At the savings bank, the board of directors is partially million salaries paid, although the profit fell sharply. Customers who are supposed to have too much in their account quit and the savings banks ring the bell End of free accounts in Germany. It becomes clear that the public banking sector in front of a mountain of problems stands.
The Sparkasse stands for security, down-to-earthness and stability, doesn't it? But in times of crisis, the facade crumbles. The savings banks must defend themselves against failing credits prepare due to Corona.
Is it Deka or can it go away?
At Haspa from Hamburg, one of the largest savings banks, it is becoming apparent that many people are ETFs yourself buy: Although the Securities trading boomed in 2020, According to Focus, Haspa recorded less income from commissions. This probably means the completely overpriced Deka funds. Is it any wonder that people stopped buying overpriced Deka funds in 2020: Is it Deka or can it go away?
Million salaries and penalty interest
Despite crisis the board will also earn a lot of money in 2020: over 10 % of the 376 savings bank board members earn more than one million euros a year. The low interest rates are having a negative impact on the savings banks' business. In order to compensate for this, negative interest of 0.5 % is then charged. If you don't want to pay, you'll be given notice. The Focus reports that the Stadtsparkasse Düsseldorf already terminated 35 customers Has.
As far as free accounts are concerned, the savings banks are also not a role model. Horror scenarios are being painted on the wall at the Bavarian Savings Banks Association: "In two years there will be no more free current accounts," announces their chairman. Maybe you should give the association the current offer of the 1822direct* keep it under your nose: Here customers not only get a free checking account, they even get 100 euros to open it. Ironically, 1822direkt is even a savings bank subsidiary?! Anyway, if you want to know more about the account, you can find out everything you need to know in the new 1822 direct test.
Savings banks are no longer an alternative for young people
The savings banks can no longer win flower pots from young people. Young people often move within Germany and cannot use the local Sparkasse branch at their new place of residence. You would then have to open a new account. Utopian if banks like DKB*, provide worldwide cash availability.
Even with securities trading, which has been booming since 2020, the savings banks have missed out on jumping on the bandwagon. With the current offers of the online banks including a free checking account without minimum deposit or one cheap depot with free trades the savings banks have not been able to keep up for a long time. Instead, the private customer business of the savings banks seems to have fallen out of time.
You can find more background information on the current events at the savings banks in the Focus.
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Disclaimer: This is well researched but non-binding information.