Reasons why people don't save in banks.

btaliat

VIP Contributor
There are many ways of saving of money apart from the banks. In fact, most people including me dislike saving money in the banks for various reasons. Though, no one can deny the fact that banks still remains the safest and the most trustworthy place we can save our money without entertaining any fear, the disadvantages of saving in banks are more than what one can explain.

The main reason why I don't like saving in the banks is the fact that most time, it devalues the money. Someone that saves #50000 last month may discover that the money has lost its value as it cannot purchase commodity that is worth the same amount.

Another reason why people may not even want to save with the bank is the fact that there is always excessive charges from the banks. They charge unnecessarily which does help in reducing the value of the saved money.

The other reason is that most time, banks don't ooerste ok weekends which means someone may have limitations to when to access his money. Though the provision of Automated Teller machine has eased this tension, it doesn't change the fact that not all ATM users are literate which make some of them fall into cheap scam.
 

funmi

Verified member
Of course, banks is not the best place to save money as far as am concerned. The benefits of saving money in the bank is not that much at all. Now, adays , banks are becoming useless than what anybody can ever imagine.
Banks service charges are way too much than normal. They charge people more money and they deduct the money from your account without prior notice or warning. The money you save in the bank is usually not the amount you will see in there when you want to withdraw it.
I think this is why many online banking services started because people felt exploited and cheated some online banks did not use to charge people as much as the normal banks do. Am even preparing to register with one of the online banks too. As am already fed up with on site banking system
 
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eldavis

Guest
My major reason why I find it hard to save in the bank is simply cause of these many charges, the annoying part about it is that in most cases, they do not even have a legit reason why they take these charges. I think one of the best places to save your money, is saving it through stable coins. I heard USDT is one of the best stable coins to save your capital.
 

btaliat

VIP Contributor
It is not arguable that most people don't want to save in banks any longer. The charges that are not accounted for, unnecessary delay and poor network can be the reasons or some of the reason why people will not want to save more in the banks.

Unfortunately, there is no better alternative to saving in banks. There is no security in other forms of saving. Your money is always saved in the banks even if the banks go bankrupt, burgled or even at the worse scenario, got burnt.
This is not so on other forms of saving. I could remember some days ago when a popular online platform designed for saving went on holiday and the users were panicked.

There has also been an instance when one of those popular online banks reported its memebers for indulging in cryptocurrency ( cryptocurrency has been partially regulated in Nigeria where the incident happened). This case is breach of contract by the banks and the customers whom trusted the bank with his secret.


Even those that decide to save in crypto still make their bad moment when there is bearish market. Though USDT doesn't get affected but what's the essence when the values also reduces and you have to wait for bullish market to make the value goes up.
 

Bard Racheal

Active member
The banking system of saving money is good.
Yes,it is good in the sense that it has saved so many people from getting their stolen.

It has saved people the tension of saving their money at home.

But,the banking system of this days is kind of disappointing,most especially in Nigeria. (If I may say).
Because I am not aware of the way it is being taken care of in other countries,that is the reason i'm using my country as a typical example.


We save our money, hopefully that we will be having it intact when ever we need them.
Only to get alerts almost every day that we have been debited.
We will be like: how,When, Why, and who did that?


Many people has been passing through this particular thing.
So,this is the reason why many people opt out to use another medium to save their money.
Because no one wants to suffer to get his or her money and it ends up been sapped by the bank for some reasons that seem irrelevant.


But, I will say that it is not still bad if we use the online banking system .
If these other way disappoints us,the likes of KUDA,an online bank that is reliable is also recommended to us.
That's it.
 

Mika

VIP Contributor
I don't know where you come from, what kind of monetary policy your country has, and what kind of rules are implemented by the banks in your country, however, banks are very powerful and also very popular in my home country. Unless you have a checking account or current account, banks give you interest on your deposit (in my home county). A normal saving interest is between 4 percent to 8 percent depending on the institutions (A class banks offer lower interest rates and smaller financial institutions offer higher interest rates), whereas interest on a fixed deposit account is between 10 percent to 13 percent depending on the institutions and fixed deposit period. If you want to save money, I do not think you get a better option than banks. You might save money at your home, but you don't get any interest in your saving. You might save money as bonds, security of deposit, etc, but these are not actually saving methods, instead, these are investment strategies. Banks do have some charges such as charges on online banking, sms alerts, even ATM withdrawals, etc, but you have on option not to subscribe to these to services avoid bank charges.
 

Shaf

Verified member
Despite the disadvantages of saving money in banks, the long term security and monetary benefits would far outweigh saving it elsewhere, except if its invested in a profitable venture.

For one, most people cannot save money personally without using part or all of it if the need arises, which is rare of the money is in the bank.

A lot of people have complaints about the banks charges of recent, but if you have a large sum of money, saving it and losing a small percent is better than losing everything while avoiding the bank. Also, one can opt out of all services that are chargeable and opt for only email alerts. Infact, it's not necessary to have a card for a savings account till it get to your target.
 

