Interest Income Quotes

Normally, banks record profits on loans only as they are repaid, whether they securitize the loans or hold them on their books.

When the time comes to raise rates, I do think there will be some benefits that flow through to savers.

Then came the second Amsterdam discovery, although the principle was known elsewhere. Bank deposits...did not need to be left idly in the bank. They could be lent. The bank then got interest. The borrower then had a deposit that he could spend. But the original deposit still stood to the credit of the original depositor. That too could be spent. Money, spendable money, had been created. Let no one rub his or her eyes. It's still being done-every day. The creation of money by a bank is as simple as this, so simple, I've often said, that the mind is slightly repelled.

My legislation, the Simple Savings Tax Relief Act of 2005, simply eliminates the taxation of interest earned in savings accounts, such as passbook savings accounts or bank certificates of deposit.

I lost all my investments after everything crashed in 2001. Prior to that, I'd been living off the interest on my investments, which was very healthy because it allowed frequent travel, and I had a lovely apartment.

The impact of low interest rates is broad and deep. Many Americans rely on interest income from their savings to help cover their cost of living.

It makes no difference to a widow with her savings in a 5 percent passbook account whether she pays 100 percent income tax on her interest income during a period of zero inflation or pays no income tax during years of 5 percent inflation. Either way, she is 'taxed' in a manner that leaves her no real income whatsoever. Any money she spends comes right out of capital. She would find outrageous a 100 percent income tax but doesn't seem to notice that 5 percent inflation is the economic equivalent.

Yet our small business owners across the country are unfairly losing potential interest income on a daily basis until the Business Checking Freedom Act becomes law.

We're thrifty. We can live off our interest, save the principal, and let the kids go off and have a hoot.