A competition watchdog has sniffed out an interesting fact: as far as savings interest rates are concerned, the Netherlands is trailing behind other European countries.
That means savers in the Netherlands benefit only to a limited extent from putting their money aside.
Higher interest rates overseas
The Netherlands Authority for Consumers and Markets (ACM) notes that international providers appear, “at first glance”, to provide higher interest rates for the Dutch population than even major Dutch banks do. 💸
For example, banks from Belgium or Sweden have savings interest rates of over three percent, but in the Netherlands, the maximum savings interest rate is about 1.5%.
On top of that, platforms like Raisin make it easier for Dutch residents to open foreign savings accounts.
READ MORE | Investing in the Netherlands: 7 great apps for getting into stocks
The ACM blames the low rates on the lack of market competition in the Netherlands, given that there are three major banks (ABN Amro, ING, and Rabobank) dominating 80% of the savings market. This means they don’t have to make much effort to attract savings.
Unanswered questions
The spokesperson of ACM refrained from answering other burning questions asked by the AD.
Is the ACM investigating whether banks privately collaborate? Will there be research into what other methods they use to keep savings interest rates that low? That remains to be seen. 👀
Wondering how you can benefit from the highest possible savings interest rates in the Netherlands? We’ve got you covered. 👇
Are you surprised to hear about the investigation’s findings? Share your thoughts in the comments below!
