Income Bonds

Income Bonds guarantee a fixed income over a fixed term in return for a single premium. The original investment is repayable in full at the end of the term and there is no stock market link. The minimum investment is £5,000, and the maximum in £1,000,000. Income bonds can provide you with:

• A safe way to save
• A regular monthly income
• Easy access to your money

Although you should leave the original investment untouched for the full term period – usually between 1 and 5 years - because there will be charges involved for cashing it in early, you can often choose whether you received the interest on bind maturity, annually or monthly. Many people choose to receive monthly interest in order which acts as a very useful extra monthly income.

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