Negative interest rates: Not permitted for savings and overnight deposit accounts, permitted for current accounts.
The Federal Court of Justice (BGH) has issued an important ruling on negative interest rates: Banks are not allowed to charge negative interest on savings and call money accounts. The situation is different for current accounts – here, negative interest rates are permissible under certain conditions. But what does this ruling mean specifically for bank customers? And can negative interest already paid be reclaimed?
Why did banks introduce negative interest rates?
In recent years, many banks have introduced so-called negative interest rates or custody fees. For customers, this meant having to pay money to keep their funds in their accounts – instead of receiving interest on them.
The reason for this was the European Central Bank’s (ECB) low-interest-rate policy. Banks themselves had to pay negative interest rates when they parked money with the ECB and passed these costs on to their customers.
Federal Court of Justice ruling: Banks are not allowed to charge negative interest rates on savings accounts.
Consumer protection agencies considered this practice illegal and sued several banks and savings banks – successfully. The Federal Court of Justice ruled that negative interest rates on savings and call money accounts are inadmissible because they contradict the actual purpose of the contract.
The purpose of savings deposits is to build up the assets of individuals over the medium to long term and to protect them from inflation through interest. This fundamental aspect of the savings contract is altered by the imposition of a custody fee, contrary to the principles of good faith.
In short: Savings and money market accounts serve the purpose of wealth accumulation – if banks charge negative interest rates on these accounts, they undermine this purpose. According to the Federal Court of Justice, this is incompatible with current contract law.
Negative interest rates on current accounts? Generally permitted!
The situation is different with current accounts. According to the Federal Court of Justice, banks are permitted to charge a fee for holding money in a current account. The reason: A current account is not primarily intended for saving, but for daily payment processing.
” The Federal Court of Justice’s decision shows that not every bank fee is automatically inadmissible. With current accounts, the processing of payments is paramount, so banks are generally permitted to charge custody fees, ” said lawyer István Cocron.
However, the Federal Court of Justice (BGH) clarified that contractual clauses regarding negative interest rates must be transparent and comprehensible. It must be clearly recognizable to the customer when and under what circumstances custody fees are incurred.
In the current case, some bank clauses were declared inadmissible because they were not sufficiently clear. Consumer associations, however, would have preferred an even stricter regulation.
Refund possible – but beware of the statute of limitations!
Many bank customers are now wondering: Can I reclaim negative interest I’ve already paid? Generally, yes! Anyone who has paid unauthorized custody fees can reclaim their money from the bank. However, these claims may be time-barred.
According to consumer advocates, claims from 2022 are still valid until the end of 2025. Those who have already disputed negative interest rates with the bank or initiated legal proceedings may also be able to assert older claims.
“ Bank customers should check their bank statements and not wait too long. Anyone who is unsure whether they can claim a refund should seek advice from a lawyer or the consumer advice center, ” advises lawyer Cocron.
What can bank customers do now?
1. Check bank statements: Have any unauthorized negative interest rates been charged? If so, a claim for reimbursement should be examined.
2. Contact a consumer advice center or a lawyer: Experts can help assess the legal situation and enforce possible claims.
3. Use sample letters: Many consumer advice centers offer free sample letters.
4. Observe the limitation periods: If you wait too long, you may not be able to get your money back.
Conclusion: The Federal Court of Justice provides clarity for consumers
The ruling of the Federal Court of Justice finally brings clarity for bank customers: Negative interest rates on savings and overnight deposit accounts are inadmissible, but permitted for current accounts under certain conditions.
Bank customers should now check whether they have paid unlawful negative interest rates and, if so, demand their money back. Anyone who is unsure can contact a consumer advice center or a specialized lawyer.
With this ruling, the Federal Court of Justice (BGH) has set an important precedent for consumer protection – and bank customers should take advantage of this opportunity to get their money back!
