At Fair Investment we know that charities can have a difficult time getting a good interest rate on savings, which is why we work with financial service providers to help bring you better rates. To help you choose, we’ve listed some of the best charity savings options currently available.*
Latest easy access account deals
If you’re looking for easy access to your charity’s funds, an easy access account might be worth considering. The Scottish Widows Charity Deposit Account offers a 7-day notice period and requires a minimum deposit of £500, with an interest rate of up to 0.75% gross AER.
Latest notice account deals
You may be able to get a slightly higher interest rate if you’re prepared to accept a longer notice period. Manchester Building Society’s Business Tracker Account offers up to 12 withdrawals per year subject to 45 days notice, and guarantees an interest rate that’s 1.10% above the Bank of England Base rate.
Latest fixed rate bond deals
For those looking to save for a longer period of time, there are terms available ranging for nine months to three years. The shortest term is available via the 9 Month Bond for Charities from Principality, which offers 1.05% gross AER (fixed). For those looking to tie up funds for longer, Cater Allen offers charities a choice of a 1, 2 or 3 year Fixed Term Deposit Plan, with rates of 1.65%, 1.80% and 2% gross AER. Deposits start from £50,000.
Latest fixed rate bond alternatives
If you’ve considered fixed rates in the past for your charity savings, you may be interested in structured deposit plans, which provide an alternative to traditional fixed rate bonds. These accounts offer the potential for market-linked returns while protecting your capital. The Investec Deposit Growth Plan offers returns of 130% x any FTSE 100 growth - with no upper limit - over a five year term. You can opt for a six year term with the Legal and General Annual Bonus Deposit Bond, which offers 4% per year if the FTSE on the calculation date is at least as high as its starting value. The plan can be opened with deposits from £500.
No news, feature or comment should be seen as a personal recommendation to invest. If you are in any doubt as to the suitability of a particular investment you should seek independent financial advice.
* Data accurate as of 07/05/2013.
© Fair Investment Company Ltd