The Interest Rate Pocket, provided by Vivid Money B.V., gives you the opportunity to:
Earn a fixed interest rate on the funds you hold in the Interest Rate Pocket.
When you hold cash in this pocket, we invest it in Qualifying Money Market Funds (QMMF) and provide you with an annual fixed interest rate that accrues daily. You can find more information here.
Regardless of whether you’re a Standard, Plus or Prime customer, if you open the Interest Rate Pocket before 02 January 2025, you’ll receive a promotional 5% per annum fixed interest rate for 60 days. If you open the Interest Rate Pocket on 02 January 2025 or after, you will receive a 4% per annum promotional interest rate over 60 days. Since you’re able to open several Interest Rate Pockets, keep in mind that this offer is only valid for the first one opened. Learn more about this promotional rate in this article.
After this promotional period, the fixed interest rate is 4% per annum for Prime customers, 3% per annum for Plus customers and 2% per annum for Standard customers. Starting from 02 January 2025, regular rates will change to 3% per annum for Prime customers, 2% per annum for Plus customers, and 1% per annum for Standard customers.
The rates are fixed but may be subject to change based on market conditions or the company’s discretionary decisions. Any changes will be communicated with due notice.
Earn a variable interest rate on EUR and USD deposits by investing in Money Market Funds (MMFs), managed by the industry leaders in asset management: BlackRock and BNP Paribas. Depending on your residency, you’ll be able to buy either BlackRock’s (EUR and USD) or BNP Paribas’ (only EUR) funds. For the latest percentages, please check the following links:
- BlackRock’s EUR funds or BlackRock’s USD funds and refer to the “30-Day Yield” within the “Portfolio Characteristics” section;
- BNP’s EUR funds.
For example, on the 2nd April 2024 you could have potentially earned as high as 5.30% per annum on your USD deposits and up to 3.73% per annum on your EUR deposits (on an annual basis) based on the variable interest rate on that day. Kindly note that the variable yield amount you see in the app may vary from that displayed in BlackRock’s or BNP Paribas’ fund brochure due to applicable service fees associated with your plan. For further information regarding fees, please refer to this article.
With the Interest Rate Pocket, you can start earning interest without the hassle of locking your funds away for a set period. Interest accrues daily, whether you keep funds in the “Cash with fixed interest” section, or have them deposited in Money Market Funds (MMFs). Of course, you can add more money and/or withdraw it at any time.
The funds you invest in EUR and USD MMFs are invested with BlackRock, a global leader in asset management, specialising in short-term money market instruments to optimise the growth of your assets.
What are money market funds?
Money market funds (MMFs) are investments that typically consist of a diverse selection of short-term bonds issued by financial institutions or governments.