How does compound interest work? Explained with bunnies...and numbers.

Описание: If you don't understand compounding and compound interest, you're losing money.

Compound interest has been called a miracle, but it's just math. Compounding can either make you a lot of money or cost you a lot of money; so it's important you understand WHY it is so powerful. This way you can use it to your advantage and SAVE LOTS MORE MONEY since you won't be falling prey to high interest rates. This is part of my foundational personal finance education series - all the money stuff it would have been good to learn in school, but you're learning money management now, so yay!

00:00 - 00:22 Compound interest is like bunnies
00:23 - 00:50 Who should watch
00:51 - 1:32 What is interest
1:33 - 2:00 What is compound interest
2:01 - 3:36 What is APR / how to calculate compound interest
3:37 - 4:19 Why compound interest is so expensive
4:20 - 5:54 How credit cards accrue interest
5:55 - 6:34 Why interest rates are so low
6:35 - 9:09 Compounding interest and your retirement

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Ms. Moody - former librarian, current financial feminist, and money educator.

Join the club to chat moolah with like-minded women - Scrimpin' Ain't Easy, just like the library, we're talking stacks on stacks on stacks. www.facebook.com/msmoodymoney/groups/scrimpin

Wanna read a good money book for beginners?
"The Index Card" by Helaine Olen and Harold Pollack
Get it from your public library: http://www.worldcat.org/oclc/928750850
Get it from Amazon: https://amzn.to/2Lm1iHv (To keep my videos free, this is an affiliate link meaning I may receive a portion of the purchase price - thank you for supporting this work!)
-Get it from a local bookstore: https://www.indiebound.org/book/97801

...Looking for a book a bit more advanced?
"Dumb Things Smart People Do With Their Money" by Jill Schlesinger:
Get it at your local public library: http://www.worldcat.org/oclc/1140204982
Get it from Amazon: https://amzn.to/2La9VUN (To keep my videos free, this is an affiliate link meaning I may receive a portion of the purchase price - thank you for supporting this work!)
Get it from a local bookstore: https://www.indiebound.org/book/97805

Thanks for watching!

Heads up: All the content is for educational purposes only. Ms. Moody is not a licensed financial advisor; she’s a librarian, money nerd, and educator. As personal finance is personal, to find out what is best for you, consult a financial professional. Users are solely responsible for any actions they take.

This video is protected under US Copyright law. If you would like to reuse any of it for your own work, you must have explicit permission from the creator (Ms. Moody). Please contact me for permission before using any part of the video.