Interest rates

[ToiletDuck]

They are going back up! From 4.9 to 5.36%

[ToiletDuck]

Now almost 7%. What gives

[Wolpertinger]

Thanks, that you mention it. But… what is your problem?

[ToiletDuck]

I cannot get loan. last time after week two they started dropping and continued to drop. here they are going back up meaning either the econony is getting worse or something has drastically changed

[Wolpertinger]

You´re wrong. The economy is getting BETTER, so the interest rates are rising

[blazer80]

@Wolpertinger

The interest rate will fall, as soon as the economy becomes stronger.

what happened to rates falling as the economy grows stronger???

[yukawa]

economy grrowing means companies expanding means loans from banks wanted means banks want more interest due to increasing demand.

[Wolpertinger]

At the beginning the interest rates are falling and the economy gets stronger. At a certain point more credits are in demand, so the interest rates will rise again. Its a simple suppy and demand calculation

Perhaps I expressed myself mistakeable.

[tnyuen]

Well I dont think most of us care the interest rate - you can’t get it unless you got assets like planes or terminal

[ToiletDuck]

@yukawa

economy grrowing means companies expanding means loans from banks wanted means banks want more interest due to increasing demand.

That is not how banking works. banks don’t increase % with demand they increase % with volatility. If banking worked on demand then foreign governments would be screwed. This financial system is flawed.

[firtree]

@tnyuen

Well I dont think most of us care the interest rate - you can’t get it unless you got assets like planes or terminal

I own 2 727s, I have been playing since the server started, I’ve had over 50% profit each week, I have a AAA score, and I still can’t even get a 100K loan.