Seven days notice deposit risk?

The deposit interest rate is not fixed and may fluctuate due to market supply and demand, inflation, policy regulation and other factors. If the deposit interest rate drops, the income of investors will decrease and the opportunity cost will increase.

2. Inflation risk

Inflation refers to the continuous rise in the overall price level, which will lead to the decline in the purchasing power of money, that is, you can buy less things with the same money. If the inflation rate is higher than the deposit interest rate, the actual income of investors will become negative, which means that the deposit bank will lose money.

3. Bank credit risk

Bank credit risk refers to the risk that banks cannot repay investors' principal and interest on time or in full. Although China has implemented the deposit insurance system, investors may still face losses if their deposits exceed the guaranteed amount.

In addition to the above deposit risks, seven-day notice deposit also has certain disadvantages:

1, low deposit interest rate.

In general, the interest rate of this notice deposit is generally low. The deposit interest rate of most banks is around 1. 1%, and some banks reach 1.6%.

2. The initial deposit amount is high.

The initial deposit amount of seven-day notice deposit is relatively high, generally 50,000 yuan, which is much higher than other types of time deposit products.

3. Exit is not flexible enough

Seven-day notice deposit can only be withdrawn after making an appointment seven days in advance. If it is a temporary need, users will not get the funds.

The seven-day notice deposit of the bank means that the bank pays interest every seven days from the date when the investor deposits the funds. If they don't quit, the principal and interest will automatically enter the next cycle. If you want to withdraw money, you need to inform the bank 7 days in advance. After agreeing on the date and amount of withdrawal, you can go to the bank to withdraw money and enjoy the corresponding deposit interest. Otherwise, the default withdrawal will bear interest at the current interest rate.

When withdrawing part of the deposit, the withdrawal amount should be greater than the minimum initial deposit amount of the notice deposit. That is to say, if the deposit is withdrawn seven days in advance, the remaining amount in the account after withdrawal cannot be less than 50,000 yuan, otherwise it will be transferred to the current deposit account, that is, the interest will be calculated according to the current interest rate.