► Try out Trade Republic: trade.re/Dan ► Try out Raisin Bank*: raisin-ie.pxf.io/75jyRV ► Try out Lightyear: lightyear.app.link/Y3zETUMKdDb I will update this pinned comment over time for any changes to the rates on offer by the above financial institutions
I don't particularly like Irish Banks nor do I like our taxation system. but withholding tax in a foreign country and declaring it Ireland may seem like a ball ache for Irish people when it may just be easier to go with an Irish Bank.. maybe a video on how to overcome this stressful obstacle would help us all out. thanks for all your videos too.. I always tune in very informative cheers
I agree. I save with AIB cause I don't need to declare tax so it's one less form to fill in, one less thing to think about. My mental peace is worth more than that extra 1% haha (I hope AIB doesn't read this though)
So I did the math and realized I would be losing about 600 euro per year in interest, so I came to the conclusion that for higher amounts it's very much worth it filling the form once a year.
Hi Dan/Malone, Can you clarify if the interest from Trade Republic is liable for DIRT, or is it something else, as it appears to be paid out from an MMF, so is it 41% as an investment fund, or even 52% given it could be seen as dividends? Many thanks, enjoying the content as always!
N26 now has a savings account option, with 2.8% p.a., and 4% for metal customers.. I think its a bit safer than Trade Republic (plus if you get metal, and have for example 30k, you would get 3.2% after deducting the metal annual fee, and get the metal benefits+insurance)
Thanks for sharing! It's still a sub-par rate in the current environment so I would still opt for TR personally. If you could define what you feel makes N26 "safer" than Trade Republic I'd be interested to hear it. TR deposits are protected under the DGS up to €100k. Seeing as the maximum deposit threshold for interest is €50k, it is, by definition, 100% safe and secure for those looking to avail of the maximum interest.
@@malone_financial do you know if for TR is considered a savings account for tax purposes? As in, when declaring your tax, ll the gains only be taxed the 33% of DIRT?
Great informative video! thanks for sharing. One question that you may or may not know the answer to. Do you know if these non-traditional savings accounts would affect your ability to get a mortgage for buying a house?
Hi Malone, this was excellent, thank you for the comprehensive overview. When interest is received and withholding tax has been retained in the foreign country (example: Belgium), do I still need to declare my interest income and pay DIRT? that might feel like double taxing, what are your thoughts?
Thanks! Indeed you do. You would need to declare the gross amount of interest received and pay DIRT on this gross amount. A tax credit should be available for the withholding tax suffered. Do note that some accounts on Raisin, like Younited, levy no withholding tax due to local French tax law. That may offer an advantage with regard to certainty of outcome for tax in Ireland.
@@malone_financial Thanks for the video. Super helpful. Do Trade republic provide an account statement at the end of the year which can help me in finalising the interest gained in that year, and therefore help me when declaring DIRT?
Hey Malone thanks for the video. I'm wondering how compound interest works (or if it works) with TR once you have the cap of 50k? Does the 4% just keep getting calculated on the 50k and not the interest you accumulate on top of that? I'm probably answering my own question. Additionally, how does tax work if you are self-employed? If I gain say 3K in the year from interest, and my self-assessed income is above 5K, am I still paying 33% DIRT on that 3K, or do the gains have to be above 5K by themselves separate to income from working?
Hi, I'm not an us citizen 9 (I'm Brazilian married with an Irish), however, I did my postdoctoral in California from 2023-2024. After that, I just moved from the US (Where I've opened a bank account with Marcus) to Ireland. Do I need to transfer my savings from the US to Ireland. Do you recommend Fidelity in Ireland? Thank you
Great video overall! It was just what I needed to get starting, so big thanks for that!! On the other hand, I was coming with a new topic proposal if you feel it might be usefull for a future video, and that is If there are any cards to have with benefits, such as cash backs but more so with cripto rewards (sorry if you already covered it, I am still catching up with all your content!) Thanks again!
Hi Malone..great video..Raisin do not allow joint account, is there any implications in the event of account holder death for spouse and can spouse set up separate account .
