The economic uncertainty caused by the coronavirus and the drop in rates hit fixed terms. However, the BCRA published useful considerations
With a fixed-term interest rate going down (currently at 23%), many savers are abandoning this method of saving.
Aware of this situation, the Central Bank of the Argentine Republic released 10 recommendations to consider and that could help maintain the investment.
1. Keeping money at home does not generate any revenue. The Fixed Term offers a known return (the interest rate), it is simple, it is safe and it contributes to the financing of bank clients.
two. Before choosing a bank to establish a fixed term, check the fixed term rate by Home Banking or by investment banking, electronic media tend to offer better interest rates.
3. Generally, the longer the term, the higher the rate the bank is willing to pay. If you know that the money will not be needed for more than 30 days, check the interest rates for longer terms, 60, 90, 180 and 360 days.
Four. The fixed terms that were captured at a rate higher than the reference rate, and those that have had special incentives or remuneration other than the interest rate, are not guaranteed by the Deposit Guarantee Insurance.
5. Generally, the greater the amount deposited, the higher the rate that the bank is willing to pay. The minimum amount for a fixed term is usually $ 1000.
6. Fixed-term operations can be done in pesos or dollars, and the rates of one and the other are different.
7. It is advisable to invest in a fixed term when you are sure that the money deposited will not be needed for a certain time, because it will be immobilized without being able to be withdrawn until it expires.
8. The fixed terms in pesos are compensable, this increases their security since it allows to avoid the transfer of money from one entity to another. When presenting a compensable fixed term in another entity, the options that can be accessed are: deposit it in another account or constitute a new fixed term.
9. Before setting up a fixed term, check the interest rate in different entities to opt for the best offer of interest rates.
10. Those fixed terms that have a specific modality (eg pre-cancellable, adjustable with CER clause, UVas, etc.) or those that have been made electronically (by ATM, Home Banking, telephone, etc.) are not compensable, as it is necessary Possess the physical document to present it in another entity.
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