The traditional fixed term pays a higher rate and the new inflation forecasts indicate that it will continue to be positive. How much is earned with $130,000 in 30 days
By Mariano Jaimovich
10/04/2023 – 16,26hs
Rising inflation and interest rates for investment instruments under review lead small and medium savers to analyze where to place their money. Beyond that, the traditional fixed term it continues to be a hedging instrument given the constant increase in prices in the economy. To calculate the money that can be obtained through this instrument, the case of the Banco Galiciaone of the most important private financial Argentine firms.
Based on this, iProfessional calculated the income offered by a bank deposit of, for example, $130,000 for a period of 30 dayswhich is the minimum permanence time of the funds that is requested by the system.
The traditional fixed term pays more interest since mid-March, since the Central Bank increased the nominal annual rate (TNA) from 75% to the current 78%, for placements of less than $10 million made by natural persons.
Therefore, this translates to for each month of investment a profit of 6.4% is obtained on the constituted capital. A percentage that looks interesting, but which is located below the forecasts of the economists for the inflation that was registered last March, at a level of around 7%.
Traditional fixed term and the “danger” of rising inflation
Although analysts estimate that the consumer price index (CPI) concluded last month with that aforementioned high increase, the doubts regarding the traditional fixed term is how it will be located in the coming months.
according to In the last Survey of Market Expectations (REM), published in early April, the economists consulted by the Central Bank projected that the current month will close with inflation of 6.3%. In other words, if said estimate is fulfilled, the rate paid by bank deposits would once again be positive, offering 6.4%.
The traditional fixed term offers a monthly rate of 6.4%, so in March it lost with inflation estimated at 7%, but in April it could be reversed.
Meanwhile, in the same survey among experts, it is expected that in May the National CPI drops to 6.1% and in June it is 6%. In these cases, the traditional fixed term would once again be the winner.
On the other hand, income improves when taking into account the Annual Effective Rate (TEA), which is equivalent to an income of 113%if the money placed plus the interest earned is constantly renewed every 30 days, and this process is repeated consecutively for a whole year.
Through this mechanism, inflation expected by economists is beaten, around 110% for the next 12 months, according to the latest REM. In turn, the theoretical income measured in TEA is 9.29% per montha percentage that significantly exceeds the highest inflation expectations.
Fixed term Banco Galicia: how much can you earn with $130,000
Specific, When doing the relevant accounts, it can be said that the profit obtained in a traditional 30-day fixed term with an initial capital of $130,000 in Banco Galicia, in all that period is a total of $138,333..
So, with the inverted figure analyzed in the example an extra of $8,333 will be generatedwhich is equivalent to earning 6.4% per month (78% per year).
To constitute a traditional fixed term in Banco GaliciaIn the first place, you must be a client of this entity, have an account in pesos and be registered as a user to have the possibility of entering the different electronic channels, such as the web page (home banking) or app for cell phones y tablets.
The minimum amount that is required to invest in this financial tool over a period of 30 days is one symbolic figure of $100.
If $130,000 is placed in a traditional 30-day fixed term, a total of $138,333 can be earned in that period.
In short, to access the online banking and to be able to establish a traditional fixed term for a period of one month or more, the following steps should be considered:
- When entering the entity’s home banking, you must register, then go to “start“of the site, and only there go to the tab of “investments” a “new investment“and in that section select the option”fixed term“.
- Next step, you must select the alternative that shows the option “traditional in pesos“, and there click on the button “choose amount“.
- Then you have to place the amount of money that you want to invest (minimum is $100), and press “following“.
- Step followed, it must “select term” preferred and click “following“.
- After completing that step, touch the option that says “account credit” and in consequence, “following“.
- It’s recommended to check that the selected data is correct, and there has not been an error in the entry, and after that the operation must be confirmed by pressing “constitute fixed term”. Therefore, this is how the traditional fixed term has been formed.-