If i do a 1 year fixed with an bank with withholding tax will there be much / any difference with no withholding tax. What i'm trying to say you get a little more .15% in the withholding tax so is it better to go if its for 1 year. Thank
Is interest applied automatically or do you have to activate it or take any steps? I seen elsewhere that an activation step was required but don’t see it on my app now that I have deposited funds into cash.
You may be prompted with an activation button on Trade Republic and Lightyear. Just click it if you do! If you can’t find it then you’re likely receiving interest
I placed some savings away in a bank via Raisin for five years @ 3.25% AER, I am self-employed and file a form 11, Do I declare the interest gain yearly when filing my returns or after the account matures in five years, declaring the interest in total for the five years ?.
whats holding me back from putting money into raisin or trade Republic is declaring the dirt tax to revenue, I've no idea how this is done and can't find any video explaining
It’s so so easy. If you’re earning less than €5,000 in non-PAYE income you literally just enter the gross amount of interest in the relevant section on MyAccount. If it’s more than €5k then you file a Form 11. Please don’t let tax administration be the reason for not making your money work for you! Once you do it once it’ll make sense for life!
@@malone_financial thanks very much for getting back to me , a friend put me on to you , says your very good. I am new to all this , at the very start of saving for a mortgage but my credit rating is zero.... So just trying to look for alternatives
Hey Malone, great content!! I have money deposit on Trade Republic account and they are paying 4% year, but they pay it into my account monthly, so, my question is: Does Trade Republic withhold tax fo DIRT or I have to declare this interest earnings on my tax return next year? If so this interest will be taxed as Income, please correct me if I'm wrong. Tks
Hey there, appreciate it! No, as I said in the video you need to declare the interest that you receive as part of your tax return. This income will be liable to DIRT at 33%
I have to say that customer service in Trade republic sucks. They refused to me to open account with them and don’t even want to give me a reason. I have emailed them but they just don’t respond. Is that normal for the company?
As a sole trader, I often need six months "runway" to cover expenses/salary should I not get work for an extended period of time. With any left over, can I take that money and put it in a high yeild savings account or can you only put savings from a personal account into a high yeild savings account?
It depends whether the platforms in question accept deposits from a business account. You’d be able to find that out via email or just stick to linking your personal bank account! Though I do see what you’re saying about availing of the higher rate for the runway cash, so it’s definitely worth looking into!
I regularly hear people complaining about the low interest rate that "their" bank is paying. I ask each of them how much shopping around they do, answer is always none, my reply is then why would "your" bank pay you more than they have to.
And the crazy part is that there’s great research from the U.S. that shows that banking customers are highly unlikely to swap from one bank to another, even when they can get a better rate. The banks know this which is why they exert control over deposit rates in most markets (especially in markets like Ireland where there’s little competition). Change will only come from challenging the status quo
People in Ireland generally don’t move banks for a better mortgage rate on a loan spanning decades, let alone €1,340 a year from a deposit account, assuming they even have €50k.
I can’t think of a good reason why there’d be an issue. If anything, it shows the bank that you’re being proactive with how you’re saving money. I suppose one consideration would be if you’re locking up cash with Raisin Bank for 2/3 years, the bank wouldn’t see that as cash that you have readily available (because it isn’t). But with something like Trade Republic it’s instantly accessible.
Thank you for a very informative video. For tax purposes, does Trade Republic provide end of your report on how much interest earned to file tax returns in Ireland? Thanks.
Are you talking about Trade Republic? If so, it doesn’t make a difference if the deposit is a lump sum or if it’s recurring deposits every month. Provided the account balance is below €50,000 total, it will be eligible for 4% interest. Any excess over €50k won’t
How does the requirement of the deposit guarantee scheme that only money directly held by the institution you are banking with is covered come into play if Trade Republic is passing it on to other banks with the customers agreement.
