In one of our previous articles, we talked about safe-deposit boxes in banks. Let’s have a look at how secure your savings accounts or money market accounts can be.
It is evident that the advantage of money market accounts is in their flexibility: you can take the necessary amount of money at any time, but you still get certain interest rates for your deposit. Different sources recommend keeping an amount equal to your 2-3 monthly salary or 2-3 monthly expenses on your savings account or money market account. This would allow you to use it in case of any unexpected emergencies.
Germany (just an example)
Let’s take Germany as an example. The consumer price index in April 2026 was at 2,9%. In other words, the inflation of the consumer prices was at 2,9%. If you would put 10.000 EUR in a money market account in Germany, the best offers (we exclude timely restricted promotions or offers of foreign banks) were at about 1,41% as shown on the screenshot below.
Check24.de – top interest rates in German banks as of May 2026
You could be happy when you would see that at the end of the year, your money market account would show an amount of 10.141 EUR. It’s an increase, you get more money in your account, it’s more than you deposited 12 months before. But effectively, taking into consideration the current inflation rate, the purchase power of your deposit in a year from now (equal to 10.141 EUR in the account) would shrink down and correspond only to 9.851 EUR of today’s purchase power.
If your tax-free allowance for interest rates in savings accounts arrived at its limits, the amount of 141 EUR would be taxed at 25% on top (valid for Germany, other countries can vary) leaving you less money and even less purchase power in your account.
Overall, it is still better than keeping the necessary emergency money on your checking account and not getting any interests for it at all.
What about precious metals?
Gold, at the same time, performed over 34% in the last 12 months as you can see from the screenshot below:
Chart of gold performance in the last 12 months from gold.de, red mark by Singabiz®
With out partner flexgold you can instantly purchase and sell metals at the spot prices. White metals are VAT-free as long as you do not request physical delivery to you. In some countries, like Germany, the earnings from price increase are fully tax-free after one year of ownership. And with special conditions of Singabiz® you can save even more. You can find further information in our previous articles here, here and here.
Higher Amounts?
Still, it is evident that you need a certain minimum emergency amount in your bank account. However, many people hesitate when it is about what to do with a sudden windfall, either because of the company bonus payments, heritage, house sale, payoff or severance package – whatever. They do not want to make any mistakes in placing their money and just put the whole amount in the savings account or in the money market account.
Just imagine, you got 100.000 EUR and put it in your account. As described above, if you do your math, the annual loss of your purchase power would be around 1490 EUR in the conditions given. 25% taxes coming eventually on top and decreasing it further down accordingly.
Compared to it, the gold performance – even deducting 2,9% inflation rate for „apples-to-apples“ comparison – would be at 34,09% – 2,9% = 31,19%. And that’s completely tax-free in many countries (* check the tax law in the country of your tax residence).
Fairy tales about 100.000 EUR protected deposits
Another issue with savings accounts or money market accounts – many believe in the fact that the deposits in the banks are protected up to 100.000 EUR. Well, it is not per account, it is per person. Even if the total deposited amount is spread across different accounts or banks.
In Switzerland, for example, the secured amount is at 100.000 CHF but capped at 7,9 billion CHF per bank. If 79.000 customers deposit 100.000 CHF each, it could work, but then the 7,9 billion would be reached already. What if the bank is big enough and has 1.000.000 customers with such deposits? Each could get just 7.900 CHF in case if the bank would go bankrupt. 7,9 billion would be used up.
The banks in the EU do not have such an official cap. But the amounts in protection funds are not illimited neither which as well would lead to the similar situation like with Swiss banks.
In other words, “up to” means that it is the maximum amount you could eventually get, not the “guaranteed amount”.
Money in a bank account does not belong to you
Not forgetting about the fact that the money in your bank account belongs not to you but to the bank. Putting it in the bank account, you “loan” it to the bank. Not forgetting about bail-in: you as “creditor” of the bank participate in its financial losses. The most recent example within the EU: Cyprus, 2013. The deposited amounts were frozen and partially lost forever. Actually, the money is not lost, it’s just that someone else has it now.
Cutting long story short: do not keep in your bank accounts more money than really necessary. Diversify your bank accounts through different banks and even countries. Protect your purchase power by investing via smart contracts into assets which bring you in a stable way much more interests than the current inflation rate. And that’s tax free under certain circumstances. Protect your purchase power by holding it in precious metals which have a proven track record over thousands of years in safely protecting the purchase power of its owners. And that’s tax free under certain circumstances.
Important to keep in mind: it is not recommended to purchase precious metals if you plan to pull out your invested money within a short period of time. Precious metals have a certain volatility which is, however, moderate compared to shares, ETFs, crypto etc. But you still can face phases when the price of the metal drops below your last purchase price before it goes up again. If you need to cash it out right in this unfavorable moment, it can also cause losses. For immediate cash needs, the saving accounts or money market accounts are the right ones.
Third Opportunity Window Is Open Now
For investors with 6-digits amounts (or more): the third opportunity window in Dubai is currently open but will not last long. Probably just few months, like it was with the previous opportunities back in 2009 and 2020. Via our trusted partner in Dubai (within TOP 5 real estate agents among over 50.000 on the market) we can help you to purchase apartments and housing with prices over 30% below their real and official market value. Good opportunity to invest and to take advantage of the market recovery in few months from now. These properties are not published; they are purchased yet before they are published. Via Singabiz® you can get access to this exclusive elite club of investors.
Closing with the citation of Rothschild: invest at the sound of canons, sell at the sound of violins.
Interested in knowing more? Just contact us and one of Singabiz® Representatives will be glad to assist you.
