Analysis: Banks take into account the decrease in CNB rates by reducing interest on savings accounts

Commercial presentation Update: 05/05/2024 06:20
Issued by: 05/05/2024, 06:20

Prague – Banks take into account the lowering of CNB interest rates in their savings products. A number of them again reduced the basic rates or adjusted the conditions for their provision. However, the highest rate on a savings account is still only slightly above six percent. This follows from the analysis of the company Portu, which is available to ČTK. On Thursday, the Czech National Bank again reduced rates by half a point to 5.25 percent.

The highest interest rate on a savings account can be obtained from Trinity bank, which offers 6.08 percent up to 250,000 crowns. For deposits from CZK 250,000 to ten million, the rate is 5.58 percent. For deposits over ten million, it is 4.08 percent. This offer is valid for new clients. However, Trinity Bank has already informed clients that it will reduce the interest rate to 5.08 percent from May 6.

The recently launched Partners bank has an interest rate of 6.03 percent. It does not set a limit on the maximum interest amount, but it is necessary to pay five times each month by card, otherwise the bank will reduce the rate to three percent after three months. With VÚB Banka, you can earn interest of 5.8 percent on a savings account, which pays interest on all deposits, without setting their upper limit or any other conditions. It is a branch of a Slovak bank, and if the client does not provide a tax domicile certificate from the tax office, the bank will deduct a tax of 19 percent.

Max Bank offers an interest rate of 5.7 percent up to CZK 500,000. The balance above this limit will earn 5.6 percent interest. UniCredit reduced the interest on the savings account to five percent. This is an event only for new clients who open a current account at the same time. Interest is paid on deposits up to two million. The condition is to pay at least three times with a card issued for a current account. Fio banka maintains a rate of 5.5 percent, which is used to earn interest on savings account deposits up to CZK 200,000. At the same time, the bank offers an alternative in the form of a savings account, on which you can use four percent interest with no deposit limit.

Air Bank has reduced interest rates, currently offering 3.75 percent for deposits up to one million crowns. However, it is necessary to pay by card five times a month, and the client must have an income of at least CZK 25,000 per month on the current account. Creditas offers a rate of 5.2 percent for deposits up to CZK 500,000, above this limit it is 2.5 percent. mBank still offers 5.5 percent, but the condition is a current account and the choice of one to eight ‘goals’. A maximum of CZK 100,000 can be saved in each. Interest guaranteed until the end of June. Moneta Money Bank currently offers 4.6 percent for deposits up to one million CZK, part of the deposit above one million bears interest of 0.5 percent.

At Komerční banka, clients can get up to a rate of 4.5 percent. The basic interest rate is two percent and up to CZK 200,000. Deposits above CZK 200,000 earn interest of 0.01 percent.

Raiffeisenbank clients can still reach a rate of five percent, of which the basic interest rate is 0.1 percent and the bonus is 4.9 percent. This can be obtained when clients pay by card three times a month. J&T Banka offers five percent, the condition is a minimum deposit of one million CZK.

At Česká spořitelna, you can get a rate of five percent, but up to CZK 200,000. In addition, it is necessary to have a Plus account, Internet banking George and to invest or contribute to pension savings at least 2000 CZK per month. ČSOB offers five percent for deposits up to CZK 250,000. However, it is necessary to pay by card five times a month and visit ČSOB Smart at least once every three months. Deposits over 250,000 will bear interest at a rate of 3.3 percent, over a million crowns at 0.15 percent.

The CNB started the decline in interest rates last December, when in the first step it lowered the base interest rate by a quarter of a percentage point to 6.75 percent. Before that, rates were unchanged at seven percent for a year and a half. In February of this year, the CNB accelerated its rate reduction, when it went for a drop of half a percentage point, and repeated the same step at the March and May meetings.

CR bank rate analysis