Each person is interested in increasing his opportunities and material resources. A rather good option against the general background are deposits with capitalization of interest and replenishment. What are they? What are the benefits? How are they attractive to the average citizen? We will talk about all this in the framework of this article.
general information
First, let's find out what are deposits with capitalization of interest and replenishment. This is the name of special savings programs, which provide that all interest received on the basis of a contract is added to the amount of investments, and starting from the next billing month, they also accrue a certain amount established by the conclusion.
Example
To better understand what deposits with capitalization of interest and replenishment are, let's look at how everything happens in reality. So, let's say there is a person with savings in the form of 100 thousand rubles. He decides to deposit them. He is interested in deposits with capitalization of interest and replenishment. Sberbank offers the best conditions, and it turns to this financial institution. An agreement is concluded on making a deposit on the ninth of a certain month at 12% per annum. Time is running out and interest is beginning to drip. For one month, an amount of one thousand rubles is accumulated. On the ninth, it is added to the 100,000 that make up the main body of the deposit. And already interest is charged on 101 thousand rubles. That is, for the second month a person will receive not 1000, but 1010! The benefits of this approach are obvious. But are things really the way they seem?
Hidden nuance
At first glance, the advantage of capitalization deposits is obvious. After all, the amount for which interest will accrue is constantly increasing. Using the example of the earlier example, we can see for ourselves that the usual 12% and capitalization of 12% are two different things. True, such a benefit can only be obtained theoretically. Where is the hidden nuance here, where is the catch? But the fact is that the proposed interest rate, as a rule, is much lower than on
deposits with a monthly payment of "running" funds. Therefore, capitalization often does not produce the expected effect. If you take and calculate the profit, it turns out that in the case of short periods, it is more pleasant to use deposits with payment at the end of the contract or on a monthly basis. Moreover, the difference can reach significant amounts both in quantitative indicators and in percentage. Here is such a pitfall. And the calculation of the deposit with interest capitalization and replenishment allows you to find out whether the deposit is really profitable, or, perhaps, other offers will be more interesting. But is everything so bad? Let's make another U-turn and look at the existing problem from a different perspective.
Long lead times
Suppose we have a spherical investor in a vacuum in which a child was born. He decides to
open a deposit by his coming of age. He has ten thousand rubles and two offers to choose from:
- Open a deposit without the possibility of additional capitalization at 25 percent. At first glance, this is by far the most profitable option.
- Open a deposit with a capitalization of 15 percent. It may seem that this option immediately disappears.
Agree, many, without hesitation, will choose the first option, since it offers the best conditions. But at the time of coming of age, the second option will give a gain in quantitative terms a little less than twenty percent! Can you imagine? Almost one fifth of the benefits! Although, in fairness, it should be noted that for the most part the money received from the first option will have greater purchasing power, so both options should be carefully considered to decide which is better.
Who is this suitable for?
It should be noted that deposits with capitalization of funds are of interest not only to those people who save up money for the maturity of their child (well, or retirement). Those people who cannot or do not want to receive interest every month make their choice in favor of this approach. Especially for them a separate integrated solution is offered. It represents deposits with capitalization of interest and replenishment and partial withdrawal of funds. Although this, of course, is not the only option. After all, you can make a deposit so that all funds are automatically transferred to a savings card. Despite the existence of various opportunities, one should nevertheless take into account the profitability of the funds received.
Who to contact?
If you want to know what the options considered are in practice, you can pay attention to the largest financial institutions. Deposits of Sberbank with interest capitalization and replenishment, VTB 24, Alfa-Bank, as well as a number of other large service representatives offer relatively low interest rates. In addition, much depends on additional conditions. So, if you conclude a deposit agreement, you can expect to receive 5-8 percent profit per year. It should be noted that in many respects the result depends on the situation. So, when a financial institution requires additional funds, it increases the amount of interest paid. On the one hand, it is certainly beneficial. But on the other hand, it indicates the presence of certain problems. Therefore, although bank deposits are considered relatively reliable investments, you still need to think carefully about whether you should trust your savings to a specific financial structure.
Conclusion
The peculiarity of people is that we ourselves can make decisions that will subsequently affect the standard of living. Although it cannot be said that deposits with a monthly interest capitalization and replenishment are something that cannot be avoided, they can nevertheless have a positive impact on the future. So, let's say someone wants to open their own enterprise. And this is a costly affair for which money is needed. They can also be obtained on credit, but it is unlikely that someone will want to allocate a large amount without security, and providing the only housing as collateral is not an option, because it is still unknown whether everything will work out or not. Therefore, you can use the services of deposits to accumulate the required amount. Quickly, the business will not burn out, but if you deduct 3-5 thousand rubles every month, which is not very much by the standards of the Russian Federation, then enough money will accumulate in a few years in order to be re-qualified as an entrepreneur. It is only necessary to act stubbornly and methodically, without stopping and not giving up. And then everything will work out. Good luck!