United Bank UK has reduced the rates paid on selected savings accounts by up to 0.40%. However, its five and seven-year fixed bonds and its five-year fixed ISA have refused to give up their chart places and therefore remain among the top 10 accounts of their respective sectors.
5 Year Fixed Term Deposit now pays an attractive yearly rate of 2.40% (2.37% monthly, 2.52% on maturity), while its seven-year counterpart pays 2.60% yearly (2.57% monthly, 2.81% on maturity), enabling both to remain in the charts.
Meanwhile, 5 Year Fixed Rate Cash ISA now pays a 2.20% yearly (2.18% monthly, 2.18% quarterly, 2.30% on maturity), still the market-leading rate for its terms.
The finer details…
All of these accounts can be opened and operated in branch and by post with a minimum investment of £2,000.
The fixed bonds do not allow further additions but it is possible to access funds early, subject to the manager's discretion and the loss of 365 days' interest for the five-year deal and 730 days' interest for the seven-year version. Savers should note that access is via a nominated account.
The ISA also does not allow further additions, but transfers in of existing cash ISAs are accepted. It is also possible to access funds prior to maturity on the loss of 365 days' interest. Transfers away from this ISA will incur the same penalty.
Why we like them…
These accounts may have undergone a rate reduction, but they still have much to offer savers. The five-year ISA has proven to be particularly competitive as it remains the market-leader for its sector, something that it bound to grab the attention of those seeking a decent return. Another bonus of these accounts is that they all offer multiple interest options, which will suit those who want to have a bit more control over this element.
Moneyfacts rating: Excellent
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 Any products featured may be withdrawn by their provider or changed at any time.
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