In real bank accounts, people get an interest rate and can increase their money that they put in a bank account. So I was wondering if we could do that here.
Because real banks have an interest in getting people to give them their money. They loan it out to make a profit. ECC bank isn't here for that. Its not actually a bank. It's really just another personal money tracker its just not in game. -1
This is quite stupid. It would just bring money into the economy for no reason. Like @RyanBlocks2 said, banks loan out the money that is in their hands. There's no need to add an interest rate.
Ok ok... Maybe this was a bad idea. I just wanted money because I don't have enough to take my money out of my account.
He's saying it's not an actual bank, and thus isn't "borrowing" your money to make a profit. Thus you shouldn't profit either.
-1 We want to encourage the flow of money around the economy, not create another incentive to save or hold onto it.
-1 it just holds the money, it doesn't loan it out to other people. Therefore no interest should be given
The "bank" is a place to store your money, its not an investment. If you would like to invest in something, there are plenty of things in ECC to invest in. -1
-1 That will be call "Cheating" because if you press all times the same buttons you can receive money free like sg exploit
Problems: 1. If interest was added, it had to have a certain minimum so that players would actually accept it. After all, who thinks something in the range of 0.001% interest per month is sufficient? That would be ten EcoDollars per year when investing one million EcoDollars or 0.1$ for investing 10000$. I don't see a real difference to zero interest here. This brings us to problem two. 2. A high interest is bad for the economy. Based on the example above, let's assume interest rate is 1-2% per month. If you invested one million ECD, you would receive 10000-20000 EcoDollars per month - completely without any effort. Now, let us assume someone invested one million ECD and went inactive for one year. Interest would be between 1000000*1.01^12 and 1000000*1.01^12, so you would have earned between 126,825.03$ and 268,241.79$ from doing nothing for one year. Now imagine multiple rich players doing that - inactivity isn't even required - and you have a nice amount of additional money in the economy without having to work for it. 3. Why should the server grant you free money without work? Real-life interest is based on the fact that the bank profits from your money and pays you a share; the server does not profit from your forum bank in any way. Quite the opposite, the forum bank is never wiped and is thus more secure than the ingame balance or trade signs. Storing money in the bank is theoretically not in the server's interest because it prevents a balance wipe that could help deflate the economy. Not to mention that the concept of "Free money without work" is basically absurd in a "hardcore economy".
Although I don't exactly agree with using "it prints money" as reasoning against the suggestion, I still think that it's quite silly to give out interest when your money isn't being used to make a profit.
No, your EcoDollars aren't being loaned out. I have no reason to give you incentive to store money on the forum bank, where as real banks give interest to keep accounts open, and loan your money out generating a profit. Why would I print free money with nothing in return on the forum bank? If anything I should CHARGE interest to store your money on the forum, as it avoids the cleanup policy... Read up on economics to understand my reply. EDIT: Bring on the potato ratings from those who have no clue what I'm talking about!
