you’re not missing anything.
On $1000 principal:
pay $0.12/day interest to the loan.
earn $0.14/day on the CD, plus compounding.
It works so long as the loan is simple interest (not actuarial), and has no prepayment fee.
Its not uncommon at all.
you’re not missing anything.
On $1000 principal:
pay $0.12/day interest to the loan.
earn $0.14/day on the CD, plus compounding.
It works so long as the loan is simple interest (not actuarial), and has no prepayment fee.
Its not uncommon at all.