For many years, the interest rates of savings accounts were nearly stagnant. But things have finally been changing since the Swiss National Bank raised its key interest rate in 2022 and 2023.
After many years of low interest rates, savers now finally receive more interest. The weighted average interest rate of Swiss savings accounts for adults is now nearly 0.5 percent per annum. But note: Even with the higher interest, your account will still be worth less at the end of the year because of the current high inflation rates.
Many banks are raising their interest rates for savings
Of the savings accounts included in the moneyland.ch savings account comparison, more than 100 have higher interest rates since the start of May, 2023.
Bank Cler and Raiffeisen, two of the large, countrywide Swiss banks, raised their interest rates for savings accounts at the beginning of May. Raiffeisen Switzerland now pay 0.85 interest per annum for the balances of member savings accounts – up from the previous 0.5 percent. That rate applies to the portion of bank balances which does not exceed 100,000 francs. Each Raiffeisen bank sets its own interest rates, so the real rates may be lower or higher than that, depending on the bank.
At Bank Cler, the annual interest rate for regular savings accounts has nearly doubled to 0.45 percent. Previously, Bank Cler paid just 0.2 percent interest. Its Plus savings account now yields 0.65 percent interest per annum, up from 0.3 percent. Bank Cler pays an additional 1 percent interest per annum for new deposits. But there are special limitations for the Plus savings account.
Comparing pays off
There are very big differences between individual banks. A few Swiss banks still do not pay any interest at all for savings account balances. Other banks are exceptionally generous, and pay interest at rates exceeding one percent per annum.
Note: If you earn one percent interest per year, you will earn 100 francs for every 10,000 francs per year. Comparing savings account interest rates on moneyland.ch pays off. The comparison makes it easy to find the best savings account based on your specific situation. In addition to standard offers, it also accounts for student and senior savings accounts.
Tip: You can open savings accounts at other banks without having to leave your main bank. Simply transfer money from your bank to your savings account at a different bank. Make sure to get informed about the conditions for making withdrawals, and the notice period for closing your savings account. Some banks only let you open a savings account if you also open a private account with them. In that case, you have to account for the costs of the private account when calculating potential yields.
The interest rates of pillar 3a and vested benefits accounts are also going up
In addition to savings accounts, pillar 3a and vested benefits accounts are also experiencing interest rate hikes. The average interest rate for pillar 3a retirement accounts is now just under 0.6 percent per annum. The average annual interest rate across Swiss vested benefits accounts is just under 0.3 percent.
More on this topic:
Compare Swiss savings accounts now
Compare Swiss pillar 3a accounts now
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