How will Raisin fare in a falling interest rate environment?

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MoolaMgr

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Mod's note: Copied from another thread.

More broadly I wonder how Raisin will function in a falling interest rate environment?
 
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Raisin functioned fine when the ECB deposit rate was negative. Raisin continued to offer better term deposit rates than Irish banks.

Hence, Raisin will function fine with lower rates. But obviously the lower rates get the less some customers will be willing to lock their money away.
 
The differences right now between Raisin and a "regular" bank are still significant - e.g.:

Best Buy - Instant Access & Notice Deposit Accounts

Rates are frequently updated. Information last changed: 31 March 2025. Highest Instant Access Rate Without Fees & Excluding Introduction Rates: €1+ - Trading212 - 2.70% Selected Instant Access & Notice & Money Market Products: Advanzia Bank 2.73% "Special Rate" on €1+ (with €5,000 initial...
www.askaboutmoney.com
Raisin (HoistSparen) 3.12% versus BOI 1%

Best Buy - Term Deposits (Fixed Lump Sum Savings)

Rates are frequently updated. Information last changed: 3 April 2025. Highest Term Deposit Rates 3 Months - Easisave - 3.10% 6 Months - Easisave - 2.90% 1 Year - Easisave - 2.75% 2 Years - AIB - 2.77% 3 Years - Easisave - 2.75% 4 Years - Klarna (direct) - 2.67% 5 Years - Aareal via...
www.askaboutmoney.com
Raisin (A&G Banco) 3.3% versus AIB 1.5% (6 months)
 
If the raisin rates are flagged as going down with a bank from 2nd of Jan, does this mean the account needs to be opened and all the money fully transferred before 2nd of Jan? Or is it okay to open it and then transfer the money on the 2nd and 3rd of Jan? Does anyone know?
 
Fairly sure that both the account needs to be opened and the transfer occurred before the rate change date.

Sometimes the account opening process can take a few days. And there is a bank holiday to factor in too.

Hence, it is tight at this stage to get the old rates before 2 January rate changes.
 
The difference between AIB’s 2-year rate and the best 2-year rate on Raisin is now only 0.12%.

I’m sure many would conclude that the hassle of opening and managing another account, making tax returns, etc., is simply not worth it for that modest difference in rates.
 
Can you open the AIB account without another feeder (e.g. current or deposit) AIB account?

Already have raisin accounts so don't need to set it up and will be doing a tax return for the other raisin accounts anyway. It's a few clicks with raisin vs taking an hour or so off work to go in branch and do it with AIB
 
Thanks. I don't and I found BOI wouldn't let me open one of their deposit accounts without an internal current account to transfer funds to and from

I agree it's a very good rate if already with AIB
 
messyleo said:
Thanks. I don't and I found BOI wouldn't let me open one of their deposit accounts without an internal current account to transfer funds to and from

I agree it's a very good rate if already with AIB
Click to expand...

I opened a BOI SuperSaver account last May and had no other BOI accounts.
It's fed by my AIB Current Account.
 
Yes. There is a AIB regular saver, that you can set up with a Current account. €1000 per month from 'personal deposit account'. Maximum of 4 such accounts. App access

There is also a BOI account, that does not require a Current account. It can be set up over the phone. €2500 per month maximum. 2 of such accounts per person. No app access, just phone.
 
I think I'll stick with my three AIB regular saver accounts (each spaced 4 months apart) which pay 3% interest. Allows me to put all my day to day spending on my AIB credit card and avail of up to 6 weeks interest free while earning deposit account interest. I can instantly transfer from the AIB regular saver accounts to my current account if I see a direct debit, standing order or credit card payment about to hit so I keep my current account balance well below €1K. Far less hassle than dealing with foreign banks / Raisin & Revenue for a paltry .1% interest premium not to mention the 6 weeks free credit I get with my AIB credit cards.
 
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