Shigobad2020

Active member
Though currently theirs more disadvantages of saving in the bank than its advantages , and one of the advantage is that your money is safe and secured, and if even there's a robbery in the bank , the bank will still provide your money for you safely.
Secondly you have an opportunity of taking out a loan if your money is in the bank and you can successfully run a business with the loan.

And one of the disadvantages of saving money in the bank is that of unecesary deduction of customers money without any tangible reason nowadays , imagine even when you are trying to recharge your mobile with airtime that's normally free before , the bank will deduct money and even deduct charges for the sms they are sending you when crediting and debiting your account.
The banking sectors is getting worse nowadays and most of the time , saving in piggy bank is far more better.
 

Oluwasegun purpose

Active member
Of course some people don't like to save money in Bank for many reasons.. first what is a bank ? A bank is a place were money and other valuable items are kept. Then why people don't like saving money in bank.is because most people think that their money is not save and most times the money which bank use to take out of people money which they claim as charges and maintenance fee is not good at all those money can also be use for something else.... Bank is not the only place to save money, you can also save your money in a saving box . Saving box is also one of the safest place to save your money which nothing can tough it or take out of it claiming is maintenance fee and you can also save your money in it crypto , crypto is also one of the best ways to save your money and it is trusted and safe .......
 

CALVINDOL

VIP Contributor
A bank is a place where we store our monetary assets and other monetary related assets such as gold, diamonds, and wills etc. It is very possible to say that majority of people do not save their money in the bank and that is possibly due to some environmental factors or some personal factors towards what a bank stands for. Saving money in the bank is absolutely one of the most incredible way we can give our monetary assets the security it needs and deserves. But many people do not see this as others do as a result of no existing bank institution in the country or in the community they reside and so in order to provide security for their monetary assets they make good use of crude ways of money-saving such as the real money on the ground or saving money in wooden boxes and bottles.

Another possible reason why many people do not save money in the bank is because there are illiterates and may not have full knowledge and experience on how the banking sector works.
 

Etini

Valued Contributor
As beautiful and good as saving in banks is, it has its downsides too. Some people could weigh these downsides and think it is not worthwhile saving in banks. Some bank charges are ridiculously high. This can discourage a lot of people from saving their money in banks. When they consider that they would be charged exorbitantly, they might decide against banking.

Banks are not infallible. Sometimes, banks have network issues and you might be needing some cash to meet up with pressing needs and you can't withdraw because of network issues. That can be very frustrating. I have been there before.

Another challenge that people have with banks today is that there are lots of bureaucracies to get simple issues resolved. You were debited and not paid, and you complain at the bank. They would tell you to wait for seven working days so they can rectify that issue. That could be very frustrating.
 

Carpon

Valued Contributor
I save my money primarily in the bank and I am okay with that but still I know reasons why people will choose to save elsewhere than the bank. I acknowledge that one of the safest place to save money safely is actually the bank.

But some of the things banks do actually make people to dislike the idea of saving in the bank. Bank charges as you said use to be very exorbitant at some times. And for any transactions you do, they at times deduct from your savings. And moreso, there is some sort of inconsistency with some banks. Sometimes, you may be unable to perform transactions due to network problems and the likes of issues like that.

You can also be prone to so many security challenges when you save in the bank like scammers calling trying to make you fall in their trap and offer your details which gives them access to your account and funds.
 

Finger Geek

Verified member
The main reason why I don't like saving in the banks is the fact that most time, it devalues the money. Someone that saves #50000 last month may discover that the money has lost its value as it cannot purchase commodity that is worth the same amount.
You are right. This is one of the reasons that I don't save my money in banks because there have been many situations that I will think I have an amount in my bank account and when I want to withdraw it, the next thing that I will see is that I don't have sufficient balance and when I check my balance, I will see that they have deducted some amount of money there.

I prefer using a fintech app like opay because no matter how much I save there, I will still meet the exact amount and also I will see more than that if I save in my owealth wallet which pays interest daily to my wallet.

One thing I don't like about bank is that they will use our money for business and will be giving us very small interest monthly and what they will be giving us is not up to what they will deduct from our bank account
 

isaac01

New member
If you are saving money in banks inflation will devalue your money, I'll advise you to invest your money on something that's worth it, saving on banks might not be a good idea.
 

Kennysplash

Verified member
Well it's just that we don't have any other better choice. It is not advisable to save your money in cash at home, that is even worse. Sometimes I'll receive money only for it not to be in full as sent. Many times I will fight with the sender for sending incomplete amount, only to find out later on that it's the work of the banks. They deduct a lot of unexplained charges, even when it's not the end of the month yet. And then sometimes to withdraw your money when you need it becomes a big problem. But of course we don't have another choice.
 
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