This November, online banks are offering competitive boosted rates on savings accounts, ranging from 2.25% to 5%. The Cashbee Savings Account leads with a 5% rate for the first two months on deposits up to 200,000 euros. Other accounts like Zesto offer attractive one-year rates. It’s crucial to compare base and boosted rates, as well as conditions, to maximize returns. Notably, these accounts generally yield higher returns than traditional bank offerings.
Exciting Boosted Rates on Bank Savings Accounts This November
The competition in the realm of super savings accounts is heating up as we approach the year’s end. Currently, a total of 11 online banks and specialized institutions are presenting attractive rates ranging from 2.25% to 5%. The concept is straightforward: enjoy a higher return during the initial months after opening the account, followed by a standard rate that is generally lower.
For instance, the Cashbee Savings Account is leading the pack with an impressive boosted rate of 5% for the first two months, applicable up to a maximum of 200,000 euros.
Your investment timeline plays a crucial role in determining the best option. If you’re considering a one-year investment, the Zesto account from Renault Bank stands out with a competitive base rate of 2.75%, surpassing Cashbee’s rate of 2.50%. The one-year return for Cashbee is at 2.93%, while Zesto offers a slightly higher rate of 3.08%.
Exploring various savings options including Savings Account A, term accounts, and life insurance products can help you maximize your returns for November 2024.
It’s essential to remember that these figures reflect gross returns. Unlike Savings Account A, the LDDS, or the LEP, bank savings accounts are subject to taxation. They face a flat tax rate of 30%, which incorporates 17.2% for social contributions and 12.8% for income tax. If your income permits, you can even apply for an exemption from the 12.8% advance on income tax for the interest earned in 2025 until the end of November.
Our analysis indicates that the difference in interest earned on an investment of 1,000 euros over a year is minimal across the five savings accounts we reviewed. The variance is only up to 1.40 euros over three months and 2.44 euros over one year, with accounts from Placement-Direct, Ramify, and Meilleurtaux demonstrating closely aligned returns.
Understanding the Unique Conditions of Each Bank Savings Account
It’s important to note that the rates associated with bank savings accounts can fluctuate at any time due to the institution’s commercial strategies. Therefore, before settling on a boosted rate bank savings account, it’s crucial to evaluate all the relevant remuneration factors: the base rate, the boosted rate, and the deposit amount to which these rates apply. For example, the 5% rate on the Cashbee account is limited to deposits of 200,000 euros, while the Meilleurtaux account offers a similar limit of 200,000 euros at a 4% boosted rate for two months. In contrast, the Zesto account has a boosted rate of 4% for three months but only up to 100,000 euros, requiring a minimum deposit of 500 euros versus Cashbee’s or Meilleurtaux’s 10 euros.
Additionally, until the end of November, the Zesto account is offering a bonus of 60 euros for first-time subscribers, provided that you maintain a minimum balance of 30,000 euros from December 15, 2024, until May 31, 2025. This bonus may not be accessible to everyone due to its conditions.
For further insights, refer to our methodology for calculating these averages.
Ultimately, the “super-savings accounts” available through online banks and specialized credit institutions typically offer significantly higher returns compared to standard accounts from traditional banks. As per our latest survey, the average base rate for these accounts is a commendable 2.08% gross in November, while major banks lag behind with an average rate of only 0.46% gross.
Explore our comparison to discover the best bank savings accounts available today.