Newcastle Building Society fixed rate bond features:
- Choice of 1, 2 or 5 year bonds
- Minimum balance £500
- Maximum Balance £250,000
- Choice of annual or monthly payments
- Withdrawals/transfers not permitted until maturity
- Account can be operated online, by post or in branch
- Single or joint account options
- You can apply online in 10 minutes
As opening a fixed rate bond account would mean you locking away your savings for a set period of time, before you do so you might want to compare the different offers to see if you can find the plan that fits you best.
Alternative savings plans
You may also want to consider alternative saving plans when looking into fixed rate bonds such as:
Another type a bond, unlike a fixed rate bond where your interest rate stays the same throughout the bond’s course and you can predict how much you will get in return, a tracker bonds interest rate will vary in accordance to changes made to the Bank of England’s base rate of interest which it ‘tracks’, this means you could get a better or worse rate of interest as your rate changes subject to alternations in the Base Rate. It’s important to remember with this option that the interest rate you receive could get worse.
Like a bond a structured deposit requires you to lock up your funds for a period of time. This type of plan is normally tied to an index like the FTSE 100. They tend to offer better rates of interest than bonds or instant access savers, but your interest return is not guaranteed you may only get your original investment back subject to market performance. When looking at structured deposits they will set out how the index or indices it is tied to needs to perform over the plan's course in order to receive the interest payment. If it fails to perform in such a way you will not receive any interest payments. as a result you should carefully consider before hand if this type of investment is suitable for you beforehand.
You may also wish to consider an instant access savings account, although they tend to offer lower interest rates than bonds, they do normally allow you to have instant access to make a withdrawal from the account whenever you want if you need to.