With the continuous development of the financial market, there are now more and more financial investment methods for everyone to choose from, and many of these financial investment methods can bring very high returns. However, despite this, bank fixed deposits are still a popular choice for many people, because it can not only protect the capital, but also support early withdrawal, and more importantly, stable interest income, which meets the needs of the vast majority of people.
In addition, many insiders unanimously suggest that ordinary people must have a long-term fixed deposit. So, why is this said? This article will answer your doubts, the main reasons are the following 3 aspects, let's take a look together.
1. Reduce the rate of depreciation of deposits.
I believe everyone should know that in the context of inflation, the purchasing power of money will decrease year by year. If you keep your money in a bank account all the time, due to the relatively low interest rate, the interest generated is relatively small, coupled with the impact of inflation, it seems that the deposit has generated a little income, but in fact it is depreciating year by year.
But if you put your money in a long-term fixed deposit, you will find that you can bring in relatively more interest due to the higher interest rate level. Although according to the current interest rate level given by major banks for long-term time deposits, many of them cannot outperform inflation, but it is expected to reduce the depreciation rate of deposits deposited in banks. And it is also possible to increase the value of the deposit as the interest continues to increase over time.
2. Compulsory savings.
In today's prevalence of mobile payment, many people's consumption concepts have changed, and it is generally believed that people living in the world can not only know how to save money blindly, but should learn to enjoy themselves in time, and even many people have developed the habit of advanced consumption.
But you know what? There are great hidden dangers in this kind of thinking, such as the sudden public health incident a few years ago, if there is no savings, not only will the personal economy be in trouble, but it may even affect normal life. Therefore, it is still very necessary to save money.
However, in real life, many people can't save much money even if they work hard, because everyone is faced with a variety of **, it is easy to choose to consume because of a momentary impulse. However, if you put some of your money into a long-term fixed deposit every month, you will not be able to withdraw it at any time, because you will lose more interest if you withdraw it early, which can indirectly achieve the effect of mandatory long-term savings, so as to accumulate more money.
It can be seen that having a long-term fixed deposit can avoid impulsive spending and help achieve financial goals.
3. Respond to the decline in interest rates.
If a sum of money is deposited into a long-term fixed deposit, then the deposit interest rate enjoyed by the money is fixed and will not change due to the reduction of the bank deposit rate. This undoubtedly plays a role in coping with the decline in interest rates today, and can obtain relatively high interest income.
Of course, in addition to long-term fixed deposits, the way to cope with the decline in interest rates can also be to choose savings treasury bonds, etc., which can also allow funds to obtain relatively good value. In addition, if the idle time of funds is relatively short, it can also be through currency**, treasury bond reverse repurchase, etc.; Or some new models derived from the trend of policy development, such as foreign trade economic consignment, 30 days of 1% profit, etc., so as to get more returns.
In short, although there are certain deficiencies in the liquidity of fixed deposits, having a long-term fixed deposit can bring many benefits to ordinary people, especially those who want to maintain and increase the value of funds and have a plan, fixed deposits can better achieve their goals. Therefore, ordinary people still have to have a long-term fixed deposit.