It is a product indicated to make profitable savings. It pays you a certain percentage for having your money in an account . The difference with other similar products such as fixed terms is that here you can fully use your money and you will not receive any penalty for withdrawing it.
What Are The Benefits Of A Paid Account?
- It offers you profitability for your money.
- You can freely enter and withdraw money from your account without receiving any penalty.
- The more money you have in the account, the more profitability it gives you, which encourages saving.
- It has no associated risks.
How To Choose Between The Best Paying Accounts?
The factors that you have to pay attention to are the following:
- Account profitability .
- Check if there are commissions or there is some kind of mandatory stay or penalty for withdrawing the money.
- Some entities set a minimum and even a maximum amount of money in this type of account.
Advantages And Disadvantages Of This Product
The good thing is that you have your money always available and normally there are no commissions. Also, your money is never at risk and the APR is usually high. The downside is that you can find that a bank asks you for a certain permanence in exchange for an interesting return and that the personal income tax you pay in these cases is higher than with other financial products.
How To Calculate The Interest Of A Paid Account?
When you go to find out about a product of this type, it is normal for entities to place a lot of emphasis on the TIN, but what you should really be interested in is the APR.
The Annual Equivalent Rate is the one that is really going to tell you how much you are going to earn with your money after deducting expenses. Therefore, if you want to calculate the profitability of a paid account, or compare between several of them, always look at the APR .
How Are Paid Accounts Taxed?
What you get for having your money in a remunerated account is taxed as income from movable capital . This implies that up to 6,000 euros an interest rate of 19% is applied, 21% up to 50,000 euros and 23% from 50,001 euros.
The Key To Get More Benefits With Paid Accounts
Paid accounts can be a good option to take advantage of your savings, especially for that part reserved to cover unforeseen events and have liquidity , but they should not be your only alternative. Our recommendation is that you opt for diversification , so that part of your savings is in accounts of this type and the rest in other products such as PIAs or investment funds.
Now that you know this financial product better, it will not be difficult for you to find the best paid accounts on the market. However, it is best to consult a financial educator before making a decision who will advise you on the best tools and products to get more out of your savings.