Product focus: One year fixed rate savings bonds
Many savers prefer to invest their money in a fixed rate account as these offer a guaranteed return. It has been evident over the past couple of months that the rates on three, four and five year fixed rate bonds have been falling, whilst one year bond rates have remained fairly static.This may be an indication that banks are starting to focus more on one year fixed bonds, which means that this could be an area where better rates can be found. Here is a selection of some of the best 1 year fixed rate saving rates available at present:
Post Office – Online Bond Issue 2
A rate of 3.00% will be paid on this bond on maturity. A Monthly interest rate is also available at 2.96%. Savers can invest between £500 and £2m. Early access is only available on closure of the account and will be subject to a loss of 90 days interest. Further additions to this bond will not be permitted. This account is available to savers 18 years and over and can be operated online only.
M&S Money - 1 Year Fixed Rate Savings Issue 11
This bond pays a rate of 3.00%. Savers can invest between £500 and £1m. Early access is only available on closure of the account and is subject to a £50 penalty. Further additions to this bond will not be permitted. This account is available to savers aged 16 years and over and can be operated by post or telephone.
Britannia – 1 Year Fixed Rate Bond Issue 197
On maturity this bond pays a rate of 3.00%, while a monthly rate is also available at 2.96%. Investments can range between £1000 and £1m. No early access or additions are permitted. This account is available to all ages and can be operated in branch or by post.
Find the best 1 year savings rates for you - Compare savings accounts
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 Any products featured may be withdrawn by their provider or changed at any time.
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