Not sure I follow the question but your interpretation of how the DGS works seems to be incorrect. Trade Republic would not be able to advertise a €100k DGS protection for each customer cash account if that wasn’t the case. TR isn’t a bank, it’s a broker and therefore they have to partner with banks to store customer deposits. Those customer deposits are eligible for DGS protection
You can see how much interest you’ve been paid with all of the platforms. There should be a more than sufficient paper trail to furnish Revenue with evidence of the interest received!
Absolutely, provided it’s less than €50,000. As I said, 4% interest up to €50,000 with instant access and full protection under the Deposit Guarantee Scheme. What’s not to like!
From what I can see online, Revolut offer 2.12% on EUR cash balances. Unsure if this is available to Irish customers, but even if it is, totally sub par comparatively
They are offering 4.75 at the moment but only if you save in GBP. 2.12 for saving in euro. But then you have to take into account the drift of the exchange rate when you need to access the money
@@malone_financial I already use trade Republic a long time. If you need instant access to your cash traditional banks don't offer this, you have to lock it away for 12 months or more and they have other limitations. So it's not the same
Actually you’re incorrect! AIB and Bank of Ireland have instant access accounts that offer better rates than 1.56%. Albeit with caveats and limitations on deposits. Regardless, I don’t recommend traditional banks or Bunq so both are a moot point. If you’ve fully utilised Trade Republic perhaps consider Lightyear
Great video! I’d be interested to hear your thoughts on saving with the likes of Revolut and Bunq as they too have quite competitive rates on certain plans. Many thanks 😊
Welcome to the real world where people have genuine reasons to save money and thus savings options must be considered. Investing is always better for generating returns long-term, but it’s not always suitable for short term needs. For example, where someone needs to store savings somewhere for a short period of time i.e. when saving for a deposit on a home
Another reality check…people need emergency funds to ride out the ups and downs life throws at them. This should be in easily accessible savings. That guy champions borrowing as much as possible to buy assets. Ask anyone in Ireland stung by investment properties (particularly those on interest only terms) in the early 2000’s how such an extreme approach can turn out 🤔
► Try out Trade Republic: trade.re/Dan
► Try out Raisin Bank*: raisin-ie.pxf.io/75jyRV
► Try out Lightyear: lightyear.app.link/Y3zETUMKdDb
I will update this pinned comment over time for any changes to the rates on offer by the above financial institutions
I'm thinking about using trade Republic app to save
Would this affect a mortgage application?
Your link is not working.
I don't particularly like Irish Banks nor do I like our taxation system. but withholding tax in a foreign country and declaring it Ireland may seem like a ball ache for Irish people when it may just be easier to go with an Irish Bank.. maybe a video on how to overcome this stressful obstacle would help us all out. thanks for all your videos too.. I always tune in very informative cheers
I agree. I save with AIB cause I don't need to declare tax so it's one less form to fill in, one less thing to think about. My mental peace is worth more than that extra 1% haha (I hope AIB doesn't read this though)
So I did the math and realized I would be losing about 600 euro per year in interest, so I came to the conclusion that for higher amounts it's very much worth it filling the form once a year.
Not all foreign banks have the withholding tax
Hi Dan/Malone,
Can you clarify if the interest from Trade Republic is liable for DIRT, or is it something else, as it appears to be paid out from an MMF, so is it 41% as an investment fund, or even 52% given it could be seen as dividends?
Many thanks, enjoying the content as always!
N26 now has a savings account option, with 2.8% p.a., and 4% for metal customers.. I think its a bit safer than Trade Republic (plus if you get metal, and have for example 30k, you would get 3.2% after deducting the metal annual fee, and get the metal benefits+insurance)
Thanks for sharing! It's still a sub-par rate in the current environment so I would still opt for TR personally. If you could define what you feel makes N26 "safer" than Trade Republic I'd be interested to hear it. TR deposits are protected under the DGS up to €100k. Seeing as the maximum deposit threshold for interest is €50k, it is, by definition, 100% safe and secure for those looking to avail of the maximum interest.
@@malone_financial do you know if for TR is considered a savings account for tax purposes? As in, when declaring your tax, ll the gains only be taxed the 33% of DIRT?
