After the excesses and spending of summer, it’s time to save and pay more attention to your money by not only spending just enough but also making sure your money doesn’t lose value due to inflation. To do this, you must first have saved and then look for a good bank remuneration that does not exceed inflation, but at least does not “eat up” your income.
The problem in Spain is that the banks hardly pay any remuneration, even though they… Interest rates are at their highest. Not only do they not approach them, but many companies don’t show much interest. However, there are some exceptions to paid accounts where you can get a little extra by keeping the money in a bank.
Will the savings pay off?
Based on current interest rates, the answer is yes, but the user sees what the banking and investment sector offers and chooses to stick with current accounts rather than switch banks for better compensation.
However, there are cases you can take advantage of. The banks have now reacted and some are offering good interest accounts to attract customers. If you look at comparators you will notice that you now have several interesting options…
The best options to invest your savings and not turn them into an investment
We focus on paid accounts and in this type Banco Sabadell and EVO are the ones that offer the best conditions: 2.5% APR for one year for new customers and without connection with a maximum remuneration of 30,000 euros in the first case and a remaining amount exceeding 4,000 euros in the second case.
Next on the list are N26, the online banking that is attracting more and more followers and rewarding its customers with an APR of 2.26%; and Openbank, which offers an APR of 5.12%, but on the condition that you bring your payslip, up to 5,000 euros.
Spain is not a country with a tradition of financial control in the sense of always paying attention to what each bank offers and moves money. The population tends to be quite loyal to their companies, so the companies themselves don’t put much effort into offering great products.
The economist Juan Ramón Rallo explained on his YouTube channel that it is precisely this immobility that compensates the banks for the fact that they barely pay, and It compensates them for losing customers rather than increasing interest on your money and keeping you. But you as a customer can, like in other countries, search for options.
Manage your savings
This is even more true if inflation continues, as your money is worth significantly less without compensation than with it and you may be able to compensate for the loss of purchasing power. search for The best checking and savings account, even if you have to move your money around every year benefit from promotions.
And save as much as you can in the meantime to have a smaller or larger buffer against possible unexpected expenses in the future. And if your assets allow it, opt for guaranteed investment funds, interesting savings accounts or similar.
After the maximum post-pandemic savings come lean times
This was noted by another renowned economist, Santiago Niño Becerra. After how much was saved on average in Spain due to the pandemic and the lockdown, This money has already been spent, faster than expected due to inflation.
The result was a loss of purchasing power and thus greater difficulty in saving. The rise in prices has led many Spaniards to also use these savings for necessary expenses rather than travel or whims.