if both parties do not get some gain.
more specifically, how can a bank lend out your meager savings, if you are not paid for that risk or inconvenience in some way.
It's not a contactable situation.
Technically, you can go to .0000000000000000001 of a cent.
but negative?
Not so sure.
And you've probably also heard lots of nonsense about it.
The one thing you can depend on, is that the banking system have been given time to adjust their computing systems to deal with negative numbers.
So.
How will it all work.
I have no idea.
Negative interest rates might simply be a tool between the Government and the Trading banks.
That shouldn't directly alter the way everyday people deal with their personal bank accounts.
But I wonder about this legal principle called "Consideration".
How can an agreement take place if both parties do not get some gain.
more specifically, how can a bank lend out your meager savings, if you are not paid for that risk or inconvenience in some way.
It's not a contactable situation.
Technically, you can go to .0000000000000000001 of a cent.
but negative?
Not so sure.
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