CHF short term deposits

I would expect them to be fully taxed, simply without withholding. Or are you sure that they are tax free?

And Swissquote takes a commission of up to 10% of the interest.

The minimum investment is CHF/EUR/USD 100k.

Would anyone know what the typical fixed term deposit rate from postfinance is? Fixed-term deposits | PostFinance

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Have you guys thought about Festgeld?

I got a call from the ZKB a few weeks about regarding our company account.
The current rate (12.07.2023) is 1.37% interest per year when you commit the money for 3 months. The longer you commit the higher the yearly interest will be. There are no further fees involved.

The only downside is that the minimum amount to commit is 100k. Unlike savings account there is no threshold where the interest will drop. To the contrary > 1 Mio. you get better conditions, at least that is what I understood. Unfortunately I am not in the position to commit > 1 Mio. :wink:

Seems like an ok way to park liquidity.

Never heard about it, no.
But would consider it at certain times, yes :blush: although min. 100k is a bit high entry amount.
Is it protected by the 100k Einlagensicherung? SGKB only refers to its safe via its Canton Guarantee. Only a few KB’s still have this, for example ZKB doesn’t have the Canton Guarantee AFAIK.
Does one have to ask the rates by mail/phone etc. (is that how you got the 1.37%?)? I couldn’t find anything on SGKB site.

edit - sorry, you said ZKB called you, so hence the rate source (in your case)

Fixed deposit accounts are becoming more common (in Switzerland medium-term notes have traditionally filled this role). They are virtually identical to medium-term notes in terms of depositor protection and interest rates, but the difference is that they are an account and not a securitized note. A possible advantage over medium-term notes is that no custody account is required. But most Swiss banks do not charge custody fees for their own medium-term notes.

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I wonder why and if you mix up SGKB and ZKB.

It is actually opposite, ZKB has a full guarantee of all deposits by the state (Kanton Zürich), and therefore one of few commercial banks in the world having top credit rating AAA.

The interest rate is published daily so you have to inquire via telephone / e-banking. From what I understand you get payed the fixed rate on the day you start the Festgeld for the whole period you commit the money.

I know 100k is a rather large amount. I won’t be able to do this with my private accounts.

Management defined that the goal is to be able to pay the company Christmas Dinner with the interest by the end of the year :grinning:

@oslasho & @Dr.PI - thanks for the correction, my understanding was indeed totally opposite/wrong.

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I got this offer by mail (I have a savings account there).

Bank CIC (Schweiz) AG.
Das Festgeld FLEX, welches normalerweise erst ab einem Anlagebetrag von CHF 5 Mio. erhältlich ist, gibt es derzeit bereits ab einem Mindestbetrag von CHF 50 000. Die Laufzeit dieses Angebots beginnt am 2. August 2023. Wir können Aufträge bis zum 31. Juli 2023, 12.00 Uhr, entgegennehmen.

Die Konditionen
Mindestanlage: CHF/EUR 50’000
• Beginn Laufzeit: 2. August 2023
Laufzeit: 12 Monate
• Währungen: CHF/EUR
• Verzinsung CHF: quartalsweise, durchschnittlich 1,95% (Q1: 1,80%, Q2: 1,90%, Q3: 2,00%, Q4: 2,10%)
• Verzinsung EUR: quartalsweise, durchschnittlich 3,95% (Q1: 3,80%, Q2: 3,90%, Q3: 4,00%, Q4: 4,10%)
• Kündbarkeit: alle drei Monate auf den Zinszahlungstermin (3 Tage vor Ablauf der drei Monate)
• Kommission: kommissionsfrei

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So they already bumped it up from 1.5%, just from a month or so ago. :smiley:

Still annoyed by those “new money only” policies.
Reminds me of the telecoms.

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If you transfer out and then back in, does it count as new money?

That’s a good sign. When an entire sector makes offer only for new customers, it accelerates the pace at which customers change their provider, which leads to even more offers only for new customers to compensate those who leave, leading to even more customers changing their provider. And in the end, for telecoms, it led to no-commitment contracts and better competition.

For a long time, Swiss people were reluctant to changing their banks, and this might be the end of this era with many people having accounts at many banks and moving their money along to follow the rates.

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Small correction: 1 - 12 months

It’s what I plan to try out :grin:

hi all,
It’s the CIC bank the best offer at the moment?
I am thinking to put my euros there.
Thanks

Do you mean “Festgeld FLEX” that I posted about on July 18th.
I felt it was the best offer atm, for CHF, at a Swiss bank, for what is essentially withdrawable every 3M.
But the way the offer was quoted to me, it was for starting latest begin August, so not sure it is still available. You’d have to ask.

Hi all,
I have asked a consultation to see what they offered now. I would be happy to get a 4.1% in EUROS at 1 year deposit.

They are offering me like below in the CIC bank. Do you guys have any opinion or risk about this product? I find it very competitive for my EUR savings.

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Risk is low for <100k, since the esisuisse protection covers 100k.
I haven’t personally shopped around for EUR rates, but 4% seems good, yes.
I get 3.5% at DKB (Tagesgeldkonto). A bit more flexible, a bit less interest.
Have you checked at wiLLBe? Their CHF interest is good and they also offer EUR account.

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