The answer depends on the following factors:
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Annual Interest Rate divided by 12= Monthly Interest Rate
The answer for rate in simple interest is =rate= simple interest\principle*time
It means that they are getting less money for deferring expenditure and saving instead. However, it is not the low nominal interest rates which matter but what the "real" interest rates are. This is the difference between the nominal interest rate and the rate of inflation. An interest rate of 2% when inflation is 0% is good news for savers but an inflation rate even as high as 10% is bad news if inflation is higher than 10%.
Corresponding compounding is the interest rate on loan or the financial product restated from nominal interest rate as an interest rate with an annual compound interest.
It depends on whether the interest rate is a low introductory rate or a fixed rate. It also depends on how fast you plan to pay it off. The faster you pay it off, the less significant the rate of interest is.