Neon is dropping interest rates

[Baptiste Wicht]

Hi,

I have just received information from neon about changes in interest rates:

• In November 2024, the interest rate on Spaces will go down to 0.1% (up to 25'000)
• In December 2024, the interest rate will drop again to 0.0%

So, as of December 2024, Neon Spaces will have no advantages ove the default Neon account.

SNB rates have been going down, but I am quite disappointed that Neon is dropping so fast. There are still many alternatives around 1%, so dropping to zero is quite bad.

We have a small 10K emergency fund, so I am not going to chase interest rate, but this is still sad.

What do you think about this change?

 

[CPMB]

I think I'm happy to still have 0.75% at Yuh... for now!

 

[justatreeinthesea]

I think Neon has lost its edge. It's possible today to get better packages for day to day banking. I've moved all my savings and recurrent orders/subscriptions out of Neon and have gotten debit cards elsewhere. The only thing I have yet to find is a replacement warranty extension insurance.

 

[Baptiste Wicht]

I think Neon has lost its edge

I think it comes down to more competition. When they started, they were almost alone, now there are many (too many?) digital banks and it's becoming more and more difficult. I think they still have a very good offer, but it's not unique anymore and it's not the best in every way.

 

[justatreeinthesea]

I think it comes down to more competition. When they started, they were almost alone, now there are many (too many?) digital banks and it's becoming more and more difficult.

Yes and that's what I mean. Neon is nothing special any more, apart from offering that insurance. I would be nervous if I was an investor.
They're growing their benefits marketplace, but you can get those elsewhere (Twint, aggregators, etc.) and it makes it more difficult for them to offer similar services are the ones being offered by partners. You should put your book on it btw, I see the "competition" has already .

 

[Baptiste Wicht]

You should put your book on it btw, I see the "competition" has already .

I did not get your meaning on that one

 

[justatreeinthesea]

I did not get your meaning on that one

I was looking at their benefits marketplace and I saw the book from MP was in there, under "Leisure". I think you should do the same to grow your audience

 

[Baptiste Wicht]

I was looking at their benefits marketplace and I saw the book from MP was in there, under "Leisure". I think you should do the same to grow your audience

Interesting, I never noticed it I will look into it

 

[20/20Hindsight]

I was excited when I first moved here to find a bank like Neon, but they have dropped the ball. This latest drop in interest rates has motivated me to start looking.