Trading 212 Increases Interest on EUR Cash to 3.5% for New Clients

_{Promo code: IITW. Open a Trading 212 account through this link and enter the code IITW to claim a free share when you sign up. When investing, your capital is at risk.}

Trading 212 has increased the interest rate on uninvested EUR cash to 3.5% for new clients. Interest is paid daily, there are no minimum or maximum balance requirements, and you can withdraw your cash at any time. You can read the full details on the Trading 212 interest on cash page:

What has changed

The headline rate on uninvested EUR has moved up to 3.5%. The interest applies to cash held in an investment account, it is paid every day, and it immediately begins accruing additional interest. There are no balance limits, so you earn the same rate on your entire uninvested cash balance, whether it is large or small.

Your cash also stays fully accessible: you can withdraw or invest it at any time without penalty fees and without affecting your rate.

Who is eligible?

Importantly, the higher 3.5% rate is for new clients onboarded under Trading 212 EU GmbH, the entity regulated in Germany by BaFin. Based on your country of residence, your account is opened under one of Trading 212's entities, and this offer applies to the EU GmbH entity. The eligible countries are:

• Germany
• Austria
• Denmark
• Finland
• France & Overseas (including French Guiana, Guadeloupe, Martinique, Mayotte and Réunion)
• Iceland
• Ireland
• Liechtenstein
• Luxembourg
• Netherlands
• Norway
• Spain
• Sweden
• Switzerland

How earning interest works

As Trading 212 is not a bank, it holds your cash through a mix of products and vehicles such as qualifying money market funds (QMMFs), time deposits, and current accounts. To receive interest you need to enable it from the “Earn Interest on cash” dashboard in the app and consent to having your cash held in QMMFs. You can disable interest at any time, and you can see exactly how your cash is split between banks and QMMFs from the same dashboard.

A qualifying money market fund holds mainly short-term, low-risk assets and aims to maintain a stable value. These funds are widely used by pension funds, insurers, and banks to hold cash while earning a little interest. They are called “qualifying” because they meet specific regulations that allow them to be treated as cash equivalents.

Is my money protected?

Where your cash is held with a bank, it is protected up to €100,000 by the applicable deposit protection scheme, such as the German Banks' Compensation Scheme (EdB). Where your cash is held through the investment side, the Securities Trading Companies' Compensation Scheme (EdW) provides protection up to €20,000. How protection applies can depend on your personal circumstances and the type of service. Note that money placed in a QMMF is treated as an investment rather than as a bank deposit, so deposit protection does not apply to it; as with any investment, its value can move.

Other things worth knowing

Interest is paid daily, rounded down to the nearest cent, with amounts below 0.01 carried forward until they reach a payable amount. You can hold and earn interest in multiple currencies within a single account, and convert between them with a 0.15% FX fee. Interest rates track the rates Trading 212 receives from the banks and QMMFs it works with, which in turn follow central bank rates, so they can change over time.

Tax treatment depends on your tax residency and the entity you are onboarded with. For German tax residents onboarded with Trading 212 EU, interest is subject to the standard capital income tax rate of 25%, plus a 5.5% solidarity surcharge on the tax amount and, where applicable, church tax, which Trading 212 withholds and remits on your behalf. If you are a non-German tax resident onboarded with Trading 212 EU, interest is paid gross, but your country of residence may tax it. This is not personal tax advice; if in doubt, speak to a tax advisor or the relevant tax authority.

The bottom line

If you are a new client in an eligible EU country, the move to 3.5% on uninvested EUR makes Trading 212 a competitive option for keeping cash productive while it waits to be invested, with daily payments, no balance limits, and free withdrawals. You can review the details and current rates on the interest on cash page and the terms and fees.

Related reading

• Trading 212 promo code “IITW”: free share for new clients
• Is Trading 212 safe?
• Term deposit calculator: estimate your interest

^{When investing, your capital is at risk and you may get back less than invested. Past performance doesn't guarantee future results.}