Coop Pank, which is actively expanding in Estonia, has started offering deposits on the German and Austrian markets in cooperation with the financial brokerage platform Raisin.
Depending on the term of maturity and the deposit amount, Coop Pank offers a yield of 0.9-1.15% per annum to Austrian and German depositors. A deposit in the amount from 10,000 to 100,000 euros at a time can be placed in Coop Pank, and the maximum deposit period is three years.
Hans Pajoma, member of the board of Coop Pank, explained that the bank would use the deposits received from international markets through Raisin for banking expansion in Estonia.
“Depositors’ initial interest in our bank has been considerable because we can offer a better yield compared to major European banks. Our customers’ early feedback shows that there is clear readiness for depositing in Coop Pank because Estonia is internationally known as a country with a positive image whose economy is doing well, and the state credit rating is high. At the same time, we will continue to actively engage deposits in Estonia, where we are currently offering a yield up to 2 per cent depending on the deposit period, which is one of the highest among universal banks,” Pajoma noted.
Having been transferred to new local owners at the beginning of the year, Coop Pank has set business expansion as its main goal. Within the first 9 months of this year, the bank’s loan portfolio increased by 40% and reached 215 million euros as of the end of September. During the same period, the deposits portfolio grew by 22%, reaching a total of 309 million euros. Coop Pank’s 9-month net profit was 4.4 million euros.
Raisin is a finance technology company established in Germany in 2013, which provides depositors with tools for comparing deposit conditions across the European banks that have joined the platform and finding the one they consider suitable. By August this year, Raisin had brokered deposits in the amount over 4 million euros. Operating in more than 30 countries, Raisin collaborates with a total of 38 banks in Europe and boasts over 90,000 customers.
Coop Pank is a universal bank based on Estonian capital, whose majority shareholder is Estonia’s only cooperative retail business group, Coop Eesti. Coop Pank aims to put the synergy generated by the interaction of retail business and banking to good use and to bring everyday banking services closer to people’s homes. Its subsidiaries counted in, Coop Pank provides approximately 200 jobs in its headquarters and in fourteen branch offices all over Estonia. Consolidating 19 associations, Coop Eesti has around 350 stores, 80,000 cooperative shareholders and 600,000 loyal customers.
Coop Pank’s deposit offers can be viewed on the Raisin web pages for Germany and Austria.