DEGIRO pays 0% interest on cash: Why? Other alternatives!

Unlike many other brokers, DEGIRO does not pay interest on uninvested cash. Whether you hold EUR, GBP, or another currency, funds sitting in your account earn nothing.

Below we explain why, using DEGIRO’s own financial statements, and cover the alternatives that do pay.

Why doesn’t DEGIRO pay interest on cash?

DEGIRO has not addressed this publicly, but its parent company’s financial statements make the position clear: it retains the interest earned on client cash rather than passing any of it on.

Here is the mechanism. The European Central Bank sets a deposit facility rate, which banks earn on money deposited with it. DEGIRO holds client cash with banks that in turn deposit with the ECB, earning that rate. By paying clients 0%, DEGIRO keeps the entire spread. In flatexDEGIRO’s accounts this appears as interest income.

The scale is substantial. In Q2 2026, interest income reached €52.7 million, up 23.3% year-on-year, representing roughly 32% of total revenues of €166.5 million. Across the first half of 2026, interest income totalled €102.1 million, up 18.5% on the same period a year earlier.

That income comes from client cash held in accounts: Cash under Custody reached €6.5 billion at the end of June 2026, up 28.3% year-on-year.

Will DEGIRO start paying interest on cash?

There is no indication it will, and the latest results point the other way.

The Q2 2026 figures show interest income rising 23.3% year-on-year to €52.7 million, with net interest income of €50.5 million – and this despite a lower interest rate environment than a year earlier. The company attributes the growth to higher average customer cash balances and increased margin loan utilisation.

In other words, flatexDEGIRO is earning more from client cash precisely because it holds more of it while paying nothing on it. With €6.5 billion in Cash under Custody and interest representing close to a third of group revenues, the commercial incentive to retain that spread rather than share it remains firmly intact.

The company has also raised its full-year guidance, expecting revenues of around €650 million for 2026 – roughly 16% above 2025 – with growth attributed to commission income, interest income, and trading activity together.

The rate backdrop matters here too. If DEGIRO did not share interest when ECB rates were at their peak, there is little reason to expect a change now that client cash has become an even more significant earnings driver.

Alternatives that pay interest on cash

If you want a broker that pays interest on uninvested balances, see our comparison of the best brokers and digital banks for EUR cash. In summary:

Bottom line

DEGIRO remains a competitive option for investing in stocks, ETFs, bonds, and other instruments at low cost. On uninvested cash, though, there are clearly better alternatives.

The scale of what you forgo depends on your balance. On €10,000 held in cash, the difference between 0% and 3% is €300 a year – which for many investors exceeds what they pay DEGIRO in trading commissions annually.

Two practical responses:

• Keep minimal cash at DEGIRO, transferring in only what you intend to invest;
• Hold your cash buffer elsewhere, at a broker or bank that pays interest, and move it across when you want to buy.

DEGIRO operates as the Dutch branch of flatexDEGIRO Bank AG, a German credit institution supervised by BaFin and the Deutsche Bundesbank, with conduct oversight from the Dutch AFM. Note that cash held in a DEGIRO Cash Account is guaranteed up to €100,000 under the German Deposit Guarantee Scheme – so the issue is the absence of interest rather than the safety of the money.

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