Given the new notice from the European Central Bank (ECB) about another rate hike, the second of the year, European banks strengthen the profitability of their deposits. Specifically, financial experts predict that on March 16 the central bank will raise rates another half a point, which would place them at 3.50%. Faced with these prospects, financial institutions have already appeared, as well as foreign ones, that offer remunerations configured at this new level. On the other hand, most of the Spanish banks maintain their policy of delaying the increase in remuneration.
The financial products that caress that 3.50% are marketed in the medium term; specifically two and three years. Therefore, to access a higher return, the client will have to tie up their savings for a longer time. The bank in the euro zone that offers the highest interest for two years is Banca Progetto, with a remuneration of 3.49% APR, while with its three-year deposit this 3.50% would be exceeded, up to 3.52% APR .
For its part, Haitong follows the Italian very closely. With your two-year deposits you can get a return of 3.39%, while if the money is linked for a longer time, specifically three years, the remuneration would reach 3.43%. Both entities require a minimum amount to invest of 10,000 euros, so users who are interested in these remunerations must have some liquidity. However, there are also very competitive deposits that are chasing this Lagarde rate hike with much more lax minimum figures to pay out.
The minimum tax for Banca Sistema is 5,000 euros. With the fixed-term tax for a period of two years, the Italian entity offers 3.15%, but for the three-year product it scales up to 3.20% APR. Against this deposit stands out the French bank Younited. This entity further drops the money limit from which remuneration can be obtained, specifically, the figure drops to 2,000 euros. In addition, the entity has recently raised the profitability of its two- and three-year deposits to 3.22 and 3.25%, respectively.
Finally, BluOr Bank sneaks onto the scene with the most attractive minimum and with a much more remarkable remuneration than the previous ones. Specifically, the Latvian bank allows its clients to invest any amount of money, since their deposit only requires a minimum of one euro. Meanwhile, the profitability offered by its two-year product stands at 3.45% APR and 3.49% at three years, thus sneaking into second place in the ranking with the highest remuneration.
How the deposits of Spanish banks work
On the other hand, the Spanish commercial banks still do not offer attractive returns on their deposits and the best offers are still well below the products marketed by the ‘euro entities’. In fact, it is still further from the rate hike to 3.50% expected for this month.
For example, one of the best national products in the medium term is offered by EBN Banco. The user can opt for a return of 2.45% APR through his two-year Sinycon Plus deposit, while if he wants to link up with the bank for three years, the client will access a remuneration of up to 2.55%. However, these percentages are nowhere near the top of Banca Progetto’s list, nor are they close to the next level of the eurozone money price.