Back in March and May of this year I blogged about Germans looking to safe deposit boxes to preserve their wealth in a negative interest rate environment. Tuesday night I came across a related article by The Sovereign Society’s editorial director JL Yastine on the Sovereign Investor Daily website. Discussing the subject of negative rates, Yastine wrote:
Negative rates aren’t just spurring European banks to consider a cash-heavy, vault-stuffing strategy. Regular folks are doing it too.
At some banks in Germany, demand for safe-deposit box rentals is three times what it was just a handful of years ago. At others, 80% of all the deposit boxes are already leased out. In smaller branches, it’s tough to find a deposit box at all.
The CEO of EGF, a German company that manufactures safe-deposit boxes, told one publication that they’re selling 20,000 boxes a year to banks, “and demand is still rising.”
(Editor’s note: Bold added for emphasis)
As I’ve noted before, Germany is also home to a number of safe deposit box facilities outside the banking system.
A good read, which you view in its entirety on The Sovereign Investor Daily website here.
By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)