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Image credits: bunq

Amsterdam-based challenger bank, bunq, announced on Monday that it has launched bunq Easy Savings to enable people to get returns on their savings. bunq aims to bridge the gap between low-interest rates and stock/crypto market volatility. 

Founder and CEO Ali Niknam says, “Our users may invest some of their money in stocks, but they fully understand the risks, which is why they still have significant savings. By making it easy to get a higher return on these savings, they get the best of both worlds.”

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With a high inflation of nearly 6% and low-interest rates, traditional savings accounts generate little to no return, claims the company. The stock market and crypto trading come with uncertainty.

As a result, the Dutch company has created bunq Easy Savings to provide people with higher interest rates compared to a traditional bank. All they need to open an Easy Savings account is their phone, says the company. 

Users of bunq’s Easy Savings plan get a free, dedicated savings account with the same 0.09% interest rate as other bunq users, paid monthly. 

All funds up to €100,000 are also covered by the Deposit Guarantee Scheme of the Dutch Central Bank.

Previous developments

Last month, bunq launched the ‘Easy Investments’ plan as a part of its app update to help users invest in a range of socially and environmentally responsible companies straight from the banking app. 

The Dutch fintech collaborated with birdee, a socially responsible investment platform, making investing accessible to everyone at the lowest price possible.  

In December, 2021, bunq became the first European digital bank to start offering mortgages. The company joined hands with Dutch lending platform Tulp to deliver the service.

bunq: What you need to know

The challenger bank was founded in 2012 by serial entrepreneur Ali Niknam after he secured the first European banking permit in over 35 years. Niknam was bunq’s sole investor until 2021, financing the company with €98.7M of his own money.

In April, 2021, their deposits surpassed €1B for the first time, having doubled in 2019 and then again in 2020. 

In July, 2021, bunq announced the largest series A round ever secured by a European fintech. bunq raised €193M in a deal with British private equity firm Pollen Street Capital, valuing bunq at approximately €1.6B. 

Currently, the neobank is available in 30 European markets – the Netherlands, Germany, Austria, Italy, Spain, France, Belgium, Ireland, Bulgaria, Croatia, Republic of Cyprus, Czech Republic, Denmark, Estonia, Finland, Greece, Hungary, Latvia, Lithuania, Luxembourg, Malta, Poland, Portugal, Romania, Slovakia, Slovenia, Sweden, the United Kingdom, Norway, and Iceland.

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