You save money every month, regularly put something aside, and have built up a comfortable financial cushion over the years. €20,000, €50,000, or perhaps even more.
But have you ever calculated how much your savings actually earn you?
For many people, the answer may be disappointing. Because even with a healthy savings balance, the interest earned at the end of the year can be surprisingly small.
Let’s take a closer look at the numbers.
How Much Interest Are You Really Earning?
The average interest rate on existing savings deposits currently stands at just 1.52% per year.1 Here’s what that means for your savings:
| Savings | Annual interest | Per month |
|---|---|---|
| €20,000 | €304 | €25.33 |
| €50,000 | €760 | €63.33 |
| €100,000 | €1,520 | €126.67 |
Even with €100,000 in savings, that works out to just €127 per month. And you may still have to pay taxes on those earnings.
For money that has taken years to build up, that’s not a particularly impressive return. And that’s not even the worst part.
What You Could Be Missing Out on Over Time
The problem with low interest rates isn’t just the small amount of money you miss out on each year. Over time, the difference can grow into a substantial sum.
The reason is compound interest. When you reinvest your earnings, you start earning interest on your interest, too.
To see how much of a difference this can make, let’s look at an example with €50,000. We’ll compare an annual interest rate of 1.52%1 with an assumed return of 7% over 10 and 20 years.
After 20 years, you’d have around €67,600 in one scenario and more than €193,000 in the other.
That’s a difference of over €125,000. Without contributing a single additional euro.
Of course, this is a simplified calculation. It assumes that interest rates remain unchanged throughout the entire period and that all earnings are reinvested. It also does not account for taxes, fees, or potential investment losses.
Still, it shows just how much your rate of return can matter over time.
Could Your Savings Be Earning More?
The good news is that there are alternatives to traditional savings products that offer higher interest rates.
And you don’t have to move all your savings into a different investment. It may be worth exploring whether a portion of the money you won’t need anytime soon could be invested elsewhere.
Beyond traditional savings products, there are investments that allow you to lend money for a fixed period in exchange for interest.
One such option is SaveSmart from Afranga.
However, unlike traditional bank deposits, which are protected by statutory deposit guarantee schemes, these investments come with greater risks.
Up to 10% Annual Interest: An Alternative Worth Knowing About
With our investment product SaveSmart, you can currently earn interest rates of up to 10% per year. Simply choose how much you’d like to invest and your preferred investment term. Interest is generally paid out monthly.
You can get started with as little as €10. There’s no need to select individual loans or manage your investment on a daily basis.
More than 8,400 investors from across the EU have already invested through Afranga. In total, over €43 million has been invested through our platform, with more than €3.62 million paid out in interest.2
- 8,400+investors from across the EU
- €43M+invested through Afranga
- €3.62M+paid out in interest
How Can SaveSmart Offer Such High Interest Rates?
The principle behind SaveSmart is simple: you invest directly in a loan to a company, which pays interest in return. Afranga facilitates and manages the investment.
Because there is no traditional bank acting as the lender in between, investors can benefit from the agreed interest rates.
However, this also means you bear the risk that the company may be unable to repay its loan. SaveSmart is not a bank deposit and is not covered by a deposit guarantee scheme. In the worst case, you could lose your entire invested capital.
How Is Your Investment Protected at Afranga?
With interest rates of up to 10% per year, it’s only natural to ask: how trustworthy is the platform you’re investing through?
Afranga has been operating since 2021 and holds a European Crowdfunding Service Provider (ECSP) licence. The platform is supervised by Bulgaria’s Financial Supervision Commission (FSC).
For investors, this means:
- Regulated platformAfranga operates under the applicable European regulations for crowdfunding service providers.
- Transparent informationInvestors receive information about their investments and the associated risks.
- Regular reportingAfranga publishes monthly statistics on the platform’s performance and development.
However, holding a licence does not mean your investment is protected against losses. SaveSmart is not covered by a deposit guarantee scheme. Whether you receive your invested capital and the agreed interest in full depends on the borrower’s ability to repay the loan.
Make More of Your Savings
You’ve spent years putting money aside. Perhaps now is a good time to explore what other options might be available for a portion of your savings.
With SaveSmart, you can start investing from just €10 and choose between three fixed investment terms offering annual interest rates of 8%, 9%, or 10%.
Take a closer look at the terms and risks, and decide for yourself whether SaveSmart is the right fit for you.
Sources and notes
1 Verivox, Instant Access Savings Account Analysis, October 2026. Average annual interest rate of 1.52% for existing customers. Calculations are before taxes and exclude compound interest. Monthly figures represent calculated averages, not actual monthly interest payments. View source
2 Source: Afranga, September 2026 Monthly Report and Platform Statistics. Data as of 30 September 2026.
Afranga is licensed as a European Crowdfunding Service Provider (ECSP) by the Financial Supervision Commission of Bulgaria, Resolution 863/12.09.2023. Capital at risk. Not covered by any deposit guarantee scheme or investor compensation scheme. Afranga EOOD, Reg. No: 206337510.
This article is for information purposes only and is not investment advice.