@@Strokkkksavings account 33%, 212 it investment 41%
Great informative video! thanks for sharing. One question that you may or may not know the answer to. Do you know if these non-traditional savings accounts would affect your ability to get a mortgage for buying a house?
Hi Malone, this was excellent, thank you for the comprehensive overview. When interest is received and withholding tax has been retained in the foreign country (example: Belgium), do I still need to declare my interest income and pay DIRT? that might feel like double taxing, what are your thoughts?
Thanks! Indeed you do. You would need to declare the gross amount of interest received and pay DIRT on this gross amount. A tax credit should be available for the withholding tax suffered. Do note that some accounts on Raisin, like Younited, levy no withholding tax due to local French tax law. That may offer an advantage with regard to certainty of outcome for tax in Ireland.
@@malone_financial Thanks for the video. Super helpful. Do Trade republic provide an account statement at the end of the year which can help me in finalising the interest gained in that year, and therefore help me when declaring DIRT?
Thanks Malone, this is a good tip. Will look into Raisin!@@malone_financial
This guy is a genius, knows his stuff, excellent knowledge, many people with money are loosing out
Hey Malone thanks for the video. I'm wondering how compound interest works (or if it works) with TR once you have the cap of 50k? Does the 4% just keep getting calculated on the 50k and not the interest you accumulate on top of that? I'm probably answering my own question.
Additionally, how does tax work if you are self-employed? If I gain say 3K in the year from interest, and my self-assessed income is above 5K, am I still paying 33% DIRT on that 3K, or do the gains have to be above 5K by themselves separate to income from working?
Setup and moved my savings to trade republic this week! 🚀🚀🚀
Love to see it!
Hi, I'm not an us citizen 9 (I'm Brazilian married with an Irish), however, I did my postdoctoral in California from 2023-2024. After that, I just moved from the US (Where I've opened a bank account with Marcus) to Ireland.
Do I need to transfer my savings from the US to Ireland. Do you recommend Fidelity in Ireland? Thank you
Great video overall! It was just what I needed to get starting, so big thanks for that!!
On the other hand, I was coming with a new topic proposal if you feel it might be usefull for a future video, and that is If there are any cards to have with benefits, such as cash backs but more so with cripto rewards
(sorry if you already covered it, I am still catching up with all your content!)
Thanks again!
Hi Malone..great video..Raisin do not allow joint account, is there any implications in the event of account holder death for spouse and can spouse set up separate account .
What about dirt tax and foreign tax
Great vid. Created an account with trade republic. Do i need to do anything or just trow in some money in it? Cant see the 4% anywhere in the app
Do we have to pay Tax in ireland on the earnings from Trade Republic?
Do you have to trade with Trade republic or leave the money invested
If i do a 1 year fixed with an bank with withholding tax will there be much / any difference with no withholding tax. What i'm trying to say you get a little more .15% in the withholding tax so is it better to go if its for 1 year. Thank
Great video, Irish banks are betting on no one bothering to change, I just set up one there.
Great stuff!
Hi Malone. What do you think about Moneda Capital PLC base in Dublin 2? They offer quite good fixed returned deposit.
Is interest applied automatically or do you have to activate it or take any steps? I seen elsewhere that an activation step was required but don’t see it on my app now that I have deposited funds into cash.
You may be prompted with an activation button on Trade Republic and Lightyear. Just click it if you do! If you can’t find it then you’re likely receiving interest
Hi Malone, what do you think about Bunq with its 2.46% interest rate?
I’d love to know too
I placed some savings away in a bank via Raisin for five years @ 3.25% AER, I am self-employed and file a form 11, Do I declare the interest gain yearly when filing my returns or after the account matures in five years, declaring the interest in total for the five years ?.
whats holding me back from putting money into raisin or trade Republic is declaring the dirt tax to revenue, I've no idea how this is done and can't find any video explaining
It’s so so easy. If you’re earning less than €5,000 in non-PAYE income you literally just enter the gross amount of interest in the relevant section on MyAccount. If it’s more than €5k then you file a Form 11. Please don’t let tax administration be the reason for not making your money work for you! Once you do it once it’ll make sense for life!
