Comparison of CMA interest rates in parking accounts and check!
parking account
You’ll give me interest if I leave it for a day?In the past, these questions might have been asked, but these days, I don’t think they will be asked these questions because they are well known.It’s a parking account.It is a compound word of Parking + Bank account, which means parking, and refers to a occasional deposit and withdrawal account that can be withdrawn immediately at any time after temporarily putting money in the parking lot.In the past, the occasional deposit and withdrawal bankbook seemed to have little interest.So I signed up for deposits or installment savings, but these days, as the benchmark interest rate continues to rise to curb inflation, more and more people are waiting for higher-interest products to come out rather than immediately signing up for deposits.These people use parking accounts a lot for short-term deposits when they have a large amount of money.
Korea’s benchmark interest rate (Source: Investing dotcom)
There are many parking accounts, but Toss is the most representative one.Toss, which was launched in October 2021, gained a lot of popularity by paying 2% interest (up to 100 million won), a fairly high interest rate compared to other bank parking accounts.Recently, the limit has been changed to 2.3%.It also allows you to receive interest every day and benefits every day.In my case, since it’s a small amount of money, I don’t know if it has a compound interest effect.ㅠ UI The UI is good and the benefits such as free remittance fee were easy to use.However, other banks are also trying to attract customers’ money by offering high interest rates these days.
parking account interest rate as of October 1
There are bank accounts with high interest rates, but please check if there are other additional conditions and how much the limit is.In the case of savings banks, there are concerns about the recent PF insolvency from Legoland, so I recommend you to make it less than 50 million won.
CMA
It stands for Cash Management Account.It is operated through a comprehensive financial company or securities company as an occasional deposit and withdrawal bankbook that is automatically invested in government bond bills when depositing.If you search for CMA, you will find many products as follows.
I am using Mirae Asset Naver bankbook.Up to 10 million won, 3.05% interest is paid, and over 10 million won is 2.6% interest.I’m depositing 10 million won, and I’m accumulating about 700 won a day.In about 3 days, you can drink a cup of iced Americano at Mega Coffee or Compos.
daily interest
CMA Comparison of Parking Bank Account
1) What do we have in common?
Parking bankbook/CMA type of CMA operator Characteristics
common ground offering higher interest rates than ordinary bank accounts longitudinal mold comprehensive financial company Protect depositors up to 50 million won per person
You can deposit and withdraw money from time to time even with interest every day. RP type securities firm Purchase of Redemption Conditional Bonds (Fixed Rate)
Check cards, credit cards, etc. can be linked MMF type
MMW type
2) Differences
parking account CMA
Difference It is a product handled by a bank and protects up to 50 million won under the Depositor Protection Act. Since it is a product operated through a securities firm or a general financial company, depositors may not be protected depending on the type of bankbook.
no possibility of principal loss It’s a low probability, but there is a possibility of principal loss.
In general, interest calculated on a daily basis is paid on a fixed date once a month or quarter (but there are also products paid on a daily basis). daily interest accrued on a daily basis
So far, I have looked into the parking bankbook and CMA.There are a lot of high-interest products these days, but if it is money that needs to be stored for a short period of time, it would be better to use parking accounts and CMA to collect even a little more interest.
Thank you for reading the long article!