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Understanding Compound Interest

 

We are going to discuss one of the most powerful tools that you have available in your wealth building tool kit - compound interest. All modern financial systems including governments, banks, and your very own personal finances are based upon compound interest. Specifically, compound interest applied over time. The entire concept is referred to as the time value of money. However, that sounds pretty complex and we are going to start with the basics. You won’t have to deal with any fancy formulas or actually perform any math of your own. However, when we are finished, you will have an in-depth understanding of how compound interest works and what you can do put compound interest to work for you.

 

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