CHAPTER 7 – SAVING Calculating savings including DIRT A
Go to page 59 of your Activities and Accounts Book to practise calculating savings including DIRT.
SAVING AND INVESTING
Saving and investing both involve putting money into a financial institution with a view to earning interest. However, there are some differences between the products described by the two terms.
Savings products, such as deposit accounts, are usually best suited to shorter-term, regular saving. Savings account holders can access the money in their account with little or no notice.
There is a wide variety of investment products, which allow investors to save lump sums. Money is harder to access, and customers may have to wait for a fixed period of months or years before they can make a withdrawal. However, investment options offer higher rates of interest than regular savings accounts.
i
Investing refers to a long-term financial commitment. For example, saving money in a fixed-term high-interest account, or buying shares in a business that can be sold if their value increases.
SAVING AND INVESTMENT OPTIONS
In Ireland, commercial banks, credit unions and An Post offer a number of options to those wishing to save or invest their money.
