Savings is a separate balance on your Lightyear account, which earns interest on your euros. The interest tracks the European Central Bank’s rate trends and aims for a slightly higher return than cash.

Here’s what you get:

• 2.03% AER. The rate is variable, shown as of June 17th, and net of fees.
• Interest is earned daily and paid out monthly. You start earning as soon as a deposit hits your Savings balance
• Easy access withdrawals, most happening instantly
• 0.20% annual fee, combining the fund manager’s and Lightyear's fees
• Powered by J.P. Morgan Asset Management

For euros, Savings replaces cash interest with a higher yield through the J.P. Morgan Money Market Fund. Your euros will now earn more, stay accessible, and can be automatically reinvested each month. If you’d like to keep earning interest, you’ll have to deposit money to your Savings balance. But don’t worry, it only takes a few taps.

Keep in mind that as Savings is an investment product, tax requirements will differ once you start earning euro interest through Savings, compared to interest on uninvested cash.

For USD and GBP, cash interest continues at 2.25% and 2.5% respectively.

Under the hood, for Savings in Croatia, Cyprus, Greece, Ireland, Portugal, Slovakia and Slovenia, your money is invested into a Money Market Fund (MMF), managed by J.P. Morgan Asset Management. An MMF is a low-risk fund that invests in short-term debt from governments, banks and companies with strong balance sheets and high credit ratings. In exchange, they pay interest to the fund, which passes it on to you as yield.

MMFs are AAA-rated, which means they sit at a risk level of 1/7 on the SRRI (Synthetic Risk and Reward Indicator). For comparison, a government bond typically sits at 3/7, and a global stock index fund at around 6/7.

Saving money as idle cash is one of the most common behaviours holding people back from growing their wealth. Savings is here to solve that, simply and transparently, across more of Europe.

If you're holding onto cash while you decide what to invest in next, or simply keeping a portion of your portfolio in something lower-risk, Savings can help you out. Your money earns yield from day one and stays accessible whenever you need it.

Savings is one of the lower-risk ways to get started with growing your money. You don't need to pick stocks or research market cycles. You deposit money, it earns a return, and you can take it out whenever you want. Savings is a straightforward way to get your cash doing more than it would in a standard bank account.

Similarly, managing idle cash is a common challenge for businesses too, as money sitting in a current account between payroll runs, vendor payments or reinvestment earns close to nothing.

Lightyear business accounts give you access to the same Money Market Fund offering: low risk, highly liquid and with transparent 0.20% annual fees. It's a straightforward way to put your company's cash to work without tying it up or taking on unnecessary risk. Learn more about MMFs for your business.

In the markets launching today, Savings is powered by the JPMorgan EUR Liquidity LVNAV Select fund, managed by J.P. Morgan Asset Management.