Yeah, I was calling out savings accounts cause that’s what I imagine most people are talking about when mentioning compound interest.

I don’t think most people think of a savings account as the main example of compounding interest. A bond would probably be a better example.

The video is talking about the false promise of compound interest and I wanted to call out the real reason it doesn’t work.

If you’re citing the saving account as the failure of compound interest, it isn’t because of a low 5% return, its because its not a fairly consistent return at 5%. If there was a consistent 5% return year over year savings account that would be a great investment even with inflation for the portion of your investment you needed to keep safe. This is essentially what bonds are.