OP-Group to Maintain High Bonus Payments for Customers

Introduction

OP-Group has announced in a press release to its customers that it will continue to pay higher bonuses next year compared to the usual levels. This decision comes as a part of the financial group’s commitment to providing additional benefits to its owner-customers.

Bonuses Increase for 2025

The press release states that OP-Group customers will receive bonuses that are 40% higher than usual in 2025. This increase has also been in effect this year, indicating that bonus levels will remain the same next year. The reference point for the normal level is the bonus level for the year 2022.

Continued Benefits for Owner-Customers

OP-Group has previously announced that its owner-customers will continue to receive daily banking services without monthly fees next year. This commitment underscores the group’s dedication to providing valuable benefits to its customers.

Government’s Decision on Bonuses

During the autumn budget negotiations, the government decided that starting from 2026, bonuses earned from banking services but used for insurance payments will be subject to capital gains tax. However, bonuses will remain tax-free if used within the same service they were accrued from.

CEO’s Assurance on Customer Benefits

OP-Group’s CEO, Timo Ritakallio, has assured that the benefits for the group’s owner-customers will remain at least as good as before. He mentioned in an interview with HS in September that one way to fulfill this promise could be by allocating a larger portion of the group’s profits towards bonus payments.

“One option is to simply pay more bonuses, in which case the impact is the same. We would then deduct taxes on top of that on behalf of the customer,” Ritakallio explained.

Controversy Surrounding Bonus System

OP-Group’s bonus system has been a point of contention, especially among its publicly listed competitors. The government’s proposal is based on an initiative by the Competition and Consumer Authority (KKV) to address what they see as a distortion of competition caused by the current tax treatment of bonuses, which has blurred the lines in the insurance sector.

The bonus system has been criticized for effectively tying many of OP’s mortgage customers to also become customers of Pohjola, the insurance services within the OP-Group.

Conclusion

OP-Group’s decision to maintain high bonus payments for customers reflects its commitment to providing valuable benefits to its owner-customers. As the financial landscape evolves, the group continues to adapt to regulatory changes while striving to enhance customer satisfaction.

FAQs

  • What is the bonus increase for OP-Group customers in 2025?
  • Will bonuses be subject to taxation for insurance payments from 2026?
  • How does OP-Group plan to uphold its commitment to customer benefits in the future?
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