Keeping cash at home is not always the best thing to do. It may be a practice that made more sense in its day, but the truth is that there are other factors that can play a trick on you if you are one of those who keep your savings at home. For this reason, here you will find a series of reasons why it is better not to do it.
There are several reasons why it is not always advisable to keep money at home and it is better to opt for the bank. The classic option of keeping savings under the mattress can play a trick, since it has a series of risks that it is better to know at all times to make a more correct decision.
Cons of having money at home
Having all your savings at home and not in a bank can be expensive. Although, like everything, it also has its pros. But, in this case, we will see the drawbacks of keeping the money in your home and not in a bank account.
What is clear is that it is completely legal to have money at home, even the Bank of Spain recommends having 6 to 10 months of fixed cash expenses. Although, it will be legal as long as it has been obtained legally and is declared in the Tax Agency.
Nor is there any regulation that sets a maximum amount that can be had in homes in Spain. However, that does not mean that you can run a series of risks by doing so. So here we leave you the main reasons why you should consider whether or not it is worth it:
- thefts
One of the dangers that cash can run is possible theft. Although, our country is not situated among the nations with a very high crime rate. But, that does not mean that leaving it in the house is a risk.
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Fires and natural disasters
In addition to this, you never know when an incident may occur at home, such as a fire or natural disaster such as flooding due to torrential rains. Or even a collapse of the home, which could mean the loss of money.
- Inflation
And the problems do not end there, another of the great dangers is inflation, which can play against keeping cash in the home, since it will devalue over time. With this, the value of the sum that we have stored in the house is going down, instead of making it save it in bank deposits, remunerated accounts or even investing in things that you understand.
- Problems with the Tax Agency
It must also be taken into account that even if the money you have saved is completely legal, when you want to deposit a large sum in a bank account, the Treasury may knock on your door. And all to demonstrate the origin of those funds that you have entered. In these cases, the ideal is to declare that cash in the income statement so that the origin of that money can be clearly specified and thus not have any type of problem.