man, if you’ve got a certificate of deposit that’s 25 years old, you’ve probably experienced some incredible compounding, considering the interest rates in 1982! given that most banks will pay you about 3 percentage points below prime and that prime in august of 1982 was 15% (!), we’ll posit that you took out a CD in the amount of $10,000 and at a fixed rate of 12%. In 25 years, your investment is now worth $200,000. yes indeed, happy 25th, certificate of deposit!
man, if you’ve got a certificate of deposit that’s 25 years old, you’ve probably experienced some incredible compounding, considering the interest rates in 1982! given that most banks will pay you about 3 percentage points below prime and that prime in august of 1982 was 15% (!), we’ll posit that you took out a CD in the amount of $10,000 and at a fixed rate of 12%. In 25 years, your investment is now worth $200,000. yes indeed, happy 25th, certificate of deposit!