Term Deposits vs Savings Accounts in Poland — Which to Choose?

Term deposits vs savings accounts — which to choose?

If you have spare cash in Poland, your two main options are term deposits (lokaty) and savings accounts (konta oszczednosciowe). Both are safe, insured by the Bank Guarantee Fund (BFG), and earn interest — but they work very differently.

The right choice depends on when you might need the money, how much you have, and how actively you want to manage your finances.

Key differences

Term deposits (lokaty)

A term deposit is a contract with your bank: you deposit a fixed amount for a set period (e.g., 3, 6, or 12 months) and receive a guaranteed interest rate. The catch — you can't withdraw early without losing your interest.

Characteristics:

• Fixed interest rate for the entire period
• No access to funds without breaking the deposit
• Typically higher rates than standard savings accounts
• Set terms — 1, 3, 6, 12, or 24 months

Savings accounts (konta oszczednosciowe)

A savings account is an interest-bearing bank account where your money is available essentially at all times. The interest rate is variable — the bank can change it at any moment.

Characteristics:

• Variable interest rate (can go up or down)
• Access to funds at any time
• Often attractive promotional rates for new customers
• Standard rates usually lower than term deposits

Comparison table (March 2026)

When term deposits win

Term deposits are the better choice when:

1. You know you won't need the money for a set period. If you can lock away funds for 6 or 12 months, a deposit gives you higher, guaranteed returns.

2. You expect interest rate cuts. If the NBP (National Bank of Poland) lowers rates, savings account rates will drop, but your existing deposit keeps its fixed rate.

3. You want simplicity. Open the deposit, forget about it for a year, collect your interest. Zero management required.

Example: 100,000 PLN in a 12-month deposit at 5.5%:

• Gross interest: 5,500 PLN
• Belka tax (19%): 1,045 PLN
• Net earnings: 4,455 PLN

When savings accounts win

Savings accounts are better when:

1. You might need the money at any time. Emergency funds, upcoming expenses, or simply a cash buffer — a savings account gives you instant access.

2. You want to take advantage of promotions. Promotional rates on savings accounts (7-8%) are often higher than deposit rates, though they're short-lived.

3. You deposit regularly. You can add money to a savings account at any time and start earning interest immediately. With a deposit, you make one lump-sum payment.

Example: 50,000 PLN at mBank savings account (3 months promo at 7.5% + 9 months standard at 3.5%):

• Net promo earnings: ~759 PLN
• Net standard earnings: ~1,063 PLN
• Net earnings for the year: ~1,822 PLN

The combined strategy

The best answer to "deposit or savings account?" is often: both.

Here's a practical approach:

1. Emergency fund (3-6 months of expenses) — savings account with the best standard rate. You need quick access.

2. Medium-term funds (6-12 months) — term deposit. You know you won't touch them, so lock in a higher rate.

3. Short-term surplus — savings account with a promotional rate. Use the 7-8% promo for 3 months, then move funds to a deposit or the next promo.

Impact of NBP interest rates

Both products are influenced by the NBP reference rate, which stands at 5.75% as of March 2026. If the NBP starts cutting rates:

• Term deposits: Existing ones keep their fixed rate; new ones will offer less
• Savings accounts: Rates will decrease alongside rate cuts

This means that when rate cuts are expected, it's smart to lock some funds into longer-term deposits before the rates drop.

Tracking it all in one place

Whether you go with deposits, savings accounts, or both — keeping track of everything across multiple banks can be a headache. Freenance connects all your bank accounts and shows your complete financial picture, including your Financial Freedom Runway (how long you could live without income). It's a practical way to monitor savings scattered across different banks without logging into each one separately.

FAQ

Can I break a term deposit early?

Yes, but you'll lose some or all of your interest. Most banks allow early termination, but the rate for broken deposits is typically 0-1%. Only put money into a deposit that you're certain you won't need.

Can savings account rates drop to zero?

Theoretically yes, though it's unlikely with current interest rates. Variable rate means the bank can change it anytime, but in practice, changes follow NBP rate decisions.

How many savings accounts and deposits can I have?

There's no limit. You can have multiple accounts and deposits across different banks. Just remember that BFG protection covers up to 100,000 EUR per person per bank.

Is interest taxed the same way for both?

Yes. Both term deposit and savings account interest are subject to the 19% Belka tax (capital gains tax). Banks withhold it automatically — the amount you receive is already net of tax.