As high inflation lays waste to the real value of people's earnings and many banks steadfastly refuse to offer savers improved rates of return, numerous Belgians are likely asking themselves: Where can I get the best rates on my savings?
The Brussels Times recently contacted consumer rights organisation Test Achats to help us answer this question. An expert explained that "the best" savings rate will depend on how long someone intends to save. In particular, rates vary considerably if the saving is continued for more or less than one year.
Best rates for Belgium's 'big four' (BNP Paribas Fortis, KBC, Belfius, and ING)
Best short-term rates (i.e. less than 12 months)
BNP Paribas Fortis (Spaarrekening Plus / Compte d'épargne Plus): 0.50% base rate + 1% loyalty bonus rate = 1.50% total rate.
This savings account has a deposit limit of €100,000. Also important to note is the 1% loyalty bonus rate, which is only available from 1 August 2023 (It is currently set at 0.75%).
Best long-term rates (i.e. more than 12 months)
- BNP Paribas Fortis (Spaarrekening Plus / Compte d'épargne Plus): 0.50% base rate and 1% loyalty bonus rate = 1.50% total rate.
- ING Belgium (Savings Account): 0.45% base rate + 1.05% loyalty bonus rate = 1.50% total rate.
When saving for more than a year, these two accounts are very similar and offer the best rates. Like the BNP Paribas Fortis rates, the ING rates are only available from 1 August this year. Currently, the ING base rate is 0.35% and the loyalty bonus rate is 0.65%.
Related News
- 'A legal scam': Savings rates at Belgian banks condemned
- Belgian banks push back against Government calls to raise savings rates
The best savings rates for all Brussels-based banks
Best short-term rates (i.e. less than 12 months)
- MeDirect (Dynamic Savings): 1.20% base rate + 0.30% loyalty bonus rate = 1.50% total rate.
- Santander Consumer Bank (Vision): 1.15% base rate + 0.35% loyalty bonus rate = 1.50% total rate.
- NIBC (Spaarrekening / Compte Epargne): 1.00% base rate + 0.25% loyalty bonus rate = 1.25% total rate.
Best long-term rates (i.e. more than 12 months)
- MeDirect (Fidelity Savings): 0.60% base rate + 1.70% loyalty bonus rate = 2.30% total rate.
- Santander Consumer Bank (Vision Plus): 0.75% base rate + 1.50% loyalty bonus rate = 2.25% total rate.
- Keytrade Bank (High Fidelity): 0.75% base rate + 1.35% loyalty bonus rate = 2.10% total rate.
Government bonds: A more profitable alternative?
Those dissatisfied with the rates on offer from banks might also consider investing in Belgian government bonds.
On 4 September this year, special one-year "Van Peteghem bonds" – named after Finance Minister Vincent Van Peteghem – with a net yield of 2.71% are set to go on sale. Holders of these bonds will benefit from a special reduction of the usual bond withholding tax rate from 30% to 15%.
According to the latest data, yields on three-year Belgian government bonds are fluctuating around 3%, while rates on ten-year bonds are averaging around 3.1%.
Those interested in purchasing government bonds can find more information here.
