RaboDirect announces Savings Rate Change

RaboDirect, part of the Rabobank Group and Ireland's only AAA rated bank, today announced that, effective immediately, the rate for its on demand personal savings account will be reduced from 4.30% to 4.00% on balances from €1 to €1 million. This follows the two recent ECB rate changes although RaboDirect is not passing on the full decrease. Demand account balances in excess of €1 million for their personal savings account will remain at a variable rate of 3.95%. For business customers, RaboDirect is now offering a 4.00% rate on balances from €1 with no upper limit. RaboDirect accounts are not subject to bank charges and no lodgement or withdrawal restrictions apply.

Commenting, Roel van Veggel, General Manager, RaboDirect, said that the rate change was to be expected given the ECB decreases and that RaboDirect savings rates remain an attractive option for those seeking simple, 'no strings attached' demand accounts.  "We see plenty of higher headline rates which are intent on attracting in deposits. However, most carry highly complicated and sometimes underhand terms and conditions which once breached, see rates drop dramatically. In contrast, RaboDirect offers a refreshing alternative for consumers who are looking for a no nonsense, transparent product with a decent rate. I believe that these sentiments will now, more than ever, ring true for many Irish people as they recognise that RaboDirect is a safe and honest haven for their finances where they can access cash straight away without penalty. As a non listed bank, RaboDirect has not been exposed to the same level of global stock market turbulence as other financial institutions."

RaboDirect is part of the Rabobank group which has the same AAA rating as the Irish Government. Rabobank Group is the world's largest privately owned bank. It was recently voted "the world's safest private bank" for the 10th year running by Global Finance Magazine. Measured by its core capital, Rabobank is one of the world's top twenty largest financial institutions. RaboDirect is regulated by the Dutch Central Bank and complies with the Financial Regulator's rules of business and codes of conduct in Ireland.  Rabobank is well capitalised with Tier 1 capital (as of June 30, 2008) of €29,840 million, which is a risk-based capital ratio of 11.2%.

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