“Grandpa, I was told in school today that a long long time ago when a person put money in a bank, the Bank didn’t just keep your money safe from robbers or fires, but they also PAID people something called “”interest””. Is that true Grandpa?”
“Yes Mary, it is true the Banks once paid a person “”interest”” but over the years soooooo much money was created out of thin air that there was so much of it and everyone owed so much money they decided that only those who have to earn their money should pay anyone interest. It was decided that the Banks were doing enough in just keeping our money safe so it was decided that they no longer needed to pay interest to anyone, and a few years after that, because the Federal Deficit became so big, it was decided the Federal Government shouldn’t have to pay either. Of course there were some other companies that were “”too big to fail”” so it was decided they shouldn’t have to pay either. So, you see Mary, only your Mom and Dad, your GrandPa and GrandMa and everyone else you know, and even you someday, who works for a living, will have to worry about paying interest.”
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