What is the catch with worthy bonds?
Worthy Bonds can pay 5% interest because they lend the money you invest in the bonds to other companies at higher interest rates. In an ideal world, if everything works right, Worthy Bonds makes a profit and you earn 5% interest on your money.
What are risks with worthy bonds?
Worthy Bonds does have some significant disadvantages, including purchase limits for all investors and risks that aren't shared by savings accounts and other FDIC-insured financial products. Accounts Aren't FDIC-Insured. Worthy Bond accounts aren't insured by the Federal Deposit Insurance Corporation.
Can you lose money with worthy?
Risk of loss — Since Worthy Bonds aren't a bank account, they aren't FDIC insured or risk-free which means you could lose money.