Cash deposits over the longer term loose real value due to the impact of inflation. However in times of investment uncertainty and for short term investment, deposits have a place in an individual’s portfolio. At the very least individuals will need to have an emergency accessible cash fund.
Following the Irish banking crisis, the rates of interest being paid on Irish deposits increased in line with the increased cost of funds for Irish banks. In a volatile investment market many retail investors stayed in deposits while attracting high interest rates. With the Deposit Guarantee Scheme (DGS) the first €100,000 (per institution) of deposit holders deposits are guaranteed, this is a eurozone wide scheme.
Additionally under the Irish government’s ELG scheme introduced in 2009, there are guarantees for deposits over and above the €100,000 threshold of the Deposit Guarantee scheme.
Ark Finance is authorised to act as a deposit broker for a number of credit instituitions. For the latest corporate and private investor deposit rates available, please contact us directly.