From October this year, INDEXO Bank will begin attracting deposits from private individuals in Germany through the deposit platform CHECK24. This step will allow the bank to diversify its funding sources and secure financing for the continued growth of its rapidly expanding loan portfolio in Latvia. Both the Bank of Latvia and the German financial supervisory authority BaFin have approved INDEXO Bank’s right to start accepting deposits from German residents. The launch of deposit collection is planned following the completion of the technical integration and all other necessary preparatory work.
In Germany, INDEXO Bank will offer the same standard fixed-term deposit products that are already available to customers in Latvia. The interest rates offered to German customers will not be higher than the rates available to customers in Latvia at the respective time.
“Our loan portfolio is growing rapidly, and attracting deposits in the German market is an important step in diversifying our funding sources. This will also benefit the Latvian economy, as funds deposited by German savers will be transformed into new loans for residents of Latvia. Attracting deposits in Latvia remains our priority,” says Valdis Siksnis, Chairman of the Management Board of INDEXO Bank and one of the founders of the Group.
The servicing bank for the fixed-term deposit offering in Germany will be C24 Bank GmbH, a German credit institution that will perform customer identification and maintain customers’ payment accounts. The deposit agreement itself will be concluded between the customer and INDEXO Bank.
