OK UT assuming 3% inflation and 6% inflation
on a 500k deposit once you work out interest payments(5% PA simple interest), taxation (flat 30%)
the 3% inflation leaves you with about $2500 up on the year
but because you have to pay quarterly and also interest is compounded the numbers are a bit out
if inflation rises to 6% the depositor is out of pocket approx $12,500 i.e they lose over $10,000 P.A to support YOU the borrower
