What is overnight money?
Call money is a flexible form of investment where you can park your capital safely and still access it at any time. It is ideally suited as a short-term liquidity reserve with an attractive interest rate.
In contrast to fixed-term deposits, the credit balance remains available on a daily basis. The account is not used for payment transactions, but for the structured management of free funds. Deposits and withdrawals are made via a deposited reference account.
As they are not securities, there are no price fluctuations. As a rule, there are no notice periods.
How are interest rates on call money developing?
The interest rate is influenced by various factors, in particular the interest rate environment of the European Central Bank and the respective bank.
Current call money interest rates vary depending on market conditions and provider. Different conditions may apply depending on the institution and country.
You can get an overview of currently available offers via our comparison options.
Who is a call money account suitable for?
A call money account is particularly suitable for investors who want access to their capital at any time and at the same time value security.
Typical areas of application:
– Short-term parking solution for free funds
– Reserves for unforeseen expenses
– Supplement to longer-term investments such as fixed-term deposits
Banks outside Germany can sometimes offer competitive interest rates, especially in a European comparison.
Payout from call money account
You can decide at any time whether partial amounts or the entire balance should be paid out.
The transfer is usually made to your reference account within one bank working day. Capital and accrued interest are automatically taken into account.
Advantages of a call money account
The biggest advantage is the high degree of flexibility. Investors can make deposits and withdrawals or change providers at any time.
Further features:
– Daily availability
– Variable interest rate
– No fixed terms
– Statutory deposit protection up to EUR 100,000 per customer and bank within the EU
How Safe is an Overnight Deposit?
Call money is a low-risk form of investment. Deposits are protected by statutory guarantee schemes.
Within the European Union, the statutory deposit guarantee applies up to 100,000 euros per customer and bank. Additional voluntary security systems may also exist.
In the event of a bank insolvency, the responsible guarantee fund takes over the repayment within the legal limits.
How the deposit guarantee works
There are no price risks with call money as there are with securities. The deposit guarantee takes effect automatically and protects the credit balance up to the statutory maximum limit.
This does not result in any additional obligations for investors.
Additional voluntary security systems
In some countries, there are voluntary guarantee funds in addition to the statutory deposit guarantee.
Depending on the respective country and institution, these can go beyond the statutory cover.
Call money at a glance
- - Access to audited partner banks
- - Structured comparison options
- - Transparent processes
- - Individual advice
Difference between call money and fixed-term deposits
The main difference lies in the availability and interest rate structure.
With call money, the capital can be withdrawn at any time and the interest rate is variable. With fixed-term deposits, the capital is invested for a fixed term at an agreed interest rate.
Call money is suitable for flexible liquidity reserves, while fixed-term deposits are more geared towards predictability and fixed income.