This is a condition that almost all financial institutions have. The card only brings in income if non-cash transactions are made with it during the month. If you simply keep money on the card but do not spend it, using this method of passive income is unprofitable. It is better to open a deposit, which will have a higher interest rate.
Minimum replenishment
Some banks set minimum replenishment amounts during the month. There will be no income if there are no receipts. In the event that you do not replenish the card on which the money is stored, it may be more profitable to open a deposit.
Upper limit of accruals
If the amount is too large, you will most likely only receive income from a certain limit. If the upper limit is ₽200,000 and you keep ₽300,000, interest will not be accrued on the entire balance, but only on ₽200,000.
Pros and cons of PNO
PNO is an additional method of passive income. It can czech republic mobile database be used with great benefit due to the following advantages:
Low entry threshold. You can earn income from small amounts that are not very suitable for deposits.
Easy to apply for. You don't need to open an additional savings account - just get a card.
Convenient to use. You can withdraw money and top up the card at any time without prior notice to the bank. It will be more difficult with a deposit.
Accrual of income to the card.
The disadvantages of the service include:
lower returns compared to deposits;
multiple conditions that need to be met monthly.
Many clients find it easy to deposit and withdraw money within the established limits. This allows them to receive passive income without spending any time or effort.
Main differences from a deposit
To consider all the differences in income on the balance from a classic deposit, we will present the data in the form of a table.