Nubank Launches Tool Guaranteeing Yield Over 100 Percent of CDI

RIO DE JANEIRO, BRAZIL – On Monday, August 10th, Nubank announced that it has begun testing the feature that will allow the fintech’s clients to schedule deposit redemptions.

At this first moment, the tool, called planned redemption, will be available to a few customers and then expanded to the whole base.

The new feature will be available within the “Save Money” function, launched in 2019. There is no minimum amount for deposits and transactions can be made 24 hours a day, seven days a week.

Deposits have a 100 percent CDI (Interbank Deposit Certificate) yield with immediate liquidity and the Credit Guarantee Fund coverage per CPF (Natural Persons Tax Register) of up to R$250,000 (US$50,000).

In this testing stage, the yield can reach 118 percent of CDI in two years, with rates that may vary depending on market conditions. Clients may choose to redeem their funds in different periods to be counted from the deposit date.

“Planned Redemption is a simple, safe, and fully adaptable solution to each client’s reality and financial planning. It is one more example of Nubank’s commitment to simplify people’s lives so that they have total control over their financial lives and realize their plans,” says David Vélez, Nubank’s CEO and founder. “The idea is that the longer your money is saved, the higher the gains,” he says.

The option may be an alternative to fixed income investments in times of low interest rates. Last week, the Central Bank reduced the SELIC rate, which serves as a benchmark for interest rates in the economy, to an all-time low of two percent.

Source: Exame