What is the interest rate that we pay on the national debt?

By my calculations, it’s generally around 4.7% every year (I could have calculated this wrong).

Check out these pages:
Historical debt outstanding
Interest expense on the debt outstanding

Right now the interest rate is pretty low. I think some bonds are paying only 1%, while some other, more long term bonds, might pay up to 4 or 5%. Anyway, the money we are borrowing now is cheap. It’s a good time to borrow.

The thing is, the overall interest rate will depend on the rates used in the past. That’s what might raise it to lefteh’s 4.7%. But, given the current economic climate, I’d have to believe that the interest paid on the debt will decline.

My second link backs up daloon’s statement. It looks like the interest paid in FY 2009 is going to be substantially lower than previous years.

The cool thing is that every time Uncles Sam takes a loan he gets a toaster oven. Is that lost on the under 40 crowd?

Yes.

@Sueanne_Tremendous LOL or whatever. Well, really more a snicker, but definitely a noticable sound. Thanks. I’m still smiling.