Why we like it: Interest paid on maturity. Automatic repayment to your linked account. Maximum deposit £250,000. FSCS Protected. Must have a UK residential address and be aged 18 or older. No withdrawals permitted
Why we like it: Which? Recommended Savings Provider. Save from £1,000 to £250,000. No withdrawals before the end of the term. Your eligible deposits with RCI Bank UK Limited are protected up to a total of £85,000 by the Financial Services Compensation Scheme (FSCS)
Why we like it: Interest paid at maturity. Open in single or joint name. Maximum deposit £5,000,000. Open and manage online. FSCS Protected. Must be UK resident and be aged 16 or older. No withdrawals permitted
Why we like it: Terms and Conditions: 3.80% AER (3.74% Gross p.a.). NatWest's best Fixed Term Savings Rates are 3.80% AER/(3.74% Gross p.a.) fixed for 1 year and 3.80% AER/(3.74% Gross p.a.) fixed for 2 years. Offer available until 5pm on 11th December 2024 for new customers and 16th December 2024 for existing customers. Please be aware that this offer can be withdrawn at any time due to limited availability. Interest paid monthly and on maturity. This account is for sole applicants only and cannot be opened in joint names. Minimum deposit £1. Maximum deposit £5,000,000.00. You can make additional payments or withdrawals from your account until 3:30pm on 3rd January 2025. After this date partial withdrawals are not allowed. If you want to make a withdrawal after this time and before the Maturity Date, you must close your account by giving 35 days’ written notice to your branch. Early Closure Charge may apply. The Early Closure Charge will be the lower of the amount of interest earned on your account or 90 days’ interest. Interest will automatically be paid into your Fixed Term Savings Account. You can choose to have interest paid into another Nominated Account. This must be a NatWest personal current or savings account with instant access (other than a cash ISA) held in your name at the same branch as your Fixed Term Savings Account. If interest is paid into your Nominated Account, you can access it the following day. You must be 16 or over and a UK resident. FSCS protected
Why we like it: Terms and Conditions: 3.80% AER (3.74% Gross p.a.). Royal Bank of Scotland's best Fixed Term Savings Rates are 3.80% AER/(3.74% Gross p.a.) fixed for 1 year and 3.40% AER/(3.35% Gross p.a.) fixed for 2 years. Offer available until 5pm on 11th December 2024 for new customers and 16th December 2024 for existing customers. Please be aware that this offer can be withdrawn at any time due to limited availability. Interest paid monthly and on maturity. This account is for sole applicants only and cannot be opened in joint names. Minimum deposit £1. Maximum deposit £5,000,000.00. You can make additional payments or withdrawals from your account until 3:30pm on 3rd January 2025. After this date partial withdrawals are not allowed. If you want to make a withdrawal after this time and before the Maturity Date, you must close your account by giving 35 days’ written notice to your branch. Early Closure Charge may apply. The Early Closure Charge will be the lower of the amount of interest earned on your account or 90 days’ interest. Interest will automatically be paid into your Fixed Term Savings Account. You can choose to have interest paid into another Nominated Account. This must be a Royal Bank of Scotland personal current or savings account with instant access (other than a cash ISA) held in your name at the same branch as your Fixed Term Savings Account. If interest is paid into your Nominated Account, you can access it the following day. You must be 16 or over and a UK resident. FSCS protected
Right now, there are some savings accounts on the market that offer competitive rates of interest on smaller amounts of money. For example, Leeds Building Societycurrently offers 5.10% on their Instant Access Account.
However, if you are looking to get a return on a larger sum, fixed rate bonds can be a great means of providing a secure income. They offer a guaranteed return for the life of the bond and let you keep your existing current account while transferring the balance not earning interest into the bond.
This makes depositing your money into a bond a relatively simple, hassle-free way to start making your money do more for you, without requiring you to change your day-to-day banking.
12 month fixed rate bonds can be particularly attractive as they mean your money is only locked away for a relatively short period. This can make them a good choice if you are planning to use your savings within the next few years. You can earn a return and maintain the value of your funds relative to inflation while still giving you access to your money when you need it.
Compare 12 month fixed rate bonds
We have selected some of the most attractive 12 month fixed rate bonds currently on offer below. The rates of interest they offer change regularly, so please see the table above for the latest rates.
If you are not planning on using your money in the near future, you may want to consider 2 year, 3 year or 5 year fixed rate bonds as these can provide a better rate of interest. However, these longer term bonds will increase the length of time during which you cannot access your savings.
Find 12 Month Fixed Rate Bond Best Buys
Getting the best deals on 12 month fixed rate bonds can be confusing, but there are some fantastic opportunities out there if you can find them. Make sure to shop around and you should be able to find an account that matches your specific needs while offering a good return.
Fixed Rate Bond Alternatives
Fixed Income Plan
5.34% per year fixed, monthly payments, for full 6 year term…
Fixed monthly income: 0.445% (equivalent to 5.34% annually)
Income paid monthly for full 6 year term of plan, regardless of the FTSE 100 performance
Capital at risk product - 65% barrier
Available for stocks and shares ISAs, ISA Transfers & direct investments. also available to businesses, charities, trusts & SIPP and SSAS pension schemes
Investment term - 6 years
Arrangement fee applies
Minimum investment - £5,000
“Are you getting 5.34% fixed from your capital? Getting such a high level of fixed interest is not easy, especially in today’s economic and investment climate, and so this monthly fixed income plan might be worth considering.
The plan pays 5.34% fixed interest per year (0.445% paid each month), regardless of the performance of the FTSE 100 Index. The plan has a term of 6 years.
At the end of the plan, your original capital is returned in full unless the FTSE 100 Index has fallen by more than 35% from the opening Index level. If the Index has fallen by more than 35%, then your initial capital will be reduced by 1% for each 1% fall.
So if you think it’s unlikely the FTSE will fall more than 35% in four years’ time, and you require a competitive level of fixed monthly interest, this plan could offer a timely opportunity.”
Oliver Roylance-Smith, head of savings and investment
Important Information: This is a structured investment plan which is not capital protected and is not covered by the Financial Services Compensation Scheme (FSCS) for default alone. There is a risk of losing some or all of your initial investment due to the performance of the underlying investment. There is also a risk that the company backing the plan known as the Counterparty may be unable to repay your initial investment and any returns stated.
