Comparison of savings accounts. Which bank will give you the most value for your savings?

High inflation, resulting in rising interest rates and falling stock markets and investment commodities at the same time. These are all factors that have made Czechs’ popular savings accounts an attractive tool for evaluating their savings in recent weeks.

If at the end of last year these financial products were still on the ground, today their rates are close to six percent. Although they still do not cover year-on-year inflation, which rose to 17.2 percent in June, they are unusually generous interest rates compared to recent years.

In addition, as surveys repeatedly show, Czechs trust conservative savings accounts. More than half of the population saves at least some amount in it, because compared to current accounts, it allows them to appreciate their finances, but at the same time to have them “on hand” in case of need – which is especially important for many in today’s uncertain times.

So where do you go for the best savings account right now? Analysts from Scott & Rose regularly try to find answers to this, and under the Finparáda brand, they have been monitoring the offers of banks, insurance companies, building societies and pension companies since 2011.

According to them, it currently has the most advantageous products for the evaluation of finances NEY savings association. In the long term, this provides interested parties with the highest interest rate on the market for term deposits and now also for savings accounts. According to the Chairman of the Board of Directors, Lukáš Hartl, the convenience of time deposits and savings accounts is redeemed by higher interest on loans, which represent NEY’s main profitable pillar.

“The rates of our loan products are usually slightly higher than those of banks, which is the price for a high degree of specialization and the ability to offer loan products to our clients flexibly and very quickly,” Hartl adds.

NEY spořitelní družstvo currently offers “stoves” with an interest rate of 5.75 percent p.a. The minimum allowed deposit for this product is twenty thousand crowns.

However, the condition for its negotiation is the maintenance of a current account, on which interest is credited and all cash flows flow through it. You cannot send money indirectly to and from a savings account.

According to the law, another necessity is membership in a cooperative, which entails the obligation to make a basic membership deposit of one thousand kroner and an additional membership deposit, both of which together must amount to a tenth of the term deposit.

If the client buys a savings account with a deposit of, for example, one hundred thousand crowns, he must still deposit ten thousand, in the form of a basic deposit of one thousand crowns plus an additional deposit of nine thousand crowns. Money in a savings account is insured, just like in banks, up to one hundred thousand euros, or the equivalent in crowns. However, member deposits are not covered by insurance or interest.

The second place in the July ranking of savings accounts went to UniCredit Bankoffering from the beginning of the month to new clients who have taken out one of the current accounts, a second current savings account with an interest rate of 5.5 percent per year – and this when depositing money up to one million crowns.

Third in order Expobank attracts the NEO current account, which from July 12 provides an interest rate of 4.61 percent p.a. with no limit on the amount of the deposit.

The ranking, which compares the savings accounts of all domestic banks, monitors their profitability for the year, including all bonuses and benefits for both new and existing clients. If the bank pays interest on individual deposit bands at a different interest rate, the real interest rate/yield that the client will receive is calculated.

Scott & Rose usually divides savings accounts into three categories: up to 300,000 crowns, from 300,000 to 600,000 crowns and over 600,000 crowns. And this time, all three categories had the same cast on the podium.

It scored points for term deposits NEY savings association with an interest rate that can rise to an unprecedented value of 7.25 percent for an annual deposit. Interest is credited at the end of the deposit. In the case of a monthly subscription, the rate is reduced by 0.1 to 0.2 percent. The minimum deposit amount is twenty thousand crowns.

It jumped to second place Artesa, savings association. The financial institution, in which an almost ten percent share belongs to, among other things, the church, more precisely the Roman Catholic Diocese of České Budějovice, provides an interest rate of up to 6.3 percent p.a. for one-, two-year and three-year fixed deposits. Clients must deposit at least twenty thousand crowns.

She took third place UniCredit Bank (up to 6.3 percent p.a.), dropped to fourth place Bank Credits (up to 5.2 percent p.a.) and appeared in fifth position Raiffeisen Bank (up to 5 percent p. a.).

The complete results of the rankings, including their criteria, can be found on the Finparady website.