Comment Comment by mgkimsal > So today you get 9.62% for 6 months, so you'll technically earn 4.81% interest on your money after 6 months from the date of purchase.That doesn't seem correct.If I have $10k, and it earns an annual rate of 5%, for 6 months, I would get $250. That's not the same as saying I'm earning a 2.5% rate.You're earning 5%, but only for 6 months.If you were earning 2.5%, for 6 months, you'd only get $125. parent mgkimsal 4 years ago
That doesn't seem correct.
If I have $10k, and it earns an annual rate of 5%, for 6 months, I would get $250. That's not the same as saying I'm earning a 2.5% rate.
You're earning 5%, but only for 6 months.
If you were earning 2.5%, for 6 months, you'd only get $125.