security deposit account comparison switzerland
Accounts & Cards

Rental Deposit Accounts in Switzerland Compared

September 11, 2024 - Benjamin Manz

What is a Swiss rental deposit savings account and how does it work? Read this guide from moneyland.ch to find out.

In Switzerland you as a renter will normally be expected to put down a deposit on your rental home. Your deposit is placed in a rental deposit account. Money placed in this kind of account is held in trust by the bank.

Rental deposits: An untouchable asset

A rental deposit savings account is untouchable. Your money remains in the account for the entire duration of the rental period, and you will not be able to touch it without getting a green light from your landlord.

What you can access whenever you choose are the annual yields earned on the money deposited in the account.

Your deposit should be made available to you within 30 days of your rental contract’s expiry. That is, of course, as long as there aren’t any damages or rental payments that need to be covered.

Any disputes between you and your landlord regarding the repayment of your rental deposit can be brought before the arbitration office for settlement. If your former landlord fails to repay your deposit within 1 year from the time your rental agreement expires, the money will automatically be returned to you as the renter. That means you will receive unrestricted access to your deposit 1 year after the termination of your rental contract, even without your former landlord’s consent.

Rental deposits: The limits

A rental deposit serves as a safety buffer which a landlord can fall back on to cover unpaid rental dues or additional charges, and damages to the property caused by the renter. But the maximum deposit you as a renter can be expected to put down must not exceed 3 months worth of rent. Your deposit is covered by deposit protection, up to a 100,000 franc cap.

The landlord picks the account

The choice of which bank your deposit will be held at goes to the landlord, rather than the renter. But you have every right to suggest using a different bank if your landlord’s pick doesn’t suit your style. The rental deposit savings account can be opened either by the renter or the landlord.

Comparing interest rates across rental deposit savings accounts

As with regular savings accounts, the interest you earn through a rental deposit savings account varies from bank to bank. Generally, interest rates will either be equal to those of regular savings accounts, or slightly lower. Banks excuse the lower rates by citing the higher administrative costs involved in closing the account at the end of a rental period.

Deposit savings rates at leading Swiss banks:

Bank Annual interest rate
Bank Cler 0.35%
Cantonal Bank of Geneva 0.50%
Cantonal Bank of Vaud 0.10%
Basler Kantonalbank 0.25%
Berner Kantonalbank 0.25%
Migros Bank 0.20%
Raiffeisen* 0.45%
UBS 0.40%
Zuger Kantonalbank 0.20%
Zürcher Kantonalbank 0.10%

Last update: 01.11.2024.  *Recommendation by Raiffeisen Schweiz. Interest rates may vary between different Raiffeisen banks.

Securities as rental deposits?

From a legal perspective, it is technically possible to cover your deposit with securities. Before you opt for a securities-based rental deposit, make sure you understand that it brings both a higher chance of generating returns and a greater risk of loss.

Rental deposits: The cost

With some banks, opening, account management and account closure are free of charge for tenant savings accounts. However, there are banks which deduct postal charges (normally one category B postal delivery per year).

Some providers charge an opening fee of CHF 50, such as Zürcher Kantonalbank. At the Cantonal Bank of Geneva, the opening fee depends on the amount of the deposit. Opening an account with the Vaud Cantonal Bank is free of charge if the customer has a current account, mortgage or investment solution with the Vaud Cantonal Bank in addition to the tenant savings account. Otherwise the opening costs CHF 100.

At Zuger Kantonalbank, account opening is free of charge if the customer has an account set or current account with Zuger Kantonalbank in addition to the tenant savings account; otherwise, account opening costs CHF 30.

Several banks also charge an administrative fee for the transfer of your deposit. For example, if you bank with the Zürcher Kantonalbank and need to transfer money to a rental deposit savings account at a different bank, you will pay a 20 franc transfer fee. The Zuger Kantonalbank charges CHF 20 when closing the account.

More information:
Savings accounts compared

Expert Benjamin Manz
Benjamin Manz is CEO of moneyland.ch and an independent expert on banking and finance.
SWISS HOUSEHOLD INSURANCE COMPARISON

Find the right household insurance now

Compare now
Request now for free

Cheap bank accounts with card

Free bank account

Yuh

  • No account fees

  • Banking partner: Swissquote & Postfinance

  • CHF 20 trading credit with code «YUHMONEYLAND»

Swiss digital bank

Radicant

  • High interest on your everyday account

  • Best exchange rates

  • Up to 1% of card spending as saveback in the investment portfolio

Swiss Bank

Bank WIR Bankpaket Top

  • Free account & card

  • No exchange fees for foreign payments (interbank exchange rates)

  • 24 ATM withdrawals worldwide per year free of charge

Swiss digital bank

Alpian

  • CHF 100 welcome bonus

  • Favorable foreign exchange rates

  • Multi-currency account with Visa card (CHF, EUR, USD, GBP) 

Online private account

UBS key4

  • 50 KeyClub points as a welcome gift

  • Online private account with debit card

Request now for free

Cheap bank accounts with card

Free bank account

Yuh

  • No account fees

  • Banking partner: Swissquote & Postfinance

  • CHF 20 trading credit with code «YUHMONEYLAND»

Swiss digital bank

Radicant

  • High interest on your everyday account

  • Best exchange rates

  • Up to 1% of card spending as saveback in the investment portfolio

Swiss Bank

Bank WIR Bankpaket Top

  • Free account & card

  • No exchange fees for foreign payments (interbank exchange rates)

  • 24 ATM withdrawals worldwide per year free of charge

Swiss digital bank

Alpian

  • CHF 100 welcome bonus

  • Favorable foreign exchange rates

  • Multi-currency account with Visa card (CHF, EUR, USD, GBP) 

Online private account

UBS key4

  • 50 KeyClub points as a welcome gift

  • Online private account with debit card

Deal of the Day
×
Free bank account

Yuh

No account fees

Swiss bank packages comparison

Find the best bank offer now

Compare now
Trading platforms

Brokers with low fees

Swiss Trading Platform

Cornèrtrader Special Offer

  • Special offer: particularly favorable conditions for Moneyland users

  • No custody account fees for shares

  • Swiss online bank with FINMA license

Swiss Broker

Saxo Bank Special Offer

  • Special offer: Reimbursement of brokerage fees up to CHF 200 for 90 days

  • Licensed Swiss bank (FINMA)

  • Free expert research and trading signals

Free subscription

Sign up for the free newsletter

Subscribe now
more than 3 million pieces of data

Find all comparisons here

Go to comparisons