Savings Flashcards
1
Q
Advantages of savings
A
Reduces reliance on credit
Ensures money is available for essential expenditure in emergencies and unplanned events
Financial security (future needs are provided for)
Earn interest
Good financial reputation and credit history
2
Q
Factors to consider when selecting a savings scheme
A
Security of savings
Interest earned
Tax payable
Access to funds
3
Q
What is the deposit guarantee
A
An post and banks are secured by the government on deposits up to €100,000
4
Q
What is a less secure savings option
A
Stocks and shares
5
Q
How could you find the best AER
A
Shop around
6
Q
What is DIRT
A
Deposit Interest Retention Tax
7
Q
What savings are exempt from DiRT
A
An Post
8
Q
Dirt tax
A
41% on all interest earned
