Advantages and Disadvantages of Saving in Bank


Saving is part of financial planning for dealing with financial needs in the future. Small time first we taught parents to save money so we are used to living frugally. First we make use of the media as a piggy bank saving. Present utilization of piggy banks gradually diminished as the increasing utilization of banking facilities in saving.

Over time the bank has continued to improve his Ministry with innovate on products and features. This service facilitates the improvement of the society in the conduct of financial activities, including saving. Currently assisting lay away their funds in the bank not only enjoy the facilities, but also enjoy SMS Banking, mobile banking, and Internet banking.

Advantages and Disadvantages of Saving in Bank


Growing number of people who want to lay away their funds make banks compete to provide the best service. People also started jelly in choosing bank by comparing the advantages and disadvantages of each bank. That way, people can choose a service based on the needs of banks not based on trends.

This is Excess Saving in Bank
There are a number of advantages to be gained by saving money in the bank. Below are eight profit by saving it in the bank.

The advantages of the flowers and for the results
Although interest rates are not a major concern for most customers, the flowers still give impact on savings funds. It is indeed a benefit of flowers is not how. However, if you save a long period and the funds saved from time to time, the greater the interest savings will give a significant advantage.

Security
Security is one of the important factor in saving money in the bank. The bank has a layered security system, either physical or nonphysical.

Freedom in Trades
All banks offer features that are fully equipped for the customer. In addition to saving money, you have the opportunity to do a financial transaction. The features of such transactions usually include a variety of things, such as money withdrawal and transfer transactions via ATM, SMS Banking, or Internet banking. The existence of these features gives you easiness to do a transaction for 24 hours. The customer becomes free in the transaction.

More practical and simple
Save money in the bank is more practical and simple. You are quite the financial plan by looking at the details in a given bank savings book. In other words, savings book arguably as your financial reports. Pass savings book, you can find out the amount of money in and out.

The chance of Getting a Gift
Saving in banks is becoming very attractive because the bank will give gifts to customers. Actually, gift-giving is not given to every customer. Gifts given through the draw. However, the relocation attracted the attention of many people. The reason, the prize may be offered money millions or luxury car. The more diligent savings then the opportunity to get the prizes getting bigger.

Able to manage Finances with more planned
One of the goals of saving is so that we can manage money with more planned. By putting money in the bank, in particular, by choosing the savings products futures, financial planning can be more focused and consistent. You are automatically being disciplined in running financial planning.

A Fairly safe investment option
Saving can also be used as investment choice even though the result is not greater than other investment options. There are many investment choices that are more promising than saving investment, such as stocks, bonds, or mutual funds. However, saving is secure in investing because of risks that are smaller than other investment options.

Easily taken for urgent need
With the freedom of a given transaction, money saving could be taken away at any time. Unless you choose saving futures. When suddenly in need of funds, your savings can be counted on. You will not find obstacles in a withdrawal.

It is this Lack of Saving in the Bank
Beyond all the ease/benefits offered, saving in banks also have some weaknesses, including the following:

Not Free
Basically, saving money in the bank is tantamount to deposit money at trusted institutions. Of course saving at banks are generally not free. You must pay the administrative fee each month that are directly deducted from the funds you tube. However, if you use these types of Savings, you are exempt from the fee. Nevertheless, there are still costs, such as costs of passive, closing fees and transaction fees, account debit.

Hard Savings Flourish
In contrast to investment, while saving money in the bank, you do not directly increase just because flowers or for results. The advantage you get is not how every month. It could be just the money savings interest really give you an advantage that you expect.

The Little interest
Yet there is one bank that provides high interest on your savings. The average ordinary savings interest around 1%. The advantage gained by the average interest surely not so noticeably. Therefore, less precise may save money in the bank to get some back.

The Existence of a Transaction Limit
Although you are free to do the transaction, it turns out that there is a limit imposed on bank. For example, the existence of a minimum balance in the account must be available so that you cannot withdraw completely.

Read Also:

Related Posts
Disqus Comments