1. INTEREST RATE:
pays 0-1%, fixed 5%
2. SAFETY OF ASSETS:
not safe VS safe as it gets
FDIC guarantee only covers $250k (fine print in the guarantee is rumored to say the government can pay you back in table and chairs instead of actual cash you are expecting; they DON'T HAVE YOUR MONEY!) VS Insurance companies actually just don’t lose your money at all & are reinsured by other insurance companies to spread the risk.
“Bail-In” vs NO “Bail-in” clause (banks have a clause that says if they are facing insolvency, they can take your money to build them selves out. Never heard of it? Go ahead and Google it.)
Your bank only keeps 5% of your deposit available. An insirance company MUST, by law, keep 87.5% of your deposit available and in the actual account.
4. LONG TERM CARE BENEFIT POOL:
$0 LTC benefit vs up to 275% of your deposit ($275k on a deposit of $100k)
Your $275,000 in this case would also grow at a compounding 2% for up to 20 years to become a bigger benefit ($408,000 in this case) once you get older and actually need to use it.