You might be wondering if Worthy Bonds are recession proof, or if the 5% interest rate might change based on what the Fed decides about interest rates.

Worthy Bonds proceeds are used to issue asset-backed loans to small businesses. In other words, we only lend to businesses that offer their inventory or assets as collateral, and only lend around 2/3 of the assets' value. In the unfortunate case of a default, the loan value can be recovered from the assets used as collateral.

This means that the stock market or Fed interest rate has little, if no effect on Worthy Bonds. We have no plans to decrease the 5% interest rate we currently offer. If anything, we're looking for ways to increase it in the near future!

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