Derin Clark

Derin Clark

Online Reporter
Published: 30/08/2019

This week, Bank of London and The Middle East (BLME) reduced rates on a number of its long-term fixed rate accounts – saying this, even with its rate reductions, BLME still offers the top rates for the majority of the fixed rate bond terms. Despite the drop in rates, the fixed rate bond charts still offer the best savings rates overall and remain a good choice for savers able to lock their money into an account for a set term.

The best fixed rate bonds savings rates

Provider Account Term Rate AER
PCF Bank 7 Year Term Deposit Issue 10 Seven year bond 2.75%
Bank of London and The Middle East Premier Deposit Account Five year bond 2.50% (expected profit rate)
Bank of London and The Middle East Premier Deposit Account Three year bond 2.45% (expected profit rate)
Bank of London and The Middle East Premier Deposit Account Two year bond 2.35% (expected profit rate)
Bank of London and The Middle East Premier Deposit Account One year bond 2.10% (expected profit rate)

New to the top of the overall fixed rate bond chart this week is PCF Bank, offering a rate of 2.75% on anniversary on its 7 Year Term Deposit Issue 10. This seven year bond requires a minimum opening deposit of £1,000 and once opened allows further additions for 14 days, however withdrawals are not permitted. This account can be opened online and by post and then managed by phone as well.

As mentioned above, Bank of London and The Middle East (BLME) reduced some of its rates this week, including on the seven, five, four and terms on its Premier Deposit Account. Despite these rate reductions, BLME still topped the chart on all terms apart from seven years. The five-year term pays an expected profit rate of 2.50%, the three year bond offers an expected profit rate of 2.45%, the two-year version offers an expected profit rate of 2.35% and the one year bond offers an expected profit rate of 2.10%. All terms require an opening minimum deposit of £1,000 and pay interest on anniversary. These accounts do not allow further additions or withdrawals. They can only be opened online then managed by post.

The best easy access savings rates

Provider Account Term Rate AER
Marcus by Goldman Sachs® Online Savings Account None 1.50% (including a 0.15% bonus)
Shawbrook Bank Easy Access – Issue 15 None 1.48%
Chorley Building Society Postal and Branch Accessible Saver Account None 1.45%

On Friday, Virgin Money reduced the rate on its Double Take E-Saver Issue 10 and Man Utd Double Take E-Saver Issue 5, which has left Marcus by Goldman Sachs® as the only provider offering the top rate of 1.50%. Marcus by Goldman Sachs® offers this rate, which includes a 0.15% bonus for 12 months, on its Online Savings Account, which pays interest monthly and doesn’t require a deposit to open. Once opened, savers can make unlimited further additions and withdrawals. The account can only be opened online but can then managed by phone as well.

Shawbrook Bank once again offered the second-best rate this week, with its Easy Access – Issue 15 paying 1.48% on anniversary. This account requires an opening deposit of at least £1,000 and allows unlimited further additions and withdrawals. It must be opened online but can then be managed by phone as well. In addition to this, there is a version of this account that pays interest monthly at a slightly lower rate.

The third-best rate in the easy access chart this week was offered by Chorley Building Society, which pays 1.45% on its Postal and Branch Accessible Saver Account. This account is a good option for those who want an account that can be both opened and managed in branch and by post. It requires a minimum deposit of £500 to open and allows unlimited further additions. Savers should be aware that while withdrawals are allowed, a lower rate (0.60%) is paid if more than one withdrawal per account year is made.

The best notice account rates

Provider Account Notice Rate AER
PCF Bank 180 Day Notice Deposit Issue 1 180 days 1.85%
OakNorth 90 Day Notice Deposit 90 days 1.77%
Shawbrook Bank 45 Day Notice Personal Account Issue 2 45 days 1.51%
Secure Trust Bank 14 Day Notice Account 14 days 1.45%

Savers looking to open a notice account could get the best overall rate from PCF Bank this week, which pays 1.85% on its 180 Day Notice Deposit Issue 1. This account, which pays interest on anniversary, requires a deposit of at least £1,000 to open. Further additions are allowed, while withdrawals are permitted subject to 180 days’ notice. The account can be opened online or by post and then managed by both of these channels, as well as by phone.

Topping the up to 90 days’ notice chart this week was OakNorth, paying 1.77% on its 90 Day Notice Deposit. This account pays interest monthly and requires a deposit of £1 to open. Once opened, this online-only account allows unlimited further additions, and withdrawals are also permitted subject to 90 days’ notice.

Once again, Shawbrook Bank topped the up to 60 days’ notice chart this week with its 45 Day Notice Personal Account Issue 2, which pays 1.51% on anniversary. Savers need a minimum deposit of £1,000 to open this account, which also allows unlimited further additions. Withdrawals are allowed, subject to 45 days’ notice. The account can only be opened online, but then managed online and by phone. As well as this, there is a version of this account that pays interest monthly at a slightly reduced rate of 1.50% (1.51% AER).

The up to 30 days’ notice chart continued to be topped by Secure Trust Bank, with its 14 Day Notice Account paying 1.44% quarterly (1.45% AER). An opening deposit of at least £1,000 is required for this account, which allows unlimited further additions. Withdrawals are restricted to four interest withdrawals per annum without penalty and three capital withdrawals per annum on 14 days’ notice. This account can only be opened online and then managed by phone as well.

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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