Basic interest rate and loyalty bonus: what does your savings behaviour say about you?

Keytrade Bank logo

Keytrade Bank

Every type of saver has their own needs. This is why a whole host of banks offer options that reward both flexible and loyal savers. Basic interest rate and loyalty bonus are two terms you may already have come across when looking into the best savings options. But what exactly do they mean, and what should you pay attention to in your current savings situation?

Why opt for a savings account?

All regulated savings accounts are linked to at least one interest rate. You deposit money you don't need day in, day out for expenses into an account and earn interest on this amount in the meantime. In other words, your money will work for you to a greater or lesser extent, depending on the bank and savings plan you choose.

It is important to bear in mind that savings accounts can vary significantly. As an example, one bank may impose certain conditions on you, while another bank may not. This could be a minimum amount required as a deposit into your savings account in order to benefit from the stated interest rate, or a limit on the number of withdrawals over a certain period.

Regulated or non-regulated savings account

Whether certain conditions are attached or not depends, in part, on whether your bank offers you a regulated or a non-regulated savings account.

A regulated savings account

A regulated savings account comes with a number of statutory benefits as standard. The aim is to encourage savers, but also to provide banks with the forecasts they need. Examples of such benefits include:

  • Two types of interest: a basic interest rate and a loyalty bonus (see below).
  • An interesting tax break to remember is that you do not pay any withholding tax up to a certain maximum return (€1,020 per person in 2024).

On the other hand, a number of restrictions do apply to these benefits. As an example, it is not possible to pay bills or set up standing orders from a regulated savings account.

In addition to the benefits and restrictions generally in place, banks may impose certain individual conditions on applications for a regulated savings account. Examples include a minimum or maximum savings amount, a minimum or maximum monthly deposit or being in a particular age category. However, there may even be no conditions at all, as is the case with Keytrade Bank's savings plans.

A non-regulated savings account

In the case of a non-regulated savings account, there is usually no loyalty bonus or a statutory minimum interest rate. This means the bank has greater freedom and you have fewer guarantees as a saver. In addition, you pay 30% withholding tax from the very first euro you earn.

Basic interest rate compared to a loyalty bonus: how long can you leave your money in an account?

When you opt for a regulated savings account, you will therefore come across two types of interest: the basic interest rate and the loyalty bonus. These savings rates have been created to reward both active and long-term savers.

Basic interest rate: emphasis on flexibility

The basic interest rate is the interest you earn annually on the money held in your savings account. This rate is calculated daily on the total balance held in your account and is paid annually.

The good thing about this interest rate is that it offers you flexibility. This means that if you decide to withdraw money from your savings account, the interest rate will not be affected. If you need regular access to your savings, making withdrawals will not negatively affect your basic interest rate.


The basic interest rate and loyalty bonus are two types of savings interest rates created to reward both active and long-term savers.

A loyalty bonus for when you can put your savings away for longer

As the name suggests, the loyalty bonus rewards savers' loyalty and is paid out on top of the basic interest rate. The bonus is calculated on the money you leave untouched in your account for twelve months. Once the twelve-month period comes to an end, a new one will start automatically.

The bonus starts on the day after the deposit is made and is paid out on the first day of the subsequent quarter once your original deposit has been in your account for a year. If you can put your savings to one side for a longer period, the loyalty bonus becomes a very attractive option.

If you decide to withdraw money in the meantime, however, you will not receive a loyalty bonus on the amount withdrawn during the previous twelve months.

What's the best solution for you?

Now that you know exactly how the basic interest rate and the loyalty bonus work, what does this mean for you and your savings plans? What should you keep in mind?

Flexibility or return? Should you opt for flexibility (basic interest rate) or a higher return on long-term savings (loyalty bonus)?

How often do you think you'll need to make withdrawals? Making withdrawals will affect the loyalty bonus, but not the basic interest rate.

What can the combination do for you? The amounts recently deposited earn basic interest, while your longer-term, fixed deposits continue to yield a return thanks to the loyalty bonus. Compare the range of these combined interest rates and make the best choice for you based on your savings intentions.

Discover attractive savings options at Keytrade Bank

Whether you are saving for an unexpected expense or a large purchase or simply want your capital to grow with peace of mind, understanding the differences between the basic interest rate and loyalty bonus will help you make an informed decision.

Keytrade Bank also offers you a regulated savings account with attractive options for a basic interest rate and loyalty bonus. Want to find out more about our rates and terms and conditions? Take a look at our website.

How does saving at Keytrade Bank work?

This article does not contain any investment advice or recommendation, nor a financial analysis. Nothing in this article may be construed as information with a contractual value of any sort whatsoever. This article is intended for information only and does not constitute in any way a commercialization of financial products. Keytrade Bank cannot be held liable for any decision made based on the information contained in this article, nor for its use by third parties. Every investment entails risks such as a possible loss of capital. Before investing in financial instruments, please inform yourself properly and read carefully the document "Overview of the principal characteristics and risks of financial instruments" that you can find in the Document centre.

Other articles that might interest you