Exchange rate risks

Individual currency investments always carry an exchange rate risk.

If the exchange rate falls from the level prevailing at the time of making the deposit, you suffer an exchange rate loss, and if the rate rises, you gain exchange rate profit.

Taxation

A tax-at-source on interest income is levied on the interest of your deposits.

Potential exchange rate profits are considered taxable capital income. Profits will be realised only when the foreign currency is converted into euros.

For personal customers, exchange rate profits are tax-free up to 500 euros a year. You must declare the profits in your tax return.

Exchange rate losses are not tax deductible.