What are the differences between bank deposits and insurance?

First of all, let’s talk about time deposits. Their interest is guaranteed and will not fluctuate for any reason.

As for the insurance deposit certificate, it depends on the bank. Some banks, such as the one launched by the Industrial and Commercial Bank of China this time, guarantee that the interest will be compounded every year, and will write down the guarantee in written form. Then the interest will be It will definitely be higher than the regular rate,

And some banks only verbally guarantee the interest rate, and then there will be variables. Some may be higher than the regular rate, and some may be lower than the regular rate. So which one is better depends on the individual.

The "Deposit Insurance Regulations" are formulated by the State Council of the People's Republic of China and the People's Republic of China to establish and standardize the deposit insurance system, protect the legitimate rights and interests of depositors in accordance with the law, prevent and resolve financial risks in a timely manner, and maintain financial stability. It was released on February 17, 2015 and came into effect on May 1, 2015.

Article 1: These Regulations are formulated in order to establish and standardize the deposit insurance system, protect the legitimate rights and interests of depositors in accordance with the law, prevent and resolve financial risks in a timely manner, and maintain financial stability.

Article 2 Commercial banks, rural cooperative banks, rural credit cooperatives and other deposit-taking banking financial institutions (hereinafter collectively referred to as insurance institutions) established within the territory of the People's Republic of China shall comply with these Regulations Deposit insurance is required.

The provisions of the preceding paragraph shall not apply to the branches established by insurance institutions outside the territory of the People's Republic of China and the branches established by foreign banks within the territory of the People's Republic of China. However, there are exceptions to the deposit insurance system arrangements between the People's Republic of China and other countries or regions.

Article 3 The term “deposit insurance” as mentioned in these Regulations refers to the payment of premiums by insurance institutions to the deposit insurance fund management agency to form a deposit insurance fund. The deposit insurance fund management agency shall reimburse depositors for deposits in accordance with the provisions of these Regulations. A system to insure deposits and take necessary measures to maintain the safety of deposits and deposit insurance funds.

Article 4 Insured deposits include RMB deposits and foreign currency deposits absorbed by insured institutions. However, this does not include interbank deposits of financial institutions, deposits of senior managers of insured institutions with this insured institution, and other deposits that are not insured by the deposit insurance fund management agency.

Article 5: Deposit insurance implements limited reimbursement, and the maximum reimbursement limit is RMB 500,000. The People's Bank of China, in conjunction with relevant departments of the State Council, may adjust the maximum repayment limit based on economic development, changes in deposit structure, financial risk conditions and other factors, and shall report to the State Council for approval before promulgating and implementing it.

If the combined deposit principal and interest of all insured deposit accounts of the same depositor in the same insured institution are within the maximum repayment limit, full repayment will be implemented; the portion exceeding the maximum repayment limit will be repaid. Receive compensation from the liquidated property of the insured institution in accordance with the law.

After the deposit insurance fund management institution repays the depositor's insured deposit, it will obtain the depositor's claims against the insured institution in the same order of repayment within the scope of the repayment amount.

The repayment methods for social insurance funds and housing provident fund deposits shall be formulated separately by the People's Bank of China in conjunction with relevant departments of the State Council and submitted to the State Council for approval.

Article 6 The sources of deposit insurance funds include:

(1) Premiums paid by insurance institutions;

(2) Distributions in the liquidation of insurance institutions Property;

(3) The income obtained by the deposit insurance fund management institution from the use of deposit insurance funds;

(4) Other legal income.

Article 7 The deposit insurance fund management agency shall perform the following duties:

(1) Formulate and publish rules related to the performance of its duties;

(2) Formulate and adjust deposit insurance premium rates and submit them to the State Council for approval;

(3) Determine the applicable rates for each insurance institution;

(4) Collect premiums;

(5) Manage and use deposit insurance funds;

(6) Take early corrective measures and risk disposal measures in accordance with the provisions of these regulations;

(7) In accordance with the provisions of these regulations timely repay the insured deposits of depositors within the limit;

(8) Other duties approved by the State Council.

The management agency of the deposit insurance fund shall be determined by the State Council.

Article 8: Deposit-taking banking financial institutions that have opened before the implementation of these Regulations shall handle insurance procedures within the time limit specified by the deposit insurance fund management agency.

Deposit-taking banking financial institutions that open after the implementation of these Regulations shall go through insurance procedures in accordance with the regulations of the deposit insurance fund management agency within 6 months from the date of issuance of a business license by the administrative department for industry and commerce.