Tags: inflation rate

Savings bonds rates and notes

Bonds are loans secured by a company, municipality or government. Bonds and debentures are instruments for a period of time in which the principal will be repaid. savings bonds rates In addition to the principal, the borrower will pay interest at set intervals, usually every six months.

There are four common types of bonds and notes:

1. Government bonds and mortgage bonds
2. Corporate Bonds and Notes
3. Domestic bond funds
4. International bonds Fund.

In this article we will discuss the general concepts of bonds and notes

a) Security

* Bonds are considered as secured debt. If the borrower, the property seized to satisfy bondholders.
* Note on the other hand, are guaranteed, but are supported by the credit risk of the company, the municipality…

Inflation savings bonds rates – the effect on mortgage savings bonds rates

Inflation reduces the mortgage rates, but how does it work? Let’s start by talking about what savings bonds rates inflation. In principle, inflation, when prices rise because it was created too much money. Inflation means that you pay more for a new pair of jeans this month than you would pay in the past month. Moreover, inflation is gnawing at savings bonds rates for consumers. If your savings in a savings account that pays 4% and inflation is 2%, the…