Darren Herft Sheds Light On The Effect Of Low Interest Rates And What It Means For You and Me


Everyone is seeking answers and looking for something positive to hang on to amidst the dark times that we all face as one global community.

We all need to hear an illuminating word, to feel that things are not as totally catastrophic as they may appear.

That’s where Darren Herft comes in….

He brings his learned knowledge of commerce acquired from the prestigious Griffith University located in South East Queensland, Australia, where he graduated with a degree in business and accounting.

Darren Herft has set his focus on what it means when there are prolonged periods of low interest rates worldwide, and how this affects global debt and its citizens.

Herft says that: “on the positive side, borrowing to stimulate, when you’re paying interest rates of 1%, or even less, as countries are today, can actually be a good thing.”

Herft goes on to elaborate the benefits of low interest rates. “…it makes sense in many ways to borrow when you’re in difficult situations.”

And from an investment perspective he has this to say: “ If we’re borrowing to go into investments or assets that ultimately produce value at a higher return than the interest rate itself, then that’s a good type of debt to have, then we’re borrowing for good reasons. And we’re in fact lowering that debt as a consequence of that particular borrowing.”

For the common man that doesn’t have a commerce background or much investment knowledge, that’s an important piece of information to have. It gives one options during difficult situations. And when you have options, you have a choice to do something that will ease the tension and bring you that much needed relief, while at the same time providing you additional benefits as a result of that choice.

Herft also qualifies his business sense by providing an analogy that’s in keeping with the tribulations of today’s world and the fact that the debt incurred by the countries of the world has reached an approximate $258 trillion dollars.

With global debt as it is right now, Darren Herft has this to say: “At such low interest rates, it makes sense in many ways to borrow when you’re in difficult situations, but the challenge is a mixture of both, as the debt rates spiral out of control, as far as volume, hundreds of trillions of dollars, and if interest rates do indeed start to increase and elevate, then that itself puts enormous pressure on countries and their net debt.”

Herft is knowledgeable about finance, and the inevitability of interest rates rising again does not escape him, in fact he touches on this subject, to provide his thoughts on the matter: “…as interest rates start to escalate, it can become a real crisis. And that puts all sorts of pressure on markets, it puts pressure on countries. It puts pressure on individuals. And there are all sorts of consequences of that, including loss of jobs, slowdown of economies, inability to pay debtforeclosures, these sorts of areas. So, at this point in time, there are some concerns we all need to be very conscious about. But more importantly, look for solutions.”

But it’s not all doom and gloom because amidst the global crisis there’s opportunity for growth and Herft expands on that by saying: “…while interest rates are low, it does provide an opportunity for entrepreneurs alongside generous government incentives & stimulus for innovation.”

Darren Herft, a businessman synonymous with innovation is quick to state that: “It’s a great time for us to look at ways to have a more coherent policy, around how innovation, properly supported through government, and through low interest rates, can help drive the economy and can help stimulate progress, jobs, value and ultimately profitability in taxes, which do contribute towards reducing debt in the most significant manner.”

According to Darren Herft, there are solutions, and that in and of itself is cause for optimism.

To learn more about Darren Herft, visit his website at: www.darrenherft.com.