CTS accounts: interest rates remain at a maximum of 6.9%

On these dates, companies have the legal obligation to deposit their workers on their payroll their second Compensation for Time of Services (CTS) of the year, which must be effective until November 15 at the latest.

This benefit is paid into a special account in the financial institution chosen by the worker, either for greater profitability or confidence. These can be banks, finance companies, municipal banks, rural banks or cooperatives.

Interest rates on CTS accounts in the financial system have not changed in the last six months. And it is that they maintain the margin of between 0.25% to 6.9% that they registered last May, according to information from the Superintendency of Banking, Insurance and AFP (SBS) at the end of November 8.

In detail, it is the financial companies that pay the most for the CTS account. These are Proempresa with a rate of 6.9%, Credinka with 6.25% and Cover with 6%.

For its part, among the rural savings banks, are Root and Prymera those that grant the highest yields with a rate of 6% per year. Regarding municipal savings banks, Sullana is the one that pays the most to its savers for these deposits, placing its rate at 5.65%, followed by Caja Metropolitana de Lima (5.5%), Caja del Santa (5.3 %), Caja Piura (5%) and Caja Cusco (5%).

To counterpart, it is the largest banks that offer the least profitability to their customers who keep their CTS deposits in their accounts. BBVA being the entity with the lowest rate in the market by offering 0.25%, while Interbank and BCP pay 1%, and Scotiabank 1.25%.

The factors to consider

For finance specialist Jorge Carrillo Acosta, the choice of the most appropriate financial institution to maintain the CTS savings will depend on three factors to consider.

First, analyze the support of the entity, since the stronger the institution, the more secure your money will be. However, he emphasized taking into account that for all banks, finance companies, municipal savings banks and rural savings banks there is a so-called Deposit Insurance Fund, which is responsible for savings of up to S / 112,853 (period September-November 2021), in the case of the bankrupt financial institution. “It is worth mentioning that cooperatives do not have this guarantee, so they imply a greater risk ”, pointed out the teacher from Pacífico Business School.

A second factor to consider is the interest rate. “We must choose the entity that pays the highest interest, which is measured by the Annual Effective Rate of Return (THIRD). Rural savings banks, for example, tend to pay a higher rate than banks, so it would be a more profitable option ”, emphasized.

And finally, he recommended taking into account the additional benefits to the rate, since some offer discounts, promotions, better rates for deposits and loans, for keeping the salary and the CTS in the same entity.

Exceptional 100% withdrawal is until December 31

Workers can have 100% of their CTS until December 31 of this year. This due to the Law 31171, in force since May of this year. After that date, the restriction of withdrawing a maximum of four gross salaries, or in the event of resignation, dismissal or retirement, will be applied.

For Jorge Carrillo Acosta, if a person decides to withdraw this money, it is necessary to opt for the most convenient savings and investment alternative, according to the level of risk they are willing to assume. There are options such as savings in financial institutions, term deposits in cooperatives, investment in the stock market or in a property, in insurance with return, a private fund, fintech, and even your own business.