Savings account interest rate

Frequently asked questions about savings account interest rates

How is the interest rate on a savings account calculated?

The method of calculating the interest rate on a savings account depends on the account’s terms and conditions, which may vary from one account to another. So it is up to you to choose the account that you find most suitable. 

The terms and conditions of the account specify whether the interest rate is fixed or tied to a reference rate such as the Nordea Premier Interest Rate. The terms and conditions also state the method of calculating the interest rate.

You can usually check the interest rate on savings accounts and the expected interest yield on a time deposit account in Nordea Mobile or Netbank when opening such an account.

What affects the value of the Nordea Premier Interest Rate and when does it change?

Nordea Premier Interest Rate is Nordea's own reference rate. It reflects changes in market conditions but is more stable than market interest rates. Its value is influenced by the current level of deposit interest rates and expectations for how they will change in the future, by the bank’s fundraising needs and by the competitive situation in the deposit market.

The value is set by Nordea Bank Oyj. We will announce any revisions to the Nordea Prime rate at least 14 days before the new rate enters into force. We will announce the new rate on this page.

Is interest paid monthly on a savings account?

The interest payment date of a savings account depends on the terms and conditions of the account and the length of the deposit period. For example, the interest on a time deposit account is paid at the end of the deposit period. In the case of a continuous savings account, such as a PerkAccount, the fixed annual interest rate is paid once every year. The interest on a FlexiDeposit account is paid at the start of a new deposit period.

Do I have to pay tax on savings account interest?

Yes, the interest paid on savings accounts in Finland is generally subject to a tax at source. The tax at source is 30% of the amount of interest. Nordea will automatically deduct the tax from the interest paid to you.

An exception to this rule is the ASP account used for saving for buying a first home. The interest paid on an ASP account is tax-exempt if the saver fulfils the terms and conditions of the ASP saving scheme: saving on the ASP account for at least two years, saving a sufficient percentage of the price of the home to be bought and taking out a loan for the home.