Tagesgeld

Introduction

Bank of Scotland's Tagesgeld account is aimed primarily at new customers looking to benefit from a time-limited welcome rate. The bank, a German branch of the British Lloyds Banking Group brand, positions the product as a classic, flexible, instantly available savings account with no minimum deposit.

Interest Rate and Tiers

According to the data and confirmed by the bank's current offer page, new customers receive a welcome rate of 3.00% p.a. on balances up to €50,000, limited to up to 12 months. Anyone exceeding this bonus threshold, or continuing to save after the promotion ends, receives the regular rate, recorded in the data as 1.25% p.a. on balances up to €999,999 - a figure that exactly matches the interest-rate floor named on the bank's website, below which the bank may end the promotional rate early (see below).

Conditions for the Promotional Rate

According to the official offer page, the 3.00% p.a. welcome rate is tied to several conditions:

• It applies exclusively to people who have not held a Tagesgeld account with Bank of Scotland in the past six months
• Identity verification must be completed within 5 days of account opening
• A deposit is required to activate the promotional rate
• If verification happens later than 5 days after opening, the 12-month promotional period is shortened accordingly
• The higher rate can end early if the ECB deposit rate falls below 1.25% p.a., with 30 days' notice

After the promotional period, the bank states that either the regular Tagesgeld rate per its price list applies, or customers can switch to one of the bank's fixed-term deposit products.

Further Terms

On the plus side, no other account with Bank of Scotland is required for this Tagesgeld account, account management is free, and there is no minimum deposit. The account can therefore be used straightforwardly as a standalone savings product, without needing to open a current account as well.

Pros and Cons

Pros

• 3.00% p.a. welcome rate up to €50,000 for up to 12 months
• Free account management, no minimum deposit
• No additional account with the bank required
• Option to switch to a fixed-term deposit after the promotion

Cons

• Regular follow-up rate of just 1.25% p.a.
• Only available to genuine new customers (6-month lock-out)
• Verification must be completed within 5 days, or the promotional period shortens
• The promotional rate can end early if the ECB rate falls

Verdict

Bank of Scotland's Tagesgeld account is an attractive, straightforward offer for genuine new customers, with 3.00% p.a. up to €50,000 for up to 12 months and no account bundling required. Those who meet the 5-day verification deadline and move their money into a fixed-term deposit or switch banks after the promotion ends benefit the most. Existing customers and anyone looking to save long-term should keep the significantly lower regular rate of 1.25% p.a. in mind.