Savings Focus: Investec Bank fixed rate selections offering up to 2.35%
Investec Bank continues to offer innovative savings plans which combine a competitive interest rate with efficient service and attractive features. So if you have a minimum of £25,000 to deposit, and you want to take advantage of some of the highest savings rates on the market, their latest range of accounts are certainly worth reviewing.
All the Investec savings accounts featured below are covered by the Financial Services Compensation Scheme (FSCS). Please be aware that the FSCS limit for deposits are due to change after 31st December this year.
Investec Bank fixed rate bonds – up to 2.15% AER
For those who are able to tie their money up for a fixed period and are also looking for a fixed and regular rate of interest, Investec offers a trio of fixed term deposits with terms of one, two and three years.
As you would expect, the rate of interest increases with the term – the 1 Year Fixed Term Deposit has been the most popular with savers and pays 1.95% AER, while the 2 Year Fixed Term Deposit pays 2.05% AER. Higher returns are available for those who are prepared to lock their money away for 3 years, with Investec’s 3 Year Fixed Term Deposit offering 2.15% AER.
Interest on all three fixed rate bonds can be paid annually or monthly, they can be set up as a single or joint account and access to account information is online or via telephone. As with most fixed term accounts, no early withdrawals are permitted. You can apply quickly and easily online.
Investec 3 Year Base Rate Plus Account – minimum 2.35% AER
For those who want to take advantage of increases to the Bank of England Base Rate but still want the convenience and security of a minimum fixed return, Investec have shown some welcome innovation in the market with their 3 Year Base Rate Plus.
Perhaps the most popular of Investec’s current savings range, this account pays 0.5% AER/variable above the Bank of England Base Rate for 3 years but with a minimum rate of 2.35% AER, so whatever happens you know you will never earn less than this.
This account therefore offers you the chance to take advantage of any future Base Rate rises over the next three years whilst also offering the safety net of a minimum return. Interest is not compounded and will be paid into your nominated account annually. No early closure or withdrawals are permitted and you can apply easily online.
Investec 2 Year Double Base Bond
Finally, for those prepared to tie their money up for 2 years but who also consider an increase in the Bank of England base rate is likely, Investec have shown further innovation with their 2 Year Double Base Bond. This account pays double whatever the Bank of England Base Rates is during the 2 year fixed term, plus an additional 0.50% on top. This means currently you would receive 1.50% (variable).
If the Bank of England Base Rate increased by 0.25% the variable rate would increase to 2.0% and if the Base Rate rose by 0.5% then your variable rate would increase to 2.5%. Investec’s current 2 Year Fixed Term Deposit is offering 2.05% fixed. No early closure or withdrawals are permitted during the term of the plan and interest will be paid annually into your nominated account. Access to you account is via online and telephone banking and you can apply easily online.
Investec Bank plc
Investec is an international, specialist bank and asset manager with its main operations in the UK and South Africa. The group was established in 1974 and as at April 2015, currently employ around 8,200 people and look after £124.1 billion of third party assets under management. They provide a range of financial products and services and specialise in a number of areas, particularly within the banking sector. Their UK banking operation, Investec Bank plc, looks after £10.3 billion of customer deposits. They are also a market leading provider of investment plans and structured deposits.
No news, feature or comment should be seen as a personal recommendation to invest. If you are at all unsure of the suitability of this type of investment, both in respect of its objectives and its risk profile, you should seek independent financial advice.
AER stands for the Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year.