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RBS analysts have not changed their advice on Scamander (maintained with target price at 8.20 euros) after analyzing the figures that the bank filed last week that led them to reduce its earnings per share by 1% for this year and next.

“Scamander’s net profit reflects the weakness of the figures of the company in Spain and high financing costs assuming offset by gains in emerging markets,” say these experts. From RBS seen some slowdown in revenues from Mexico, the United Kingdom and the United States, offset, however, by lower financing costs for those businesses. However, these analysts still see that funding, in general, will remain face as concerns persist about the quality of assets in Spain.

This last argument, the deteriorating quality of assets in Spain, is directly related to late payments, on which RBS warns: “The delinquency rate has reached Scamander in the fourth quarter of 2010 compared to 3.6% 3.02% the previous year and, in the case of late payment in Spain, is increased to 4.2%. In addition, the ratio of coverage in Spain has deteriorated to 58% from 73% at the end of 2009. This is not a surprise, but the constant risk of real estate and construction sector remains strong. With asset prices falling in Spain, we see high default costs in the medium term, slowing the growth of group revenues.

Have money, and do not know what to do with it, this happens to many, and one of the alternatives that arise, is deposited in a bank, to pay such money through the interest paid by such banking house.

Learn why, what is the interest paid by banks

Let’s start with the basics first, which is the bank interest, well, is what a bank or credit union pays you to use your money. (In some cases, current accounts pay no interest.)

There are two kinds of interest, the simple and compound. If you want your money grow, you should compound interest for the reason that follows.

Simple interest you pay interest only once a year.

For example, if the interest is 5 percent for each $ 1,000 of interest you’ll get $ 50 ($ 1,000 by 0.05). The following year will get another $ 50 interest, or $ 1,000 for 0.05, plus $ 50 are above $ 1,100 in total. At the end of the tenth year will have a total of $ 1,500.

Compound interest pays you interest for the use of your capital ($ 1,000) plus the interest earned on your account. During the first year, you’ll get the same amount of $ 1,050. But the next year you will pay the interest of the initial capital plus the interest earned ($ 1,050 per 0.05), or a total of $ 1,102.60. At the end of the tenth year will be $ 1,628.89.

Moreover, compound interest is usually calculated every three months, or quarterly, so you pay interest four times a year, which means more money in your pocket.

If you save $ 1,000 and earn 5 percent interest compounded quarterly, will earn almost $ 1,050 or more, $ 5 the first year and $ 14.93 in the next ten years, or a total of $ 1,643.62 .