In order to have a stable high income, which can guarantee bank deposits to their owners, potential customers of financial institutions should make money on a long-term deposit.This person receives passive income.But it was at the conclusion of a long-term contract will be fixed the interest rate at a certain level, and it will be higher than for short-term contribution.And, as a rule, this rate is always much higher than at the conclusion of the deposit agreement on other terms.The law also does not allow the bank to unilaterally without the consent of the depositor change the interest rate downward.But, as practice shows, the banking institutions have a lot of tricks with which uninformed citizens in financial matters as a result of long-term investments can incur losses.The most common ones are the following:
1. The bank deposit contract prescribes a floating rate.It may consist of coefficient multiplied by the discount rate.If it reduced the official discount rate and the deposit is reduced.
2. placing deposits in banks, the customer can sign a contract, which represents the condition for the revision of interest rates to decrease in the preliminary agreement with the contributor.In practice, it looks like this: the bank sends a letter, which indicates a reduction in the rate.If the customer agrees to these terms, he must confirm this in writing for a specified period.If the investor does not agree to reduce the interest rate, the bank offers him to terminate the contract prematurely, but the interest on such contributions will be paid taking into account its premature removal.Of course, in financial terms the investor will suffer.Prove anything in court is also not always possible, because in the contract the investor subscribed to the conditions under which the bank may have to offer lower interest rates.
significant disadvantages, which have a long-term bank deposits of individuals is a risk of losing money in the event of a crisis of the system - the early withdrawal of deposits is not provided.Banks, in turn, is beneficial to raise money for long deposits.In this case, they have free access to the management of these funds at its discretion.
