Time for a lump sum to double?

If you deposit money today into an account that pays 6.5 percent interest, how long will it take for you to double your money?|||Based on the rule of 72 your asset will double in 11.1 years.


Here is how the rule of 72 works;








This teaches you how to determine the number of years it will take for your investment or debt to double in value.





Divide the number 72 by the percentage rate you are paying on your debt, or earning on your investment. Here are two examples...





You borrowed $1,000 from your friend, who is charging you 6% interest. 72 divided by 6 is 12. That makes 12 the number of years it would take for your debt to your friend to double to $2,000 if you did not make any payments.





You have a savings account with $500 deposited in it. It earns 4% interest from the bank. 72 divided by 4 is 18. It will take 18 years for your $500 to double to $1,000 if you don't make any deposits.





Remember: 72 divided by the Interest Percentage is the number of years it takes to double.














For a calculator that you can use to determine how long it will take to double your money based on interest rates check this out.....|||Just use a calculator.





I was pondering this very question yesterday, as to how to invest my vast sums of money,,,LOL.





You might think of it this way.





A US savings bond for eaxmple a $50 denomination, takes 7 years to mature to the face value, when purchased at $37.50. rather poor don't you think? $12.50 over 7 years.





YOU can go high risk of course but expect losing not gaining.





If I had a nickle for every dime I've spent, I could have half as much as I might have...





I have an old quote from my grandfather,, and probably not his originally.





"If you want to "double" your money, rapidly, fold it in half and stick it back in your pocket"





Rev. Steven|||11 years





Without using any formula or business calculator, try this:





Year 1 $1,000 x 1.065 = A


Year 2 A x 1.065 = B


and so on until the total is double the original amount.





Actually, it would take 12 years to DOUBLE the amount, but after 11 years you'd have $1,999.15, so that's pretty close.