Why save and invest your money
But also to face the unforeseen events of the life thanks to a security savings .
It is also a way to prepare for your retirement and secure your family.
Money does not necessarily make happiness, but it contributes to your well-being and that of your loved ones.
Here we will talk about putting your money in safety thanks to savings accounts.
We will help you choose the best savings book.
Keep your money safe
It is only the money you put into it (therefore, that you have earned) that accumulates.
As a result, your amount saved increases over time and can become a significant amount in the long run.
Savings accounts are primarily secure investments.
Most have interest (pay) rates close to inflation.
This means that you will not have any additional real gain from your invested money.
Benefits of secure investments
Although secure savings accounts do not generate attractive returns, there is always a benefit to investing your money rather than spending it on unnecessary purchases. Instead of spending $ 100 per month unnecessarily, you earn $ 1,200 at the end of the year. Simply by keeping your money safe . What do you think ?
How a savings account works
Your savings remain available at all times and earn interest.
A savings account cannot be used to make payments. You will first need to transfer this money to your checking account.
A savings account has different characteristics:
- A minimum balance . Usually between € 5 and € 10 to open and keep your passbook open.
- A deposit limit not to be exceeded.
- An interest rate calculated twice a month. Represents the rate of return on your saved capital.
- Interests. Represents the return on your saved capital. It is calculated based on the interest rate. At the end of each year, this remuneration is added to your savings.
Advantages and disadvantages of the savings account
The savings book is the easiest way to invest your money.
This classic savings product is much less profitable than other investments but it has the advantage of being the most secure investment. You do not risk losing your invested money.
- Most secure placement . In the event of bankruptcy of your bank, your savings are guaranteed up to € 100,000 thanks to the Deposit Guarantee and Resolution Fund.
- Your money is available at all times (for most passbooks). You can deposit and withdraw whenever you want without any penalty.
- Safety savings in the event of unforeseen events or future projects. Essential for healthy personal finances.
- Low return on your savings.
- Low ceilings for certain savings accounts.
