Banks continue their war for liabilities, now focusing their most aggressive competition on one-year deposits. Currently, you can find up to six banks that offer returns of around 4% APR at this term.
And, for the moment, it seems that this trend will continue to rise. At least as long as the European Central Bank (ECB) continues to raise interest rates, which are now at 4%, with expectations of reaching 4.25% at the next meeting on July 27. A prognosis that its president, Christine Lagarde, confirmed weeks ago.
“This measure by the ECB to combat inflation has a direct impact both on Treasury Bills, which in their last auction have achieved a return of 3.8% at 9 and 12 months, and on fixed-term deposits. The latter compete to attract savers by offering attractive remunerations that exceed interest rates”, explain the experts of the financial comparator HelpMyCash.
Regarding one-year deposits, up to four banks compete for first place in the ranking prepared by HelpMyCash, offering returns starting at 4% APR.
A few days ago, Banca Progetto took the lead in this term with the best 12-month deposit.
The Italian entity pays interest of 4.20% APR. You can hire from 10,000 to 100,000 euros, so you can earn up to 4,200 euros of benefits in a year.
Before Banca Progetto increased the profitability of all its deposits, it was another Italian bank that offered the best remuneration in this term: Banca Sistema, with a profitability of 4.15% APR, very similar to that of Progetto.
However, to open a deposit in Banca Sistema, a minimum of 20,000 euros is required.
For their part, Haitong and Fjord Bank close this Top 4 to 12 months with a tie at 4% APR.
While the first requires a minimum of 10,000 euros to contract it, the advantage of Fjord Bank is that it asks for only 1,000 euros to start generating benefits.
Currently, the deposit market offer is so wide that a one-year deposit can be contracted with a return of around 4% from the minimum amounts available for all budgets.
With only 500 euros, you can obtain a deposit at 3.95% APR for 12 months. These are the cases of the Swedish bank Klarna and the Estonian entity LHV.
“At HelpMyCash we often recommend making our money profitable, even if we don't have much savings. At a time when deposits offer such competitive remuneration and ask for such a low minimum amount, Klarna or LHV deposits are perfect for those who want to start getting benefits from their savings”, the experts point out.
After the analysis carried out by HelpMyCash, it can be verified that the most interesting deposits are located outside of Spain.
However, that does not have to be an impediment to be able to contract them in a very simple way, online and without costs thanks to the Raisin platform.
“You just have to open a completely online and free account at Raisin Bank, choose the deposit in which you want to put the savings and transfer the desired money to the account. From here, Raisin will take care of all the management with the bank to which the chosen deposit belongs and will move our money there so that we don't have to deal with anything”, they conclude.
All deposits available at Raisin are protected by the Deposit Guarantee Fund (FGD) of the country to which the bank belongs. As in Spain, the FGD in these countries covers up to 100,000 euros per owner and entity.
Therefore, in the event that that bank fails, both the capital and the interest generated would be fully protected up to that amount.
