In the current global crisis in our country has developed a very difficult economic situation. But despite this, most people continue to make savings, increase their funds, and invest in the future. Someone for a long time and patiently saves money for the realization of their dreams (for example, buying a new car), someone as much as possible from time to time saves a little on a "rainy day". It's no secret that the most common means of accumulation in our country have been and remain bank deposits or, in economic terms, bank deposits.
What is a deposit?
Deposit (lat. Depositum - “thing deposited”) - a deposit in the bank, money stored in the bank for a certain time, with the possibility of accruing interest on this amount.
Starting from the oldest, familiar to almost every adult citizen of the country of Sberbank of Russia, conducting traditional services for the population in offices (which are even in the most remote villages of our homeland), and ending with the recently created new banks serving customers exclusively remotely (via the Internet), all use almost identical types of deposits (deposits) in their work.
What are deposits?
There are certain criteria by which deposits are divided into types and subspecies. Bank deposits are differentiated according to the following parameters:
- Deposits can be classified by maturity on demand deposits and term deposits;
- there are types of bank deposits for certain categories of citizens (deposits for senior citizens, children's deposits, deposits for employees of certain enterprises);
- types of deposits in the currency in which they are issued;
- types of deposits by the method of calculating interest.
Term deposits
To begin with, we will determine that a bank deposit can be made out on demand, that is, the bank is obliged to give the client the money invested by him upon request. Since the bank accepted the deposit from the client on the terms of the return of funds at any time convenient for the client, the minimum rates are charged on such a deposit, from 0.1 to 1-1.5%.
With term deposits everything is different. Clients place these types of deposits for specific periods specified in the bank deposit agreement. There are deposits for one, three, six months or one to three years. The interest rate offered by the bank for each individual deposit usually rises in proportion to the length of the term, that is, the longer the credit institution keeps funds on deposit, the more attractive the rate it offers to the client in return. However, in order to receive the full amount of interest accumulated over a certain period of time, the client needs to keep money on the deposit for the entire duration of the bank deposit agreement. In case of early closure, the client receives a penny profit - the interest on the deposit will be equal to the rate on the demand deposit. There is justice, because the bank could not use the client’s funds exactly the period specified in the bank deposit agreement, which means it lost a certain profit. However, due to increasing competition in the banking sector, in order to keep the client, almost all banks offer a more loyal early termination of the deposit (applies to deposits opened for a period of more than 6 months), namely, after the money has matured in the account for more 6 months, upon closing the deposit, the client receives 2/3 of the interest rate, which was originally indicated in the bank deposit agreement.
Fixed-term deposits are divided into separate subspecies according to the possibility of movement of funds on the deposit: savings, savings, settlement. Let us dwell on each in more detail.
- Savings - this is the easiest type of term deposit, "put and forget." Such a deposit cannot be replenished or partially withdrawn from it (in some cases only monthly interest can be withdrawn), however, banks set the highest interest rates on such deposits. Most often, such deposits are made by customers who have sold real estate or received a sudden inheritance - having a large amount of money.
- Cumulative - the deposit is allowed to be replenished during the entire term of the contract. Basically, such deposits attract customers who want to gradually accumulate a large amount for an expensive purchase (car, apartment, vacation abroad).
- Settlement - for this type of deposit, the client has the greatest freedom of action, manages his savings as he sees fit: replenishes or withdraws funds at any necessary time, as often as he wants. It is easy to guess that the bank usually offers the lowest interest rate on this deposit.
Types of deposits for certain categories of citizens
There are deposits for various categories of customers.
- Deposits for pensioners - as a rule, the bank offers deposits to this segment of citizens at very attractive rates with more favorable and convenient conditions than for other individuals.
- Children's deposit - a targeted deposit opened in the name of a child with a depositor who has reached the age of 18 (i.e., parents, guardians, relatives). According to the law in force in our country, a person who has reached the age of 14 can take any actions on a deposit, until this moment the depositor disposes of the deposit. Such deposits are the longest, on average up to 5 years, but this is their advantage, because it makes it possible to accumulate the desired amount for the child without the temptation for the parents to spend the money.
- Deposits for employees of certain enterprises - a type of bank deposits, as a rule, with a higher interest rate than for other individuals. These deposits are offered for employees of salary projects of the bank or for employees of enterprises - corporate clients of the bank.
Currency deposits
Bank deposits can be differentiated by the type of currency in which they are opened. Modern banks provide not only the usual currencies for us to store - the US dollar and euro, but also others, such as the Swiss franc, Japanese yen, British pound, etc.
It is also possible to issue a multicurrency deposit. The Bank opens one account in which the amount of money is placed in several currencies at once. One of the most attractive facts that prompts a client to open this type of deposit is the probability of a good extra income in case the currency suddenly starts to grow. Then, the interest rate stated in the bank deposit agreement also includes growth in the exchange rate of a certain currency, in ruble terms, which can increase the deposit amount by several times. Therefore, one of the risks of this type of deposit is a decrease in cash in the event of a depreciation of the currency. Therefore, foreign currency deposits are most often opened by clients who have closely studied fluctuations in currency quotes and have closely monitored the trends of ups and downs in the exchange rate of interest to them.
Types of deposits by interest method
Depending on the type of deposit, the bank most often can offer customers three methods of calculating interest:
- Accrue payments on a monthly basis and capitalize, which means transferring interest to the amount of the registered deposit. In this case, interest is accrued not only on the invested funds, but also on the interest itself, which gives a big profit to the client.
- Accrue interest on the deposit amount on a quarterly basis - most often for seasonal deposits (in other words, promotional), the deposit amount will be increased by the amount of interest once every three months.
- To accrue interest at the end of the deposit term - this type of bank deposits, deposits, as a rule, open for a year or more, do not renew automatically, but the bank offers temptingly high interest rates on them. Most often, the bank offers registration of these deposits on the eve of any holidays, for example, Victory Day, New Year, etc.
Conclusion
So, in this article we figured out the types of bank deposits, their description and conditions. Now, if you have a desire not only to save your money, but also to increase it, you can safely go to any bank, already knowingly turn to a specialist and choose the most profitable and convenient deposit for you.