4 ms·

Cash is eroded away by inflation. If your currency hits high inflation for years continuously, like we had in Iceland (yes, I'm from there), going up to 25%, yo

Cash is eroded away by inflation. If your currency hits high inflation for years continuously, like we had in Iceland (yes, I'm from there), going up to 25%, your cash isn't worth shit in 5 years time. I've experienced that. My parents experienced that. They had no "investments", kept their money in low-interest savings accounts, yet somehow their life savings was no longer enough to buy a used Toyota. Want to get more strange? What about war? How much is your money worth in case WW3 breaks out? Hardly likely? sure. Is it possible? absolutely. The point is, nothing is "safe", just different levels of risky.

iaskwhy 11y ago
Sure, I do agree that nothing is safe. But an EU law protecting savings up to 100k eur is an order of magnitude safer than a very small (though beautiful) country, completely isolated in the middle of nowhere with it's own currency were banks where marketing saving accounts much much higher than the inflation rates, right? It's not even comparable. I'm visiting Iceland in March, I'm affraid I might enjoy it a bit too much, enough to make me want to live there. :)