The new local bank Holm today unveiled its visual branding and design concept and its initial client offers. It will pay interest of 2.5% a year on private deposits, and will start to issue business loans to companies.

Indrek Julge, the CEO of Holm Bank, said that the interest rates Holm was offering on opening were higher than those at any other bank for deposits of every length.

“We are offering the best deposit interest rates in Estonia that will allow people to invest their money safely for anywhere between three months and five years. We have made saving quick and simple and we are giving the same high rate for all term deposits, whatever the term. The interest rate will be 2.5% a year on all term deposits, and this is higher than at any other bank”, he said.

The interest rate of 2.5% a year offered by Holm for term deposits applies for amounts up to 10 million euros. Deposits can easily be set up using the self-service facility.

Mr Julge explained that Holm Bank will also continue to offer hire purchase, credit cards and small loans under the Liisi brand. “Holm’s predecessor Liisi has been lending to individuals for more than 20 years now, and now as a bank we will start to support the development of small businesses. Our business loan is a completely new product and it will help companies overcome problems with working capital or make investments”, he said.

Holm Bank is the first credit institution in Estonia to be issued a licence by the European Central Bank. As it is now a bank, deposits and interest in Holm Bank are covered by the state deposit guarantee for up to 100,000 euros.

Holm is a family-run bank based in Haapsalu and founded on Estonian capital. Its predecessor Koduliising AS has offered hire purchase under the Liisi brand for 23 years and has more than 2000 points of sales at 1100 partners and has had over 350,000 clients over the years.