A complete guide to savings accounts in Ireland

Key points at a glance

• Match your account to your goal: the right savings account depends on whether you need instant access, want to save monthly, or have a lump sum to deposit.
• Build a monthly habit with a regular savings account, which often pays higher interest but caps how much you can deposit each month.
• Choose a demand deposit account for instant access to your money, accepting that these pay the lowest interest rates.
• Deposit a lump sum into a fixed term savings account for one to five years to earn the highest fixed rates.
• Pool money with a joint savings account for shared goals like a mortgage deposit.
• Factor in DIRT: 33% tax applies to deposit interest.
• Look beyond Irish banks: digital banks like Revolut, N26, and Monzo, and platforms like Raisin, can offer better rates.

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Irish savers have more choice than ever. New digital providers and European marketplaces are bringing fresh competition to a market where deposit rates with traditional Irish banks have been historically low, and it’s now possible to earn a better return on your money. Moving cash out of a standard current account is a great first step, as money sitting there loses value in real terms due to inflation.

The right option comes down to your goals. Do you need instant access to your funds for an emergency, or can you lock your money away for five or ten years to secure a better rate? Are you looking for a joint savings account to manage shared goals with a partner, or a tax-efficient way to grow a lump sum? This guide breaks down the savings options available to Irish consumers and shows you how to compare and switch.

Types of savings accounts in Ireland

Before you look at specific providers, work out which kind of account suits you. Most savings accounts fall into one of two categories: regular savings accounts and lump-sum savings accounts.

Regular savings accounts

Regular monthly savings accounts are designed for people who want to put aside a set amount of money every month, and they’re excellent for building good financial habits. If you’re saving for a holiday, a wedding, or next year’s car insurance, a regular saver is often the best route.

• Pros: Encourages discipline and often pays slightly higher interest rates on your monthly contributions.
• Cons: Monthly deposits are usually capped, and you may face penalties if you miss a payment or make a withdrawal.

Lump-sum savings accounts

If you have a large amount ready to deposit, such as an inheritance, a redundancy payment, or accumulated savings, a lump-sum account is the right fit. You have three main options:

• Easy access accounts: Withdraw money whenever you like without notifying the bank. The trade-off is usually a lower interest rate, or Annual Equivalent Rate (AER).
• Notice accounts: Give the bank advance notice, ranging from seven to 60 days, to withdraw funds. In return, you typically earn a better rate than with an easy access account.
• Term deposits: Lock your money away for a fixed period, such as one, three, or five years. These usually offer the highest fixed rates, though accessing your cash during the term can bring penalties.

What does AER mean?

AER (Annual Equivalent Rate) shows how much interest you would earn on your savings over a year, taking into account how often interest is paid and added to your balance. Every account uses the same calculation, so AER lets you compare accounts like for like, even when one pays interest monthly and another pays it once a year. AER is quoted before tax, so the interest you receive is lower once 33% DIRT is deducted.

High-interest savings account options in Ireland

For a long time, Irish savers had very few options outside the main pillar banks. Today, the market has widened significantly, and you can compare high-interest savings accounts from a much broader range of providers.

Traditional Irish banks

Banks like AIB, Bank of Ireland, and PTSB offer a range of demand and fixed term deposits. Rates on demand deposit (instant access) accounts have historically been very low. Fixed term accounts currently offer higher rates, sometimes up to 3%, depending on the term.

• Best for: People who prefer dealing with a physical branch and want their savings in the same place as their current account.
• Watch out for: DIRT (Deposit Interest Retention Tax), currently charged at 33% on any interest you earn.

Digital banks and European savings platforms

To find a high-interest savings account in Ireland, look beyond the traditional banks.

• Raisin: This online marketplace gives Irish savers access to deposit rates from banks across Europe. You sign up once, then open accounts with various European banks that may offer better rates than those available domestically.
• Revolut, N26, and Monzo: These online-only banks have brought new competition to the market. Revolut offers easy access savings at competitive rates, with its top rates reserved for customers on its Ultra subscription plan, which carries a monthly fee. N26 also offers competitive easy access savings. Monzo, the first digital bank to receive a full banking licence from the Central Bank of Ireland, offers a free instant access savings account.
• Trade Republic: This digital investment platform pays a variable rate of interest on uninvested cash, which typically moves in line with European Central Bank rate decisions.

Joint savings accounts in Ireland

For couples or housemates, a joint savings account is a practical way to pool money for shared expenses or goals, such as a mortgage deposit. Traditional banks readily offer joint accounts. Some digital banks have been slower to roll out joint savings features than individual accounts, but options are improving, so it’s worth comparing current features.

Tax-free savings backed by the State

If you prioritise security over growth, Ireland State Savings is a popular choice. Its products, including Prize Bonds, the National Solidarity Bond, and Savings Certificates, are offered by the National Treasury Management Agency (NTMA) on behalf of the Irish Government and are 100% guaranteed by the State. 

Returns on Prize Bonds, Savings Certificates, and the National Solidarity Bond are tax-free, so you pay none of the 33% DIRT that applies to bank interest. That makes them competitive once you factor in DIRT, even where the rates look lower than some bank accounts. For a full breakdown of each product, read our guide to Ireland State Savings.

Other ways to make your savings work harder

Sometimes the best savings account isn’t a savings account at all. Once you have a healthy emergency fund covering three to six months of expenses, consider these options for any extra cash.

Pay down expensive debt

If you have loans or credit card debt, the interest you’re charged is likely far higher than the interest you’ll earn on savings. For example, paying 20% interest on a credit card balance while earning 2% on savings works against you. Clearing expensive debt gives you an immediate, guaranteed “return”.

Top up your pension

Topping up your pension is one of the most tax-efficient decisions you can make. You receive tax relief on contributions, and the money grows tax-free. With the State pension age and its sustainability under constant review, taking control of your retirement funding is vital.

How to find the right savings account for you

The best savings account is the one that fits how you want to save (monthly or as a lump sum), the amount you want to save, and how quickly you need access to your money. Our comparison tool helps you find it in minutes:

1. Select your saver type: Tell us if you’re a “Regular Saver” (saving monthly) or a “Lump Sum Saver” (investing a one-off amount).
2. Enter your amount: Add how much you plan to save each month or deposit as a lump sum.
3. Refine your search: Tell us if you need instant access. Instant access accounts generally pay lower rates because banks prefer certainty, so if you can lock your money away in a notice or fixed term account, you’ll usually see better returns.
4. Review the results: We list available accounts in order of AER (Annual Equivalent Rate). If safety is your top priority, you can also filter by the bank’s credit rating.
5. Check the details: Open “Account Details” to see minimum terms, maximum deposit limits, and whether the account can be opened as a joint account.
6. Apply: Once you’ve chosen the best product, you can often click through to apply directly with the provider.

For more information, see what to consider when choosing a savings plan.

Savings options at a glance

Conclusion

The era of zero-interest savings is largely over, and that opens up real opportunities for Irish savers. Whether you choose a high-interest account from a digital bank, a tax-free State Savings product, or a regular saver with a traditional bank, the most important step is moving your money to where it works hardest for you. Loyalty to your current bank rarely pays off, so shopping around is where the gains are: compare your options to get the best combination of access, security, and interest, then switch with confidence.

Ready to grow your money? Find a better rate and switch today.