This is how banks scam you

So at this point everyone knows about banks and thinks that it is a good way to keep your money safe and also add more money that bank gives you on the name of interest which is around 0.3%-0.5% and maybe even low. But what if I tell you that your money is actually losing it’s value! Yes so today I would tell you how Banks are scamming you.

First thing, lets say you deposited around 10000 dollars in your bank account and bank gives you 0.3% interest on it but if the bank goes bankrupt (ironic)then it would only return you 25% of your money that is just 2500 bucks.

Now banks going bankrupt is not very often and very rare but its still a risk, but lets ignore it for now. We all know that banks give us around 0.3% interest on our money but bank invest or loan out our money to other people on 6–7% interest rate and keep the difference, the question is can’t we ourselves loan out money to others or invest it in stock market and make big profit than depositing in the bank? This is the main trick by which banks make money.

Also the average inflation every year is around 6% and bank gives you 20 times less interest on your money and by this your money is actually losing its value and your are not getting any money. This is the reason most millionaires don’t have their most money in their banks, instead they have their money in stocks or some other assets where it doesn’t loses it’s value.

That’s all for today’s article be sure to follow me on twitter @mahaskasnaij