What are the advantage and disadvantage of saving money in the bank?

[Mataracy]

Before I will talk about the advantage and disadvantage of saving money in the bank. I will like to call our attention back to the meaning of the bank its self.
Bank can be describe or define as a place where money and other valuable commodity(gold ,jeweres) is kept for save keeping.
The advantage of keeping money in the bank is for the money to be save so that thief will not steal it.
Secondly; one can also fixed the money so that it can yield interest at the appointed time.
Thirdly; we keep money their so that we will not spend it lavishly.
Forth; we also keep our unspent of part of our money their to meet unforeseen circumstances.
But in the other way round I used to look at it that keeping money in bank is just a waste of time sometimes.
The disadvantages of keeping money in the bank is that:
(1) What you save within few minute may latter become many hours whenever you want to collect(withdraw) it back.
(2) You may get to back sometimes to withdraw and they will be telling you that the network is bad but yet they can still collect money at that same moment so annoying some time.
(3) You ATM can be trap at any time especially during weekend and its very discouraging.
(4)ones account can be hacked and all the money can be withdraw.
(5) The interest received on any saving account at the end of the month is too small.
I believe we can see the Advantage and disadvantages .My question is what can we do?
you can also give your own experience or idea on this.

 

[TOZZIBLINKZ]

Advantages of keeping money in the bank
1:bank account are safe
2:to get a bank account where you save your money is cheaper
3:bank account also helps you to access credit
Disadvantages of keeping money in the bank
1:you will be limited on the number of withdrawals
2:it may take you a long time to withdraw money when going to bank because of crowd
3:low interest rates.

 

[Alexandoy]

I had worked in a bank for more than 10 years and my wife is still working in a bank until now. We prefer the bank to hold our excess money because it is insured. That means when the bank goes bankrupt then the government insurance will pay us our deposited money. Although the interest is very minimal at less than 5% per year we still prefer the bank than any other depository agency.

 

[btaliat]

The disadvantage of keeping money is now outweighing its advantages these days. The sloe growth rate is a very turn off to me when it comes to keeping money in banks. You will discover that the money is not even growing at the rate you expect. That's why people dont want to put their money in banks anymore but prefer to be put in cryptocurrency wallet for trading.

 

[Kingsley]

Obviously there are advantages of saving money in the bank as banks is only institution that is known for the safe keeping of money and other values, sometimes we may never know the importance of a particular thing only we are faced with crisis. There is this friend of mine that got paid a huge sum of money for a contract he was yet to carry out and I advise him to take the money straight and save it directly into his account, but he insisted on taking the money home and he said he was going to look for a safe place to keep it in his house, I was not comfortable with his decision but I had to let him do according to what he had in mind. Lo and behold he was robbed that very night and all the money was taken from him. So the truth is we can not rule out the relevance of the banking institutions. They are designed to bring stability in the world of business and in the economy of a country.

The downside or disadvantage generally lies with the issues associated with their excessive bank charges and sometimes unnecessary bureaucracy in their process to administer some of their services to customers, and sometimes they do not take much actions to stop fraudulent practices by criminals. Those are the areas I see as their down side.

Besides all these they are still more reliable as compared to keeping your money with any other person or any other institutions.

 

[Rachael]

Prior to this time, the best saving method was in the bank because people were unaware of how much profits they could earn if they invested in other means and also there was no knowledge of cryptocurrencies investment. The emergence of online investment became an eye-opener for individual and companies to divert their savings from banks to these investment platforms. The interest rate that banks give on a monthly limit is very poor and even when the money is fixed for a long-term, the interest is still not substantial but it is quite baffling how the reverse becomes the case when someone lends money from the bank, you would notice that the interest rate attached to be paid back is so enormous.

Saving money in bank these days for growth is very unprofitable and in my country, it is coupled with a lot of deductions. I still save my money in the bank because I still do not have even the basic knowledge when it comes to trading online. Apart from this, I think it is better to invest in real estate in reputable companies or better still physically by purchasing lands and utilize it till it appreciated further to yield dividends.

 

[Kendy]

The greatest disadvantage of saving money in the bank is due to no feasible interest rate. The main aim of saving money in the bank is just for security purposes. When it comes to securing money, saving through the bank is the safest means because when it comes to investment or trading sites, the site could be hacked or crashed. Most people are now aware of different ways which money could be invested and it would yield profits. However, these means could be very risky. Banks guarantee the security of our funds and you can always peace of mind without worrying about reading of curves and charts or listening to the news constantly but when it comes to gain, the interest is not encouraging.

Presently, I still choose to save the little i have in the bank due to zero risk chances. Saving money in the bank does not guarantee one to outgrow his money. It is now seen to be more profitable if one can save money through investing in different sites or platforms like; stocks and shares, real estate companies, feasible business or better still saving by adopting the treasury bill account is more profitable than the normal mode of savings.

 

[Sotherefore]

I know , All these things are the disadvantage of saving money in the bank , but this shouldn't really be considered because these are minor disadvantage but the major disadvantage of saving money in the bank as I understand is that the bank will be making your money to reduce in value which won't generate a reasonable interest for your saving.

If you are saving 500,000 naira in the bank , you will come to find out that in the next three years from now , 500,000 naira's value will be lower but what you still have in the bank is still 500,000 naira. whereas if you could have invested that money in something profitable , you could have been able to make a huge profit within that 3 years. That could have covered the depreciation of your money.

Well I do not discourage people from saving in the bank , but the most important thing is that for me I'll always try to only save the little amount of money I will need urgently , but my main money will be invested into cryptocurrency for long-term purposes, at least it is safer that way and that will really give me something profitable because the value will always increase.