Interest paid by Swiss banks has been on a long, slow decline – at the cost of savers. The average interest rates in August 2019 was just 0.067% per annum for adult savings accounts in Swiss francs, and 0.21% per annum for pillar 3a retirement accounts.
As of August 1, 2019, the Zürcher Kantonalbank (ZKB) is paying less interest on savings. Interest rates for ZKB retirement accounts and stand-alone savings accounts were already below average before the new cuts were made. Now, ZKB interest rates are among the lowest in Switzerland.
New interest rates for ZKB retirement accounts as of August 1
Pillar 3a account: From 0.15% p.a. down to 0.05% p.a.
Vested benefits account: From 0.05% p.a. to just 0.01% p.a.
New interest rates for ZKB savings accounts as of August 1
Stand-alone savings account: From 0.025% p.a. to just 0.01% p.a.
Stand-alone Savings Account Plus: From 0.05% p.a. to just 0.01% p.a. The bonus interest on new deposits has also been drastically lowered.
Savings Account Plus with banking bundle: Formerly 1% p.a. for up to 5000 francs and 0.05% p.a. for the portion of balances between 5000 and 250,000 francs. Now 0.5% p.a. for up to 5000 francs and 0.01% for the portion of balances between 5000 and 250,000 francs. The bonus interest on new deposits has been drastically lowered.
Although interest rates are generally low, there are banks which pay above-average interest on savings. Comparing interest rates regularly is key to optimizing your interest earnings.
Compare interest rates now:
Savings accounts
Pillar 3a retirement accounts
