Did you get tired of keeping your money under the mattress? Do not you get more tickets to your piggy bank ? We have the solution !: Keep your money in the bank.
But obviously you already knew that this was the alternative that you had left, and if you have not done so, perhaps it is because you fear that banks will eat your money. Times have changed and today there is no safer place than a financial entity regulated. Today I bring you advantages to keep your money in the bank.
Banks protect your money
If you fear banks, it may be because you or someone in your family had a bad experience before. The truth is that banks are the safest place to have your money , although of course, there are different types of accounts and since you want to save, what I recommend is that you open a zero maintenance savings account .
That means the bank will not charge you fees for withdrawals or for not having a minimum amount in your account at the end of each month. Usually this type of account is opened with little money and monthly movements are limited.
Your money will increase
If you save your money in the bank for savings purposes, your fund is very likely to increase. And is that banks pay interest on your money , depending on the amount you have deposited. Obviously, the more money the higher interest . It does not mean that you will live on the interests that the bank gives you, since they are not so high either, but it will help you in some way to reach the savings goal you have set for yourself.
There are banks that pay more interest for your money than others. In fact, the higher the risk of the financial institution, the greater the interest generated. Compare the offers well before choosing the entity with which you will have your savings account .
Create a credit history
Loans and credits are not the only way your credit history is favored. Some financial institutions may consider the deposits you have. Therefore, it could be a healthy way to improve your credit rating . Having a good track record with banks will allow you to access more benefits such as loans and cheaper credit cards.
As you can see, it is beneficial that you put your savings in a bank. In fact there are ways for your money to generate higher interest when deposited, such as choosing a fixed-term savings account or investing in mutual funds. But, for the latter, it may be better than before you strengthen your financial education, to get the most out of it.