Good-Guy
VIP Contributor
There are many people who earn interest. They wrongly believe that earning interest will make things easier for them. However, the reality is the fact that earning interest is actually quite bad and there are many reasons for that.
It increases debt
Countries that rely on interest have serious economical issues if you look at a bigger picture. If we consider issues caused by increase in interest rate at an internal level, then we may understand why interest is bad. When we offer loans and charge heavy interest, this may increase debt on the other party. In this way, interest money increases inflation internally.
Bad effects on interest money at international level
When tier 1 countries like the U.S. increases interest rates, this directly have an impact on the tier 3 countries that are already dealing with heavy debt. When the federal reserve increases interest rates, this may have some effect on the rate of dollar and international debt. As a result of this, inflation grows at an international level.
It makes rich richer and poor poorer
When we consider all these facts, we will understand how increasing interest rates make rich much richer. This is because they are the ones who are lending money to the other parties that require loans. As a result of this, they are the ones who get all the benefits. These are some of the main reasons why people should never earn or deal in interest at all.
It increases debt
Countries that rely on interest have serious economical issues if you look at a bigger picture. If we consider issues caused by increase in interest rate at an internal level, then we may understand why interest is bad. When we offer loans and charge heavy interest, this may increase debt on the other party. In this way, interest money increases inflation internally.
Bad effects on interest money at international level
When tier 1 countries like the U.S. increases interest rates, this directly have an impact on the tier 3 countries that are already dealing with heavy debt. When the federal reserve increases interest rates, this may have some effect on the rate of dollar and international debt. As a result of this, inflation grows at an international level.
It makes rich richer and poor poorer
When we consider all these facts, we will understand how increasing interest rates make rich much richer. This is because they are the ones who are lending money to the other parties that require loans. As a result of this, they are the ones who get all the benefits. These are some of the main reasons why people should never earn or deal in interest at all.