The European Central Bank (ECB) raised interest rates again in May by 25 basis points and the cost of money now stands at 3.75%. This is bad news for debtors -for example, it is reflected in mortgage payments-, but it is positive for savers.
Until now, with negative rates, it was difficult to get a return on savings through deposits. But little by little this trend is reversing and banks are beginning to reward their clients with more and more interest.
Deposits are a banking product through which a customer delivers their money to a bank for a specified period in exchange for agreed interest. These interests can be charged periodically or at the end of the term.
The highest returns
Currently, it is already possible to obtain up to 4% APR for our money in a deposit. It is offered by Banco BIG in its six-month deposit. Specifically, as the entity explains, this product is available to new customers: “a single owner and beneficiary and for imports from other entities.
The minimum deposit to obtain this return is 10,000 euros. With that amount, the client would obtain a return of 200 euros in six months. Interest at 4% is available for a maximum balance of 75,000 euros, which translates to 1,500 euros, also in six months.
During the period of six, the client cannot dispose of his money. Early cancellation is subject to a penalty, although “it may not exceed the gross interest accrued from the beginning of the operation to the date of cancellation.”
Deposits above 3%
Although with less profitability, another option on the market is the Cuenta Facto deposit, which offers 3.29% APR per year. The BFF Bank product requires a minimum balance of 5,000 euros, which carries interest of more than 162 euros after twelve months.
It is also possible to hire this deposit for a term of three and six months with a return of 2.52% and 2.78%, respectively. However, in no case is it possible to resort to early cancellation. In other words, the client will not be able to recover his money until the established term expires.
For its part, the bank offers a deposit at 3.3% APR for a term of one year. Another option is the three-month deposit that offers a return of 3% APR. In both cases, the entity pays interest for balances up to 250,000 euros and the minimum amount is 5,000 euros. In addition, it explains that they make a quarterly payment of interest in the savings account linked to the deposit, remunerated at 0.50% APR.
Among the Spanish banks, the sinycon Plus deposit of EBN Banco stands out, which offers a return of 2.90% APR on this 12-month deposit. The minimum amount is 10,000 euros. With that amount, the client would obtain 287 euros once the term has expired. In this case, early cancellation is not possible either. For shorter terms, EBN Banco also offers deposits with at least a 2% return.