Bruceski44
Recycles dryer sheets
- Joined
- Apr 13, 2016
- Messages
- 191
No liquidity for one year.
Lose 3 months interest if redeemed before 5 years.
0% fixed rate when all other interest rates skyrocketing.
Interest earned just keeps pace with inflation. It may sound great, but that's only because inflation is historically high. At this rate, you put a dollar in, you'll effectively get a dollar out in 5 years.
$10k/per person/per year Purchase limits.
When inflation returns to "normal" your returns return to 2-3% APR.
The benchmark CPI-U badly underestimates the real inflation we've seen in food and energy.
These facts reduce the attractiveness of I-bonds. I bought $40k worth, but wouldn't buy more and am not on the I-bond bandwagon. If it seems awesome to you, maybe it's because you've been brainwashed into thinking 2-3% APR on bonds or 30 year CDs is great. Current monetary policy penalizes savers and encourages alternative investing.
Lose 3 months interest if redeemed before 5 years.
0% fixed rate when all other interest rates skyrocketing.
Interest earned just keeps pace with inflation. It may sound great, but that's only because inflation is historically high. At this rate, you put a dollar in, you'll effectively get a dollar out in 5 years.
$10k/per person/per year Purchase limits.
When inflation returns to "normal" your returns return to 2-3% APR.
The benchmark CPI-U badly underestimates the real inflation we've seen in food and energy.
These facts reduce the attractiveness of I-bonds. I bought $40k worth, but wouldn't buy more and am not on the I-bond bandwagon. If it seems awesome to you, maybe it's because you've been brainwashed into thinking 2-3% APR on bonds or 30 year CDs is great. Current monetary policy penalizes savers and encourages alternative investing.