They are term deposit certificates (Term Deposit), which despite the different economic changes, continue to be a good option for those who have capital and want to invest it in a safe way.
What is a Term Deposit?
When opening a Term Deposit, one of the most important points to consider is the interest rate they offer, since that will determine how much you will get in earnings; However, it is not the only thing to be fixed. An additional element is how you will be paid interest and this will depend on the purposes of your Term Deposit.
There is the option of obtaining interest payment on a monthly basis, this type is called payment “for interest profitability.” This is useful when capital is quite large and the monthly earnings will become your source of income.
On the other hand, there is the “interest capitalization” option
This means that interest will be paid at the end of the agreed period and not month to month. In addition, in some banks you are given the option to revert the interest generated, in most cases with a new rate or conditions. If at all costs you are looking to save, this is the option that would allow you to do so, because you will not be able to use the interest until the deadline is met.
If you started the year with capital that has been growing and you want it to continue on that path, obtaining a Term Deposit is presented as an attractive option to achieve it.