Banks Respond to ECB Rate Hike with Higher Deposit Rates
The European Central Bank recently raised interest rates by 25 basis points to 2.50%, up from 2.25%. In response, some banks have increased their deposit rates, with EBN Banco leading the way by raising its Sinycon deposit range.
EBN Banco's new deposits offer interest rates ranging from 2.40% APR for a three-month term to 3.10% APR for a four-year term. The highest remuneration appears in the long-term products, with the 48-month deposit offering 3.10% APR.
The bank requires customers to have a current account at EBN Banco and allows them to contract deposits from €5,000 to €400,000. However, it's essential to note that these high rates may come with conditions, such as requiring the money to be kept immobilized for several years or losing part of the interest if the deposit is withdrawn early.
The Spanish Deposit Guarantee Fund protects up to 100,000 euros per depositor and credit institution. It's crucial to check which guarantee fund protects the money before contracting a deposit.