how do 0% or negative interest rates affect an average person (who has a mortgage and a lil bit of savings in an account)?
In:
They don’t really affect the consumer directly. Those are rates set by national banks and are usually only that low in weird and temporary situations. They are not rates at which ordinary people can borrow money.
However, they do mean interest rates are generally low, and it is a good time to get loans and a bad time to leave money in the bank.
Mortgages and loans cost less, and you make less from savings. This theoretically should encourage people like you and me to borrow more and spend more.
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