A bevy of European banks have finally begun to pass higher interest rates to savers, moves that will pinch profits but should help allay criticism from regulators and lawmakers alike.
Banco Santander SA recently debuted an account that, for now, gives UK customers 5.2% interest. Germany’s Deutsche Kreditbank AG recently upped the rate it offers to 3.5% to reverse a decline in deposits. Italy’s UniCredit SpA is offering 6.7% to some savers in southeastern Europe who lock up their money with the bank for at least a year.
Taken together, the moves have helped push up the average yield on checking accounts in markets across Europe.
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