Locking your money away for up to twelve months can be a great way to achieve a good rate of return on your savings.
If you are willing to tie up your savings for the duration of the term, you can achieve up to 0.45% more compared with the West Brom Building Society WeBSave Plus account which currently sits at the top of the Easy Access (No Bonus) chart.
With the savings market changing on a regular basis, it is wise to check out our best buy tables regularly.
Here are the best one-year bonds:
United Bank UK 1 Year Fixed Term Deposit
Penny says… "United Bank UK heads up the one-year fixed rate market with this highly competitive rate of 2.75% on maturity. Savers must be able to place a minimum investment of £2,000 and leave the funds untouched for the twelve month term.
"This account can be opened and operated either in branch or by post by savers aged 18 and over."
State Bank of India Hi Return Fixed Deposit
Penny says… "This competitive one-year bond from State Bank of India just pips the Close Brothers Savings Select Gold Fixed Account to second place in the best buy table on account of its lower deposit requirement."
"As with the United Bank UK bond, this deal can be opened or operated by savers aged 18 and over in branch or by post."
Close Brothers Savings Select Gold Fixed Account
Penny says… "Designed for savers with at least £10,000 to invest, the Select Gold Fixed Account sits comfortably amongst the other market-leaders in the one-year market.
"Despite being knocked into third place by the State Bank of India High Return Fixed Deposit this bond offers a high rate of return and, unlike the aforementioned deal, does not require savers to open or hold an existing savings or current account."
National Counties Building Society 43rd Issue Savings Bond
Penny says… "Offering a competitive annual rate with a slightly lower minimum investment of £1,000, this deal is available to savers of all ages.
"This account can be opened in branch, by post or online, although it can also be operated by telephone once up and running."
Bank of Cyprus UK Bank of Cyprus UK Bond
Penny says… "This bond from Bank of Cyprus UK pays a competitive rate of 2.55% on maturity and sits just within the top six deals of the one-year bond market.
"Available to savers of all ages, this account can be opened and operated in branch, by post, telephone or online."
Saffron Building Society One Year Fixed Rate Bond
Penny say... "This one-year bond pays a competitive rate of 2.50% on maturity to savers of all ages with minimum investments of £500. Parents to savers aged under seven must act as signatories.
"Although this bond pays a slightly lower rate compared with the other deals featured in this article, it requires the lowest minimum deposit at £500. Savers can open and operate this account in branch or by post."
Information & Rates correct as at: 28/11/2012
Compare one year fixed rate bonds Search all savings accounts More money tips
Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.