Uncertainty reigns over the economy and runaway inflation does not stop making a dent in everyone's pocket. Therefore, it becomes essential to mitigate this impact by looking for a formula that allows you to obtain a return without exposing yourself too much to the ups and downs of the market. HelpMyCash.com financial comparator experts see an opportunity in interest-bearing accounts and deposits. But, be careful, the latter only in short terms.
The profitability offered by financial institutions for deposits grows at the risk of interest rate hikes announced by the European Central Bank (ECB). Of course, not all go to the same beat and, in fact, traditional Spanish banking has become one of the most backward students in the entire Old Continent.
Although in our country it seems that they do not want to enter the liability war, it does not mean that you cannot find attractive deposits. From HelpMyCash we give you the reasons why you should contract this type of product for a maximum period of one year and we also compile the best European deposits of the moment.
However, the term to which you deposit your money is a decision that you must make yourself according to your needs. But let's be clear. The logical thing would be for you to lean towards one in the short term, since interest rates are expected to continue to rise and the remuneration of this product is thus likely to continue improving. If you opt for the long term and in a few months they improve, you will have to settle for the chosen interest until it reaches maturity with the opportunity cost that this implies.
And the same happens otherwise. Imagine that rates are low again, say, three years from now. If you have opted for a deposit with a longer term, you will not be able to take advantage of the opportunity to reinvest the money deposited in another before the new period of decreases begins and to be able to extend the possibility of squeezing the maximum returns that can currently be found in the market.
Once the reasons have been clarified, you must decide whether to contract a deposit now or wait. Remember that the ECB will meet again on December 15 and market expectations point to a new rise in official interest rates of at least 0.50 percentage points. This potential new upward movement, which would become the fourth so far this year, will act as a boost to the supply of deposits from financial institutions. In the last six months they have risen an average of 200%.
Therefore, we could understand that you want to wait and once the December appointment of the monetary body has passed, take action according to the reaction of the returns. However, even if your strategy is to stay on guard in case they go up soon, you should not miss the opportunity to get the most out of your money, even if it is minimal. Remember that the monster of inflation makes your purchasing power less and less.
Paid accounts have been forgotten in recent years, but they are starting to take off. They are a good option because the money you keep in them achieves a certain revaluation and there is no obligation to keep it for a certain period, being able to deposit it at any time in the product that suits you best.
If you want to jump into other lesser-known entities, Lea Bank and Klarna are a good option, with 0.96% and 0.95%, respectively. The latter also work with Raisin, which would allow you to be prepared in case you want to contract a deposit through this platform.
If your option is to bet now for deposits, HelpMyCash experts bring you a selection with the best current proposals in the short term. If until recently it was difficult (if not impossible) to deposit money in another country, the Raisin platform has come to democratize the world of deposits and open the catalog of all of Europe to all Europeans. Raisin was born in Germany almost a decade ago and has half a million customers.
The ideal would be to get a first deposit for six months. Although the profitability is low, it will allow you to unlock the money in a short period of time. Currently, Banca Progetto's six-month fixed-term deposit stands out, with an interest rate of 1.80% APR.
Once it expires, it could be interesting to analyze the options for a year ahead. It is foreseeable that in the coming months they will increase. At this time, from the comparator they also point to the 12-month deposit of Banca Progetto, with an interest of 2.50%. The entity is Italian and, therefore, the money you allocate to the deposit will be covered by the Italian Deposit Guarantee Fund (FGD).
