PSD TerminGeld

Overview

PSD TerminGeld from PSD Bank Karlsruhe-Neustadt is a term deposit with a 12-month term. It targets savers who want to invest an amount between €5,000 and €500,000 for one year.

Interest rate

For the 12-month term, PSD Bank Karlsruhe-Neustadt pays 2.75% p.a. This rate is explicitly confirmed both in the product data and on the bank's offer page: "rate of up to 2.75% p.a." According to the available data, this rate applies to investment amounts between €5,000 and €500,000 — the bank itself also advertises "top rate applies up to €500,000". The underlying rate data was last updated, according to the internal dataset, on 9 July 2026.

According to the stored product data, interest accrues annually (data field "frequency": "Y"). For the 12-month term reviewed here, this means interest accrues once and is paid out at the end of the term together with the invested capital.

How a term deposit generally works

With a classic term deposit, savers transfer an amount to the bank for a predetermined term — 12 months in this case — and receive the deposited amount plus the agreed interest back at the end of the term. Under German deposit guarantee law, deposits at credit institutions licensed in Germany are generally protected by statute up to €100,000 per customer and bank. Savers wishing to use the full range of up to €500,000 with this offer should therefore bear in mind that any amount above €100,000 is not fully covered by this statutory protection.

Conditions

The minimum investment is €5,000, and the maximum is €500,000. The offer page linked from BankSorter is essentially an advertising banner and, beyond the interest rate and term, contains no further detailed conditions — information on whether the interest rate is guaranteed and fixed or variable, and on any reference account that might be required, was not available there. Savers should clarify these points directly with the bank, or check the bank's full schedule of terms and fees, before signing a contract.

Who is this term deposit for

This offer suits savers who want to invest an amount between €5,000 and €500,000 for one year and are comfortable with the advertised rate of 2.75% p.a. Since key detailed conditions such as the rate guarantee and account requirements could not be conclusively confirmed here, it's advisable to review the full contract terms with PSD Bank Karlsruhe-Neustadt before signing.

Taxation of interest income

In Germany, interest income from term deposits is generally subject to the flat-rate withholding tax (Abgeltungsteuer) of 25%, plus the solidarity surcharge and, where applicable, church tax. The saver's lump-sum allowance (Sparer-Pauschbetrag) currently stands at €1,000 for individuals and €2,000 for jointly assessed married couples and civil partners — capital income up to this amount remains tax-free per year, provided an exemption order (Freistellungsauftrag) is filed with the bank in good time. Savers who do not file an exemption order initially pay withholding tax on the full interest income and can reclaim any overpaid tax via their income tax return.

Verdict

At 2.75% p.a. for 12 months, PSD TerminGeld offers a rate within the usual market range for a wide spectrum of investment amounts between €5,000 and €500,000. Since the specific offer page did not reveal further conditions such as a rate guarantee or account requirements, interested savers should clarify these points directly with the bank before signing.