BANK ACCOUNTS
Leeds Building Society launch new fixed rate bond
Leeds Building Society is to launch a one year fixed rated bond, the building society has announced.
The new bond offers a guaranteed return of 3.35% AER, and can be opened through any of the building society’s branches, online or via post.
The bond also includes unlimited access to 25% of the fund at any time, without notice or a penalty.
“Our 1 year fixed rate bond offers an excellent guaranteed return, combined with the flexibility of unlimited access to 25% of the funds. Furthermore, it can be opened with only £100,” said Kim Rebecchi, Leeds Building Society's Sales and Marketing Director.
"Other fixed rate bonds currently available on the market require customers to lock away all, or the large majority of, their funds. We believe our new bond provides the best of both worlds and expect this combination of a high fixed rate and access to prove popular.”
The maximum investment into the bond is £5,000, or £10,000 for joint accounts. Interest on the bond is paid on 31 October 2012 and again on maturity, on 31 January 2013.
Interest can be credited to the account or transferred either to another building society or bank account, or to another account held with Leeds building Society.
There are a range of high-yield bonds currently available on the market, to give people’s bank accounts a boost in time for Christmas next year.
The high street bank’s new Fixed Rate Postal ISA offers a rate of up to 3.50% AER, fixed for two years.
To benefit from the maximum AER, customers must deposit at least £14,000 into the two year ISA. Those who deposit less will earn a rate of 3.25% AER, with a minimum deposit of £500.
Customers can deposit their current tax year cash ISA allowance as well as transfer in previous years' cash ISA savings.
A one year fixed term ISA is also available from Santander, offering up to 3.00% AER to customers who deposit upwards of £14,000. Those who deposit less will earn a rate of 2.75% AER.
Tags: BANK ACCOUNTS, Fixed Rate Postal ISA, fixed rate savings bond, ISA, savings accounts, tax year cash ISA allowance