CHF accounts with best interest rates: discussion

How much did you complain when the banks didn’t apply negative interests rate for years? They have more inertia at least partly for good reason (balance sheet, which does provide a service to society by allowing more ventures to be started with their lending business).

There’s not much forcing you to keep the minimum at the bank and putting the rest in timed deposit or MMFs (which aren’t that far from the risk free rate, though MMFs aren’t as risk free).

Banks aren‘t a charity organisation. They have to cover their costs (employees, infrastructure, managing all accounts, managing all loans, regulations etc.) and above that they still need to make a profit.

As if the SNB would do all that for free and provide you with 1.75% savings accounts lol.

I have one salary, one tax office, one landlord. And pay my credit card bills by scanning or uploading their QR code - they aren’t linked to my bank account. Neither is anything else. And it’s not as if I had to close my current account when opening up a savings account somewhere else.

So I can shop around (and have done so) for savings account and fixed term deposits.


Exactly, here the market is very open. No need to bring the whole banking package into play.

I suggest getting the discussion back to Best Rates.


I’m not sure this was an act of charity. Did they actually have a choice? People would have withdrawn their balances entirely, wouldn’t they?

I’d love to invest in a MMF, but who’s issuing MMF in Switzerland? The usual suspects: Banks or other financial players charging TER and/or loads. I think there was a discussion on this somewhere on this forum.

I’d already be happy with 100% fee-free CHF T-Bills, the US treasury being an example:

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What’s missing here?

It costs like 5 CHF to buy into one on IB.

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Very helpful list, thanks for the effort. But, as you mentioned on Swiss money market funds:

No direct CHF-Bill purchasing at Swiss National Bank available, as is possible at US Treasury - 100% fee-free.


What about rolling CHF-Futures? No banks charging fees, and tax-free interest?

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If I understood correctly there can’t be money market futures. Going long you should receive the total return of the asset minus any cost of holding the underlying. The price of this underlying doesn’t move. You get the interest minus the cost of borrowing money. They should be the same. So the price of the future doesn’t move. There is no business here.

For futures on longer duration bonds that is not true. But who wants to hold this asset class at the moment (indirectly or otherwise)?

EDIT (something trees, something forests… :sweat_smile:):

Sell a future and buy the underlying. Price movement is canceling out and expected asset returns are already priced into the futures. What remains is the cost of carry. It consists of risk free rate, storage, and convenience yield. If you are efficient the later two cancel too. What remains is the risk free rate. If you bring your own money that’s what you get.


Tried to follow the discussion but left with one question.
What are the best savings accounts for CHF or EUR at the moment?
For cash below 50K.
A bit doubtful to keep cash in EUR. Looks like exchange rate is dropping faster than the interest rate for EUR savings account

Cheers, very helpful!

Still negative real rates though, so I’m not getting excited.


There probably never was positive real rates on bank accounts.


How do we call that - financial repression?

“Historically, periods of high indebtedness have been associated with a rising incidence of default or restructuring of public and private debts. A subtle type of debt restructuring takes the form of “financial repression.” Financial repression includes directed lending to government by captive domestic audiences (such as pension funds), explicit or implicit caps on interest rates, regulation of cross-border capital movements, and (generally) a tighter connection between government and banks…Inflation need not take market participants entirely by surprise and, in effect, it need not be very high (by historic standards)…We describe some of the regulatory measures and policy actions that characterized the heyday of the financial repression era.”

With neon this is their wording:
As of July 1st, 2023, you will get significantly more interest:
:arrow_up: 0.9% on your Spaces for deposits of up to 25’000 CHF
:arrow_up: 0.65% on your Spaces for deposits from 25’000 CHF upward

Reminder that you can have up to 10 different Spaces. This leads me to think that you can fill each of these spaces up to say 24k and get that 0.9% for each of those and only those above 25k will be lowered to 0.65%. Am I understanding it incorrectly? This is vastly different to 0.9% up to 25k, 0.65% above 25k.

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UBS Savings Account extra

1.50% up to CHF 250 000
Valid for openings from 1 July 2023 to 30 September 2023

The fixed interest rate is valid until 30 September 2024 for accounts opened from 1 July 2023 to 30 September 2023. From 1 October 2024, the UBS Savings Account extra will be automatically continued under the standard conditions of the UBS Savings Account.

Minimum deposit CHF 5,000
Withdrawal limit: CHF 10,000 per calendar year

From what I understand, the amount over 10 000 per calendar year is blocked for one year and can’t be released without a penalty.


I so hate conditions like this :sweat_smile:

For clients who transfer money to UBS from another financial institution

So I dump 10k to another account/institution for 1 day, and send it back “in” the next one.
Technically satisfying the condition, but just creating meaningless work for everybody involved.

I do understand they want people’s money from other banks though, I would too. :money_mouth_face:

I don’t understand what do you want to achieve with it? To earn an interest, money have to stay in the account.

You can always make a new wiki post.

As an existing customer I have to shift money around in order for it to “come from another institution”, to be eligible for savings.

Seems IBKR raised the CHF rates to 1.155% for balance over 10k.

Does anyone have experience with IBKR simply letting 3-400k in cash simply idle and earning (monthly accrued) interest? I have a smaller USD invest-pool sitting there, wondering if IBKR bats an eye with larger (to me) ammounts simply sitting idle.

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