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6.57 % Average Interest In A Bg Bank


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HOLA441

I just found out about a Bulgarian bank that offers free-access to money account with interest at 6.57 % . For foreigners there is a 10 % withheld on all interest accumulated (tax)

As far as i remember Last time in the UK interest were that high just before the Icelandic banks went bust .. we all remember that.

Anyway , are there other EU spots witch such cool interest rates ? I never explored offshore accounts though ... perhaps there are some good offers .

Does it make sense for Europeans to open such accounts in a small EU country ?

Deposit protection is 100 000 EUR for Bulgarians , not sure for foreigners.

http://www.fibank.bg/en/page/882/tab/883

Has anyone got cash in here and is it FSCS covered?

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HOLA442
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HOLA443

I had an Icesave account, pulled everything out 2 days before they went under :ph34r:

Wouldn't risk it again. The reason they offer high rates is because they need your cash. Eastern Europe is a ticking time bomb (although you can't say much better for the UK).

Buy gold and silver.

I happened to be borned there, but do not keep my money there. It happened in the past without notice, just overnight that the lev was devalued 1000 to 1. It may happen again. With plenty of young productive people effectively out of the country (statistics are not clear whether it is 1 or 1.5 milion) in the last decade, the economy is not all pink. and as it is pegged at the moment there might be an argentinian moment if we have a black wednesday event. Especially if we need to join euro at realistic levels.

The funds are supposedly guaranteed, I would not like to try the protection.

If you want to try, bear in mind the UK and bulgarian laws on crossborder money transfers and get free-access. Just remember that last time it happened overnight. no fundamentals there to warn.

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HOLA444

I happened to be borned there, but do not keep my money there. It happened in the past without notice, just overnight that the lev was devalued 1000 to 1.

Are you sure that it wasn't rebased 1000 to 1!

Only Zimboland has daily devaluations of 1000 to 1

tim

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HOLA445

I just found out about a Bulgarian bank that offers free-access to money account with interest at 6.57 % . For foreigners there is a 10 % withheld on all interest accumulated (tax)

As far as i remember Last time in the UK interest were that high just before the Icelandic banks went bust .. we all remember that.

Anyway , are there other EU spots witch such cool interest rates ? I never explored offshore accounts though ... perhaps there are some good offers .

Does it make sense for Europeans to open such accounts in a small EU country ?

Deposit protection is 100 000 EUR for Bulgarians , not sure for foreigners.

http://www.fibank.bg/en/page/882/tab/883

Has anyone got cash in here and is it FSCS covered?

Thanks for posting this. I am always looking for new opportunities.

This initially looked good as Bulgaria is in Europe now so deposits are covered by the 100K euro guarantee but the devil is in the detail here.

When I looked into their FAQ page on the website it says any compensation would be paid in local currency. If their currency becomes worthless the official and actual exchange rate may well be very different so, regretably , for me "I'm out"

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  • 2 weeks later...
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HOLA446

Are you sure that it wasn't rebased 1000 to 1!

Only Zimboland has daily devaluations of 1000 to 1

tim

It happened once, overnight, they rebased the currency (or the market forced them to accept the real rate). The fact is that people woke up poor and there was a lot of pain.

Sorry for the terms. The fact is in the morning your monthly salary could buy you only a cup of coffee and a single cigarette. Mind you even now the coffee is as low as 30-50 pence.

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