It will be difficult to force banks to raise deposit rates, according to one financial adviser.
Domestic lenders have been coming under political pressure to improve the rate of return that they offer savers in the current rising interest rate environment.
The pressure intensified after the banks reported bumper profits for the half year in recent weeks.
Although they have not passed the full extent of rate rises on to non-tracker mortgage products, they have passed on only a very small portion of the rate increase on to savers.
The Minister for Finance said he expected an 'imminent' move from the banks on deposit interest rates.
Vincent Digby, Managing Director of Impartial Financial Advisers said it would be difficult to force banks into such a manoeuvre.
He pointed out that the banks simply didn't have to entice people to put money on deposit with them.
"There's a lack of competition in banking in Ireland. Irish banks have a surplus of deposits so they're not competing for deposits," he pointed out.
"Banks internationally compete much more aggressively for deposits. Irish banks are in a very privileged position, which I think they are taking advantage of," he added.
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He said the onus was on depositors to get the best rate of return on their savings.
He encouraged businesses and charities in particular that may have large lump sums on deposit to look at money market funds which yield much higher returns.
"You invest in a fund and the fund manager invests in deposits in banks, but those banks pay much more competitive rates," Mr Digby explained.
"They're rated triple A by all the rating agencies. You can get your money bank whenever you want and in terms of return, you can get up to 3%," he added.
The funds have associated management charges but they still offer a better rate of return, he explained.
Mr Digby also pointed out that regular savers in banks here were leaving money on the table by not switching their money from demand accounts, which still yield very scant interest, to higher yielding term and regular saver accounts, where the banks are offering the better rates of return.
