More and more Dutch residents have savings accounts abroad. This was reported by the financial comparison site Geld.nl on the basis of its own research. In recent months, in particular, foreign banks operating in the Netherlands have seen their products gain in popularity. According to Geld.nl, this is because they offer a relatively high interest rate.
“If you look at savings accounts, the top five with the highest interest rates are all foreign bank accounts,” Geld.nl expert Amanda Bulthuis said in an explanation. She pointed out that Dutch residents have accumulated a lot of savings during the coronavirus pandemic and that foreign banks are an attractive alternative for this money. In various Dutch banks, savers now pay negative interest above a certain amount of savings.
According to Geld.nl, saving with banks in another EU country is just as safe as saving with a Dutch bank. “They are also covered by a deposit guarantee scheme comparable to that of the Netherlands,” Bulthuis said. “These foreign banks are all healthy, but if they go bankrupt, your savings of up to 100,000 euros are also protected there.”
In 2008, Icelandic savings bank Icesave went bankrupt, attracting savers with high interest rates. The last Dutch savers had to wait more than seven years for their balances to be repaid. This was due to political haggling and the difficult resolution of the bankruptcy of Landsbanki, Icesave’s parent company.