Danish Bank introduces negative interest rates

As the last of the largest banks in Denmark introduces Danish Bank negative interest rates for certain customers. The new interest rates shall enter into forc

Danish Bank introduces negative interest rates

As the last of the largest banks in Denmark introduces Danish Bank negative interest rates for certain customers. The new interest rates shall enter into forc

Ann McDonald
Ann McDonald
20 February 2020 Thursday 14:00
12 Reads
Danish Bank introduces negative interest rates

As the last of the largest banks in Denmark introduces Danish Bank negative interest rates for certain customers.

The new interest rates shall enter into force on 1. June, informs the bank in a press release.

the Danske Bank introduces negative interest rates for deposits of 1.5 million for customers with NemKonto and 750.000 for customers without NemKonto, informs the bank

We must set ourselves to the exceptionally low level of interest rates and the negative interest rates will continue for several years yet. At the same time, we see increased interest for placing money with us from customers, which we do not otherwise have other business with, says Thomas Mitchell, Danske Bank's head of private customers in Denmark.

- It is unsustainable in the long run, and we feel ourselves obliged to let the unusual level of interest rates feed through to very large deposits. Rentesænkningen include under one percent of our residential customers, he continues.

the Former has a large number of other Danish banks, such as Jyske Bank, Sydbank, Nordea and Nykredit introduced different kinds of negative interest rates.

- When we set different limits for when the negative interest rates materialise, it is partly out of consideration for our existing customers, and partly also in this area to provide concrete benefits for customers, who gather their business with us, says Thomas Mitchell.

the interest rate does not apply to, among other things, pension and børneopsparinger, writes the bank finally.

Updated: 20.02.2020 14:00
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