Comments on Cash and Burn: WhySave?

"The savings rate for a good bank is around 4-5%, ...

2008-12-05T02:08:00.000Z

"The savings rate for a good bank is around 4-5%, and only if you look around".

You quite sure about that? I only last week shoved a decent five figure sum into an above 6 percent savings vehicle. They are there if you dig them out.

The real screwface for a saver is a) currency and b) the sneary attitude of gold bugs.

My personal feeling is that this loser joke of a government is spending to high heaven and now can't attract the investors needed to buy out the debt. I have a faint feeling we might be going a little Weimer soon as they start printing money while everything falls through the floor. Now there would be a paradigm that bucks the rules.

In that case, as a pensioner, I suggest buying bags of pasta and UHT milk, moving to a semi rural area and investing in a solid fuel stove.

For an FTB ... sorry, luv, you are pretty fcuked.

In a deflationary environment earning 4-5% is a go...

2008-12-02T18:44:00.000Z

In a deflationary environment earning 4-5% is a good deal. The real interest rate could be as high as 8+%.

But what if you have no debt, no mortgage? What if...

2008-12-02T13:03:00.000Z

But what if you have no debt, no mortgage? What if you are, say, a prospective first-time buyer (needing to raise £30k+ for a deposit) or a pensioner?

Whether there's inflation or deflation, paying dow...

2008-12-02T10:47:00.000Z

Whether there's inflation or deflation, paying down your mortgage is likely to be a good investment now. If inflation, you won't be paying the higher mortgage rates in a few years time, if deflation you won't owe more on a declining asset than its value.