Helmut Siekmann warns about legal risks of negative interest rates ("ARD-Plusminus")

In view of the low-interest environment and the penalty interest for banks parking liquidity at the ECB more and more municipalities are confronted with a situation that they earn money with interest rates instead of paying them. In the TV program "Plusminus" Helmut Siekmann warns about the legal risks associated with this procedure.

More and more city treasures in German communities like Essen or Bergisch Gladbach are taking advantage of this offer. For Helmut Siekmann this is risky development. "Due to the numerous unresolved legal issues I would advise against such transactions. However, with a differantiated assessment. The risk is more with the banks than with the municipalities", he said.

ARD-Plusminus: "Verrückte Zinswelt - Kredit aufnehmen und Kasse machen" (inkl. Video)