Theft By The Federal Reserve

I am thoroughly disgusted at the "legalized embezzlement" that is going on through repressed interest rates.  ["Legalized embezzlement":  A phrase originally used by E.C. Harwood, founder of the American Institute for Economic Research.]

Take a look at the following figures:

By way of illustration, let's say you are someone who has $100,000 to put aside at age 20.  Here are your savings after 40 years with 4% interest compounded daily:

$495,259.82, i.e. five times as much.

Here are your savings at today's savings rate at your local bank, about 0.01%:

$100,400.80, i.e. pretty much the same amount as you started with, in fact below the probable rate of price inflation.  (Keep in mind that $100,000 forty years ago had the same purchasing power as $350,427 today, according to AIER's Cost-Of-Living Calculator.  This means you will have LOST purchasing power even with interest on your savings.)

[Data from CalculatorSoup.com and Wells Fargo]

The formerly common 4% versus Wells Fargo's current 0.01% represents a loss of $394,859.02, stolen directly from your pocket by the U.S. Federal Reserve.  Counter-intuitively, it's not really the bank's fault, because the Fed is the one fiddling with interest rates and paying interest on bank reserves, making Wells Fargo less hungry for your money.

'Nuff said.

Disgusting.  Why do we say nothing and let this go on?  We really are a bunch of useless, blind, mindless lemmings.

[Image from Britannica.com]