What is the difference between treasury bonds and time deposits

Now there are more and more investment and financial products for everyone to choose in the market , National debt is a safe and stable investment and financial management tool , It is sought after by many stable investors , Then compared with time deposits , Is national debt safer ? What is the difference between the two ?

Which is safer, treasury bonds or time deposits ?

Time deposits are safer than Treasury bonds . Generally speaking , This is because bank time deposit is a principal guaranteed product , The interest rate of time deposit depends on the length of the deposit term 、 The amount of deposit varies , But as a principal guaranteed and profitable deposit product , There is no possibility of loss ; National debt is guaranteed by national credit , Issued mainly by the state , Although there is no relevant commitment to guarantee the principal directly , But it will not suffer losses under normal circumstances , go by the name of “ Risk free rate of return ”.

What is the difference between treasury bonds and time deposits ?

Although treasury bonds and time deposits have stable returns 、 Safe and reliable features , But there are many differences between the two , As follows ：

【1】 Different in nature

National debt is essentially a bond issued by the state , It is an investment and financial management tool , Time deposits are often a type of bank deposits .

【2】 The starting amount is different

In general , The starting investment amount of national debt is 100 yuan , And the investment amount must be an integral multiple of 100 yuan , There can't be decimals ; However, the requirement of fixed deposit for the initial deposit amount is relatively low , Take the example of lump sum deposit and withdrawal , The minimum deposit amount is 50 element , There is no limit whether the deposit amount is an integer or not .

【3】 Interest rates are different

The risk of treasury bonds is a little higher than that of time deposits , Therefore, its interest rate is generally higher than the time deposit interest rate within the same period , More revenue .

【4】 Different requirements for early expenditure

When the national debt is withdrawn in advance , The return is related to the holding period , If the holding period does not exceed six months , No interest will be paid , And a certain service charge is required ; If the time deposit is withdrawn in advance , Then the interest is calculated directly according to the current interest rate , There is no service charge .

The above is an introduction to Treasury bonds and time deposits , Because the income of both is relatively stable , When making a choice, we should make a choice in combination with the characteristics of different products and the actual situation .