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What are the advantages of saving money in a bank?


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2011-03-21 08:13:29
2011-03-21 08:13:29

Money saved in a bank is generally insured up to $100,000. Money saved under a mattress is not.

AnswerSimply put, the person will have money earning a specified amount of interest, that can be used when needed. Whereas funds invested in CD's Money Market accounts and so on are generally subject to penalties if an early withdrawal is neccessary. Answer:Although the interest that you earn will be lost due to the inflation rate, your loss will not be as great as keeping it under your mattress.

Here's what I have:

  • There is the advantage of security. The money is safe from theft and in certain circumstances the money will be insured by the federal government if any problems befall the bank.
  • Due to inflation, if your money is not invested or placed in an account that is earning more than the current rate of inflation, you are actually losing money. Therefore it is essential that you save your money in an account that offers an interest rate that is above the current rate of inflation.

Related Questions

There are numerous advantages of saving money in a bank for both the person saving the money and others. a. The money you save earns you interest income b. The money you save is lent out as loans to help out others c. The money you save can be withdrawn at any point in future to help you with your financial needs.

if you save your money in the bank you are quite sure if anything goes wrong (i.e robbery, fire-outbreak etc) the bank will replace it.

The chief advantages of having a Saving Bank Account are 01) It enables to save money.02) It develops the habit of Saving.03) It enables us to deal less in physical cash.

Saving money means you put money in a envelope or a bank account. "savings" Well you put it away and you don't touch the money and you keep adding money to the envelope or bank account

Saving can be used in a sentence many ways. For example you can use it referring it as saving money in the bank: How much money are you saving in your savings account?

i worked for this bank and have not received my vestyed money it's been ten yrs now

· to accept deposits of money (encourage saving)· to lend money

It will defends on the situation,The advantages to make payment later to the customer.The company saving money or invest it to the bank

Money collectinc for the people

to save money for college or retirement

to put money (cash) in some place that is safe

It means that you are saving some money in your own bank account.

Economical: bank guarantees are quite cost-saving as compared with bank loansSafe: reduction of risks inherent in transaction

yes, hence the name saving account.

It is not common for a bank to lose any account number. It may be a good idea to consult the bank in order to know why the account number is missing.

Advantages of saving money, rather than spending it would be that when you save it you can then purchase something bigger. Also, if you ever lose a job or something you would then have something to fall back on.

A saving culture would be a society in which it is considered normal and appropriate for people to save money in bank accounts.

The money is not readily available if an emergency arises Also the bank can freeze your acct at any time if they deem appropriate.

Saving lifes, more money and higher education

Banks do not create money, they only use the money from saving accounts and lend it to people. When they lend the interest from the loan is profit for the bank.

Advantages:You can't spend the money as easily, so you're more likely to keep savingYou earn interest on the moneyDisadvantages: You can't get the money as easily if you have an emergency

it is energy saving as they do not use batteries and there for do not use up your money

Two advantages of using a horse and cart are saving the earth by not emitting harmful toxins into the atmosphere, and also saving money on gas or other cost associated with travel by car.

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