Hi guys,
above 99tsd CHF you need to pay negative interest to Neon Bank. What do you do? Recommendations?
Best
Hi guys,
above 99tsd CHF you need to pay negative interest to Neon Bank. What do you do? Recommendations?
Best
Donât keep more than 99â999.99 cash on a bank account.
Thereâs another reason: deposit insurance.
Not having 100k+ cash in a digital bank.
While Iâm a big fan of Neon, Revolut etc. I wouldnât ever use it for keeping 10k+ in cash.
Neon is backed by lenzburger kantonalbank though, not really comparable to revolut or any digital bank
Oh, I wouldnât keep 2k+ at Revolut.
To be honest it is backed by a traditional bank so donât see the Risk to itâŠ
Open free accounts at CSX, ZAK and YUH and transfer money there. (DM me for referral codes for ZAK and YUH.)
But why keep so much cash in the first place?
Itâs not a Kantonalbank. Theyâre called Hypothekarbank Lenzburg. To my knowledge, the canton of Aargau is not involved.
They do have a bank license, though.
Is there another way to store XXXk CHF in a way that is both liquid and guaranteed to not lose value (ignoring inflation)?
Risk free rate for CHF is -0.75%.
You are objectively right, of course.
I just did not think that holding non-performing cash was still a serious thing on a FIRE forum.
Hereâs my list of possibilities at the top of my head:
âboth liquid and guaranteed to not lose valueâ
Bit of a stretch, donât you think?
what shall I say, I was in a flow and got carried away
If you want to bet that SNB will keep intervening to stop CHF appreciating you could park some money in Eur or even USD. Just saying it, I would not do this myself
Does ZAK apply a negative interest rate ?
I was also looking for this information and I could not find it in their factsheet so I just called them a few hours ago and they told me that they apply negative interest rates only for amounts over 1 million. I would still like to see that written somewhere though.
Thanks. I wrote to raiffeisen. They told me they donât apply negative rates for âsociĂ©tairesâ.
Related to this topic, I was wondering:
If I have my cash in two different banks to avoid negative interest rates - is it okay by the law?
For a moment I was afraid that if I put 100K+ in 2 different bank accounts in my tax declaration and submit that I havenât paid the negative interest rates from it someone would chase me or worse would think that I tried to trick the system but from your posts, it seems that this is not the case.
Negative interests are set by the banks, not required by law. Nobody will chase you if you put your money in several banks as long as you declare all your accounts on your taxes.