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Product focus: Short term bonds

Product focus: Short term bonds

Category: Savings

Updated: 03/03/2010
First Published: 03/03/2010

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Short term bonds tend to pay a slightly lower rate of return compared with four or five year deals.

Despite this, savers looking for a guaranteed return on their investments have plenty of deals to choose from at the moment.

Here are the current top short term fixed rate bonds.

Post Office – Growth Bond Issue 11



This account pays a rate of 3.30% on maturity. Savers can invest between £500 and £1 million but no further additions are allowed. Early access is allowed on account closure only, subject to a breakage charge which is calculated and advised to savers when they request the withdrawal of funds. The account can be operated in branch, by post, telephone or online by savers aged 16 and over. The account can be opened with cash in branch for initial deposits of £1,000 or less.

Bank of Cyprus UK – Bank of Cyprus UK Bond 82



This fifteen month bond pays a rate of 3.26% on maturity. Savers can invest between £1 and £10 million and further additions are not allowed. Early access is also not permitted. The account is available to savers of all ages and can be operated in branch, by post, telephone or online.

Julian Hodge Bank – Capital Millennium Bond



The Capital Millennium Bond pays a rate of 3.25% on maturity. Investments range between £1,000 and £1 million and further additions are not allowed. Early access is also not permitted. The account can be operated by savers of all ages by post only.

Compare fixed rate bonds or compare best sellers 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 Any products featured may be withdrawn by their provider or changed at any time.

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