In this post we talk about the differences associated with investing your money in expression to invest it through a crowdlending platform. Keep reading to discover all of them.
A fixed-term deposit consists of delivering a great amount of money to a financial organization during a previously established phrase, which will generate a return.
Invest fixed-term cash, an investment alternative
Trading fixed-term money is a conventional form of investment, but these days more and more people are looking for other expense alternatives, mainly due to the fall in interest rates and the major decrease in profitability obtained simply by investing an amount. of money.
One of these alternatives towards the investment of fixed-term cash and that is beginning to grow in an accelerated rate in our nation is participatory financing or even Crowdlending, which consists within putting people who want to get in touch with, through a Crowdlending platform Spend your money to obtain a return along with companies or other people searching for financing.
Exactly what does investing fixed-term money need to do with Crowdlending?
Each fixed-term money deposits plus Crowdlending are investment options with which to obtain a return intended for investing our money. However are differences between both of these forms of investment, there are also elements in which they are similar.
- Loans via Crowdlending platforms are also set term, ranging between three months and 5 years.
- The profitability which is obtained by investing some money, can be charged 30 days by month or from maturity.
- Both terms and the profitability to become obtained are agreed upon at the start of the operation between the celebrations.
- Time debris, like Crowdlending, have extra guarantees that ensure the particular collection of capital and attention by the investor.
Characteristics of trading money in a fixed term
- Time deposits pounds are financial products that have simply no risk, since they have a Down payment Guarantee Fund that addresses operations of up to € one hundred, 000.
- They have got great liquidity, except in situations where you have to pay a payment if you want to take out the money prior to the fixed term expires.
- The profitability is definitely assured and is agreed prior to the start of the operation, although it holds true that at present this success is around 1 to 3%, falling considerably in recent times.
- All the procedures of the type of operations are performed in a financial entity, that is in charge of saving the money spent until the expiry of the set term deposit.