Owning Fiat Just Got More Expensive – NIRP Strikes Again

With the recent Union Bank of Switzerland (UBS) announcement that even more customers will be charged to hold money in their banks, people are scrambling to find ways to preserve their wealth, while USB and others scramble to dam the losses resulting from national negative interest rate policy (NIRP). The relatively recent experiments with NIRP worldwide, combined with ongoing trade wars, have many concerned, and some running to hedge their bets with crypto.

Also Read: Currency War Erupts as US and China Bring Out the Big Guns

Pay to Play at UBS

Even more customers will now be charged to park their money at UBS, the bank announcing August 6 that negative interest rates will be extended to deposits of over 500,000 euros (about $560,000), where the previous trigger point was set at 1 million euros. Fighting the national interest rate of -0.75%, Swiss banks are competing to keep customers while also struggling to tread water themselves, being dinged by central…