Moneyfacts Weekly Product News – 10.12.20

The Moneyfacts.co.uk Pick of the Week showcases the best of the latest products or rate changes to hit the consumer finance market.

United Trust Bank – UTB 15 Month Bond

This week, United Trust Bank has increased the rate on its 15-month bond by 0.10%. Now paying 0.85%, this deal sits towards the top of the market in its sector and may well entice savers looking for a competitive rate over the short-term who have £5,000 to invest as a lump sum. As is common with fixed bonds, the deal does not permit early access to funds, so careful planning is a must. On balance, this bond receives an Excellent Moneyfacts product rating.

Key product details:

• Rate: 0.85% gross / 0.85% AER, payable on anniversary
• Notice / term: 15 months
• Minimum opening amount: £5,000
• Maximum investment amount: £1,000,000
• Access: Not permitted
• Further additions: Not permitted
• Opening account: Online
• Managing account: Online, by phone and by post
• Other information: Minimum applicant age 18, joint account option available.

Tandem Bank – Tandem 1 Year Fixed Saver

Tandem Bank has improved the rates offered on its Tandem Fixed Saver accounts this week, with its one-year deal improving by 0.15%. Now paying 0.75%, the deal sits within the top 10 compared to its peers within this sector and may appeal to savers who have £1,000 to invest and are able to do so within 14 days of opening an account. Early access and further additions are not permitted, as is common with fixed bonds, so careful planning is advised. This account earns an Excellent Moneyfacts product rating.

Key product details:

• Rate: 0.75% gross / 0.75% AER, payable on anniversary
• Notice / term: One year
• Minimum opening amount: £1,000
• Maximum investment amount: £2,500,000
• Access: Not permitted
• Further additions: Not permitted
• Opening account: Online
• Managing account: By phone and by post
• Other information: Minimum applicant age 18, 14 days from account opening to make initial deposit.

TSB – Five-year fixed rate mortgage, 90% loan-to-value

This week, TSB has reduced the rate on its five-year fixed mortgage by a substantial 0.35%, improving its overall appeal. Now priced at 3.44%, the deal is available to house purchase customers who have a 10% deposit or equity. Borrowers looking for a cost-saving package may also be pleased to see that it comes with free valuation and a £500 cashback incentive, however the deal does charge a fee of £995 that is payable upfront. Overall, this deal earns an Outstanding Moneyfacts product rating.

Key product details:

• Rate: 3.44% fixed rate to 28.02.26
• Product fee: £995
• Maximum loan-to-value: 90%
• Available to: House purchase customers
• Incentives: Free valuation and £500 cashback
• Flexible features: Allows overpayments, payment holidays are considered after one year
• Lending area: Great Britain.