When you create an investment account with us, we will automatically open a bank account (Cash Account) in your name with flatexDEGIRO Bank. All of your uninvested money will then be held in a segregated personal bank account with a personal IBAN.
One important consequence of this setup is that up to €100.000 of your uninvested money will be protected by the German Deposit Guarantee Scheme (Entschädigungseinrichtung deutscher Banken). For more information on this scheme, visit this page.
Your new Cash Account will be directly connected to your existing DEGIRO investment account. It is not possible to use this Cash Account for other banking matters, and you will not receive a physical card or be able to set up this account to payment services such as Apple Pay. You can only use it to hold money to finance all the activities on your investment account.
There are no costs associated with holding the Cash Accounts or depositing/withdrawing money. Please note that the EUR account is subject to a negative interest of -0.50% per year. However, we will compensate for all interest costs that are caused by the first €2.500. More information about the compensation for negative interest can be found here. For all other accounts, an interest rate of 0% applies.
Please also see this document with an overview of the prices and services of the Cash Account. There are no entry, exit or other costs associated with the Cash Accounts.