This comparison simply includes all savings accounts.
TESCO Fixed Rate Bonds
Why we like it: Interest paid annually. Unlimited deposits and withdrawals. Open and manage online. FSCS Protected. Must be UK resident and be aged 18 or older
Why we like it: Instant access to your savings. Unlimited deposits and withdrawals. Interest paid monthly, either to a linked current account, or adding it to your Online Flexi Saver account. Easy application process, you just need a UK mobile phone and UK driving licence or passport. Manage account online. Maximum balance £250,000. Must be aged 18 or older and have a UK address. Must have a linked UK current account. Your eligible deposits with Investec Bank are protected up to a total of £85,000 by the Financial Services Compensation Scheme (FSCS)
Why we like it: Which? Recommended Savings Provider. No notice period. Deposit from £100. Interest paid monthly or annually. Apply in minutes. 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: Unlimited payments and withdrawals. Interest paid annually. Open in a single or a joint name. Maximum deposit £250,000. FSCS Protected. Winner of Platinum Feefo Trusted Service Award in 2024. Must be UK resident and be aged 18 or older
Why we like it: Interest calculated monthly. Unlimited deposits and withdrawals. Open and manage online. FSCS Protected. Must retain a minimum balance of £20,000 in the account. Must be UK resident and be aged 18 or older
Why we like it: All funds deposited into the RCI Bank E-Volve Savings 14 Day Notice Account will be used to fund pure electric vehicles and charging facilities. Interest paid monthly or annually. Manage account online. UK-based support, seven days a week. Which? Recommended Savings Provider. Unlimited withdrawals subject to 14 days notice. Must be UK resident. Must be aged 18 or older. 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: The interest rate tracks the Bank of England (BoE) Base Rate. Interest is calculated on the minimum daily balance and applied to the account on the first day of every subsequent month. Open and manage account online. Your eligible deposits are protected up to £85,000 by the Financial Services Compensation Scheme. The maximum deposit you may pay into any one OakNorth Account is £500,000. The maximum amount (excluding the interest) that you will be allowed to hold on deposit with OakNorth Bank across multiple accounts is also £500,000. Unlimited withdrawals, subject to 95 days notice. Available to individuals, aged 18 or over, who are UK residents
Why we like it: Unlimited deposits and withdrawals. Interest paid monthly: can be added to your Notice Saver or paid to your linked account. Easy application process, you just need a UK mobile phone and UK driving licence or passport. Manage account online. Maximum balance £250,000. Withdrawals subject to 90 days notice. Must be aged 18 or older and have a UK address. Must have a linked UK current account
Why we like it: 3 penalty-free withdrawals in a 12 month period. 3.82% AER (variable tracker) + 0.68% AER 12 month boost. 3.75% gross variable tracker. Interest paid monthly. Deposit and withdraw almost instantly. No fees or charges for holding account. FSCS eligible on your deposits. After 3 withdrawals within a 12 month period the rate will revert to either 3.40% AER (variable tracker with boost applied) or 2.72% AER (variable tracker) for the remainder of the 12 month period since opening the account. Must be UK resident. Must be aged 18 or older
Why we like it: 9 month term, minimum deposit £1,000, no withdrawals permitted. FSCS Protected
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: 1 year term, minimum deposit £1,000, no withdrawals permitted. FSCS Protected
Is a Tesco fixed rate bond right for you?
How do you get the best return on your savings? Depending on how much money you have to invest, you may need to split your funds across several different types of financial products.
A savings account will generally give the best rate of interest on relatively small sums of money.
Fixed rate bonds pay interest on much larger amounts of money than most current accounts and the return you get will be set at a pre-agreed level for the life of the bond. Bonds commonly last for 1 year, 2 years, 3 years or 5 years and the longer the bond lasts, the better interest rate you will usually get.
The main drawback is that you won’t usually be able to take any money out of a fixed rate bond until it matures. However, some providers do allow early withdrawals in exchange for a penalty fee. This usually takes the form of a percentage of your interest payments.
If you want to start earning more from your savings, a fixed rate bond can be a fairly straightforward way to do it. You can keep your existing current account when you set up a fixed rate bond, meaning you do not need to change any of your normal banking processes.
Why choose a Tesco fixed rate bond?
Tesco Bank is a British retail bank which is wholly owned by Tesco plc. If you would like to take out a fixed rate bond with Tesco, you will be offered the following benefits:
- Minimum deposit of £2,000
- Maximum deposit of £5million
- Interest can be taken monthly or annually
- Manage your account online or by phone
Restrictions
If you wish to apply for a Tesco fixed rate bond, please be aware:
- You must be a UK resident
- You must be at least 18 years old
- No additional deposits or withdrawals can be made until your bond matures
Compare Tesco fixed rate bonds
Tesco Bank offer fixed rate bonds with terms from 1-5 years. They also offer cash ISAs as another way to save. Popular competitors include Aldermore who are worth checking out before making a decision. Please take a look at the fixed rate bond comparison table above for all the most competitive deals we have sourced from across the market.
Getting the best deal on fixed rate bonds
Due to the ever-changing nature of the market and consumer demand, the interest rates and other features that providers offer on their fixed rate bonds rarely stay the same for long. This can present a challenge to anyone looking to invest as it makes it difficult to know which brands and products are currently offering the best deals.
We regularly update the fixed rate bond comparison tool at the top of this page with the most attractive deals we can find from across the industry. This makes it much easier for customers to compare the latest offers and find one that works for them.
When choosing a fixed rate bond to invest in, make sure you know exactly how much money you can afford to invest and what level of return you would like to achieve. This makes it much more likely you will end up with an investment you are happy with in the long run.
