Ulyanovsk residents told about the difference between deposits and investments

Residents of the Ulyanovsk region apply to Rospotrebnadzor with questions about bank deposits and investments. Experts explained how these methods of handling money differ and what risks should be considered.

The main difference is the purpose and level of risk. Savings help to maintain a financial cushion, and investments are aimed at increasing capital, but do not guarantee income.

Bank deposit is suitable for those who want to save money for a vacation, a major purchase or unexpected expenses. The Bank undertakes to return the amount paid and pay interest under the terms of the contract. However, the return on the contribution may be below inflation.

Deposits of up to 1.4 million rubles per person in one bank are insured by the state. In case of bankruptcy of the credit institution, the money together with the accrued interest within the insurance limit is returned by the Deposit Insurance Agency.

Investment is more complicated. Stocks, bonds, real estate and gold can bring higher returns, but their value can decrease. In some cases, the investor risks losing a significant part of the investment or even the entire amount.

Such tools are more often used for long-term purposes: buying housing, saving for retirement or paying for the education of children.

In the regional Rospotrebnadzor advise not to choose between savings and investments, and competently combine both approaches. First, it is necessary to form a financial reserve for unexpected expenses and only then consider investments.