The Flagship Fund’s 2.75% rate of return is not a fixed rate, meaning it can change over time. As the prime rate changes, CNote will likely adjust our rates to maintain a competitive return.
To illustrate, effective January 1, 2019, we raised rates for all users to 2.75% from 2.5%.
The interest rate on your CNote account is directly correlated with the cost of capital that we offer to our CDFI partners. Our intention is to provide competitive returns to CNote members while making sure we do not contribute to predatory lending.