Term deposit account: interest is back! Which bank pays how much | money

More and more banks are saying goodbye to negative interest rates – and the The savings interest increases dramatically. Since an all-time low in mid-April, fixed-term deposit rates have more than doubled in some banks, from 0.17% to 0.35% over a two-year period.

This shows Index of fixed-term deposits of the consumer portal biallo.de.

In the months of May and June alone, almost half of the banks listed on biallo.de significantly increased their conditions, sometimes in several stages. “This marked the turnaround in savings interest rates,” says Horst Biallo, founder and CEO of the consumer portal of the same name, exclusively at BILD.

And further: “The recent upward trend in fixed-term deposit rates is likely to accelerate if the ECB raises interest rates for the first time in eleven years on 21 July.”

Deutsche Pfandbriefbank (pbb Direkt) currently offers the best term deposit offer among domestic banks, which will demand 1.25% from July 1 for a two-year term, as BILD knows in advance. Creditplus Bank follows directly with 1.20 percent.

If you want to brush up on more interest, you will find it at foreign banks. Swedish financial services provider Klarna recently upped the ante and is now offering 1.60% annually for a two-year term. The other places are the Estonian Bigbank with 1.50 and the Italian FCA Bank (only from 1 July) with 1.30 per cent.

Fixed-term deposit accounts are a safe haven for some investors, as there is almost no risk unless the bank goes bankrupt, but beware! With inflation now over seven percent, the real interest rate is still clearly negative. Who “invests” in fixed deposits loses purchasing power, even if less than if he hid the money under the mattress.

The fact is: if you invest EUR 10,000 with German deposit insurance at Deutsche Pfandbriefbank (pbb) for two years, you’ll end up with EUR 10,251.56 in your account (at a guaranteed annual interest rate of 1.25% ). After all.

Putting your money into a term deposit account is only suitable for investors who don’t want to take the risk of investing in the capital market, but still want to get a small return. Currently it is not suitable for increasing assets, but for guaranteeing savings.

If you are concerned about even greater security, you can use the so-called country rating from the US rating agency Standard & Poor’s as a guide. “For banks in countries with a credit rating of at least ‘AA-‘, we believe that the likelihood of default is very low and affected customers should be promptly compensated for compensation,” says interest rate expert Horst Biallo.

“In general, we recommend not investing more than € 100,000 in a bank, regardless of the country’s rating. Because deposits are legally guaranteed only up to this amount ”.

Interest development on fixed deposits with a duration of one year

Offeror Duration 1 year (from 1 July) Duration 2 years (from 1 July)
Bank Klarna AB 1.30% 1.60%
Bigbank 0.60% 1.50%
Banca Fca* 0.95% 1.30%
pbb directly* 0.75% 1.25%
Creditplus bank 0.70% 1.20%
Construction mortgages 0.40% 1.20%
Bank Renault direct 0.80% 1.20%
IKB Deutsche Industriebank 0.40% 1.00%
Direct NIBC 0.45% 0.85%
abcbank 0.55% 0.80%
Agricultural credit 0.51% 0.76%
SWK South West Credit Bank 0.60% 0.75%
Vakifbank international 0.25% 0.35%
* from 1 July 2022

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