Do these banks offer mortgages to Irish ??
Trade Republic has a banking license but doesn’t offer any mortgage products in Ireland (or elsewhere). Both Raisin and Lightyear aren’t banks.
@@malone_financial thanks very much for getting back to me , a friend put me on to you , says your very good. I am new to all this , at the very start of saving for a mortgage but my credit rating is zero.... So just trying to look for alternatives
Hey Malone, great content!! I have money deposit on Trade Republic account and they are paying 4% year, but they pay it into my account monthly, so, my question is: Does Trade Republic withhold tax fo DIRT or I have to declare this interest earnings on my tax return next year? If so this interest will be taxed as Income, please correct me if I'm wrong. Tks
Hey there, appreciate it! No, as I said in the video you need to declare the interest that you receive as part of your tax return. This income will be liable to DIRT at 33%
Can you do an video on best options for fixed term deposit account options for 5/10 years please?
I have to say that customer service in Trade republic sucks. They refused to me to open account with them and don’t even want to give me a reason. I have emailed them but they just don’t respond. Is that normal for the company?
As a sole trader, I often need six months "runway" to cover expenses/salary should I not get work for an extended period of time. With any left over, can I take that money and put it in a high yeild savings account or can you only put savings from a personal account into a high yeild savings account?
It depends whether the platforms in question accept deposits from a business account. You’d be able to find that out via email or just stick to linking your personal bank account! Though I do see what you’re saying about availing of the higher rate for the runway cash, so it’s definitely worth looking into!
I regularly hear people complaining about the low interest rate that "their" bank is paying. I ask each of them how much shopping around they do, answer is always none, my reply is then why would "your" bank pay you more than they have to.
And the crazy part is that there’s great research from the U.S. that shows that banking customers are highly unlikely to swap from one bank to another, even when they can get a better rate. The banks know this which is why they exert control over deposit rates in most markets (especially in markets like Ireland where there’s little competition). Change will only come from challenging the status quo
People in Ireland generally don’t move banks for a better mortgage rate on a loan spanning decades, let alone €1,340 a year from a deposit account, assuming they even have €50k.
Whats ur refetral code dan?
How does joining one of these savers affect you when you are trying to get a mortgage soon? No issues?
I can’t think of a good reason why there’d be an issue. If anything, it shows the bank that you’re being proactive with how you’re saving money. I suppose one consideration would be if you’re locking up cash with Raisin Bank for 2/3 years, the bank wouldn’t see that as cash that you have readily available (because it isn’t). But with something like Trade Republic it’s instantly accessible.
Thank you for a very informative video. For tax purposes, does Trade Republic provide end of your report on how much interest earned to file tax returns in Ireland? Thanks.
No problem! Yep, they provide quarterly reports for activity in the account.
how about interactive brokers?
Don’t personally use IB, but from what I’ve seen the rates aren’t as competitive as the platforms discussed in this video
I believe it's only if you put more than €10000
Are Trade Republic or Lightyear app based or can you join on a computer?
Both can be used via desktop
Nicely explained, thanks for the video :)
Glad you enjoyed!
Would the DGS still be applicable with Trade Republic when you dont have an account under your own name with the partner banks?
Yep, all Trade Republic customers have their cash accounts protected up to €100,000
Great video!!!
How those 4% works if I add some money every month? Like DCA.
Are you talking about Trade Republic? If so, it doesn’t make a difference if the deposit is a lump sum or if it’s recurring deposits every month. Provided the account balance is below €50,000 total, it will be eligible for 4% interest. Any excess over €50k won’t
Why do I get the feeling that even with theses facts, Irish people won’t take any action but still give out about the Irish banks 🤯
Yup!
@@malone_financialthere is a fake Instagram account claiming to be you.
