Barclays fixed rate bonds offer:
- A fixed interest rate for the term of the bond
- A choice of fixed terms to suit your needs
- No withdrawals or additional deposits for the duration
- Monthly or annual interest options
- Minimum deposit of £500
- Maximum deposit of £1 million
- You cannot make any additional deposits
Barclays fixed rate bonds are available to existing customers only; see the table for other leading fixed rate bond deals.
As most bonds require you to lock away your savings for a set period of time, it is a good idea to shop around comparing plans before you commit to one. You may also want to consider alternative savings options to fixed rate bonds.
Alternatives to fixed rate bonds include:
- Tracker Bonds – Tracker bonds are similar to fixed rate bonds but, instead of the rate of interest you receive staying consistent over the bond’s term, it will vary in reaction to any changes made to the Bank of England’s Base Rate which it is link to. This means you could potentially end up with a better or worse rate of interest on your bond depending on any changes made to the Base Rate.
- Structured Deposit – Structured deposits also require you to lock your savings into an investment for a set period of time, but they are not bonds. Structured deposits tend to offer higher potential returns on your investment but you are not guaranteed to get the interest return. Structured Deposits are linked to an index or indices such as the FTSE 100. Your plan will state how the index it is tied to needs to perform in order for you to receive an interest payment. This means you risk making no interest on your investment. because of this you should carefully consider beforehand if you feel it is a risk worth taking.
- Instant access savings account – If you want to earn interest on your savings and still maintain easy access to your funds, in case you should ever need them, then an instant access savings account might suit you. although instant access savings accounts tend to offer lower rates of interest than bonds or structured deposits they do normally permit unlimited free withdrawals, so you do not need to worry if you ever need to quickly make a withdrawal.