Interest is the heart of finance. Interest is what you pay when you borrow money, or what you collect when you lend money. When you borrow (or lend) for a long time, interest becomes compound interest. Albert Einstein is often attributed to saying, “Compound interest is the eighth wonder of the world. He who understands it, earns it. He who doesn’t, pays it.”
Our purpose is to show you how interest works. From there, it’s up to you what you do with it. If we do a good enough job, then according to Einstein, you’ll be on your way to “earning it.”
Compound interest is the eighth wonder of the world.
Attrib. Albert Einstein
He who understands it, earns it.
He who doesn’t, pays it.