0
Some people pay a high rate because they do not understand how much it will cost them in interest over the term of the loan.
Some people pay high interest because they need fast money or have poor credit and they take the rate they can get,
Some people only think about what helps them right now.
What else can I help you with?
What is the purpose of a 'pay day lender'?
The purpose of a pay day lender is to lend people money if they are short of money before pay day. They do have very high interest rates which some people are not aware of.
How does bankruptcy afact your credit?
you will pay high interest rates when you borrow money
What does Usury mean?
As a general definition, usury is loaning money at extravagant interest rates. The legal definition varies. The practiced of lending money to people, especially making them pay unfairly high rates of interest.
Why are certificate of deposit interest rates so high?
Banks pay you a premium interest rates for leaving your money untoched for a predetermined amount of time.
Does ing variable annuities pay a higher interest than banks?
ING pay a high interest rate to those interested in their investment vehicles, as high as 9% interest rates for a single premium fixed annuity rate. They also offer flexible premiums at different interest rates.
What is the typical interest rate for a pay day loan?
Interest rates are extremely high on pay day loans. The typical fee for a pay day loan is $17.50 for every $100. The interest rates can be as much as 911%. Many borrows end up paying more in interest then what they initially borrowed.
What are the current interest rates for home loans for people who want one?
Interest rates for home loans can vary based on your credit, and how fast you plan to pay them off. The current interest rates are generally between 2% upwards to 4% and 5%.
What are auto loan rates used for?
Auto loan rates show the person receiving the loan the amount of interest a receiver will pay for the loan. A high rate will mean that it will take longer to pay off due to more money needing to be paid for the interest.
Do people with bad credit pay more interest on a home loan?
Generally, people with bad credit must pay more interest on a home loan; however, there are programs existing allowing people with bad credit to reduce their interest rates on home loans.
What are high yield saving rates?
High yield saving rates are simply savings accounts that pay a greater amount of interest from the financial institution to the account holder. As such, these rates require a greater amount of money to be committed to accrue higher rates of return.
Why would a person invest in junk bonds-?
"Junk" bonds pay a higher interest rate than high-quality bonds, in order to compensate for the risk of default. junk bonds can pay very high interest rates (gradpoint)
How do interest rates affect household saving?
Well you need to look at it from both the perspective of receiving interest payments and paying interest. In relation to paying interest, household savings generally decline with low rates. This is because when you are paying low interest rates on the things you purchase you are also receiving low rates on your savings. This usually has the affect of boosting the economy. If rates are low people are enticed to spend their money since a) they are getting a small return on their savings and b) borrowing money is costing them little. When interest rates are high it generally increases household savings for exactly the opposite reasons low rates decrease savings. High interest rates when borrowing also mean higher rates for saving. Economies that are experiencing high rates of inflation will raise interest rates. Nobody wants to pay alot in interest so as rates climb they borrow less and save more. This is removing money from the economy and putting it into savings thereby slowing demand for goods and increasing supply. This will usually reign in inflation, and increase household savings.