How does the requirement of the deposit guarantee scheme that only money directly held by the institution you are banking with is covered come into play if Trade Republic is passing it on to other banks with the customers agreement.
Not sure I follow the question but your interpretation of how the DGS works seems to be incorrect. Trade Republic would not be able to advertise a €100k DGS protection for each customer cash account if that wasn’t the case. TR isn’t a bank, it’s a broker and therefore they have to partner with banks to store customer deposits. Those customer deposits are eligible for DGS protection
Which platforms if any provide a downloadable deposit statement or similar that can be used to complete the DIRT return the following year?
You can see how much interest you’ve been paid with all of the platforms. There should be a more than sufficient paper trail to furnish Revenue with evidence of the interest received!
Great tips again, thank you!
No problem!
Should I consider putting a mortgage deposit in trade republic?
Absolutely, provided it’s less than €50,000. As I said, 4% interest up to €50,000 with instant access and full protection under the Deposit Guarantee Scheme. What’s not to like!
Thanks Malone.
If you had a few grand to invest, what would your first investments be..ETFs?
Check out my video “How I’d Invest My First €100 As A European Investor”
@@malone_financial
Apologies Dan, never got a notification for this.
Love the vids
if your saving for a mortgage does it look bad saving money on trade public each week
Why would that look bad? If anything it would look good!
Revolut offers 3.67%, not as good as the ones you mentioned but certainly more familiar to irish consumers. Thoughts?
I don't think they offer that in Ireland?
From what I can see online, Revolut offer 2.12% on EUR cash balances. Unsure if this is available to Irish customers, but even if it is, totally sub par comparatively
I messaged them a few months ago, and it is only available in a few countries, not in Ireland. They said the number of countries will be expanded soon
They are offering 4.75 at the moment but only if you save in GBP. 2.12 for saving in euro. But then you have to take into account the drift of the exchange rate when you need to access the money
Revolution have extremely poor customer service.
Good man Dan! 👍
Sound
What about Bunq? Interest is paid out weekly. Deppsit guaranteed upto 100k. 1.56% interest.
Why waste your time with 1.56% when you can get 4%? Hell, even the traditional banks can do better than Bunq!
@@malone_financial I already use trade Republic a long time. If you need instant access to your cash traditional banks don't offer this, you have to lock it away for 12 months or more and they have other limitations. So it's not the same
Actually you’re incorrect! AIB and Bank of Ireland have instant access accounts that offer better rates than 1.56%. Albeit with caveats and limitations on deposits. Regardless, I don’t recommend traditional banks or Bunq so both are a moot point. If you’ve fully utilised Trade Republic perhaps consider Lightyear
Good content as usual Malone!
Thanks!
Thanks very much Dan 👍👍.
No problem!
I just got 172.22 from them a few days ago (thought it would have "only' been 166.66....I'll live... )
Love to see it!
What is your referral code ?
For Lightyear it’s MALONE10. For Trade Republic no code is needed. Appreciate you using the links 🙏
Great video! I’d be interested to hear your thoughts on saving with the likes of Revolut and Bunq as they too have quite competitive rates on certain plans. Many thanks 😊
Hey man great vidoes. woudn't mind if you do a video how to invest in crypto :)
Thanks! I don’t touch crypto so I don’t cover it on the channel (except when I’m talking about why I don’t touch it lol)
@@malone_financialalright, let me check it out then
Have you read Rich Dad Poor Dad? The book says that savers are losers.
Welcome to the real world where people have genuine reasons to save money and thus savings options must be considered. Investing is always better for generating returns long-term, but it’s not always suitable for short term needs. For example, where someone needs to store savings somewhere for a short period of time i.e. when saving for a deposit on a home
Another reality check…people need emergency funds to ride out the ups and downs life throws at them. This should be in easily accessible savings. That guy champions borrowing as much as possible to buy assets.
Ask anyone in Ireland stung by investment properties (particularly those on interest only terms) in the early 2000’s how such an extreme approach can turn out 🤔
I'm going to sign up to trade republic - whats your referral code - the app is asking me
You can skip the referral code!