How is interest calculated?Britannia

The current rate is 3.50% gross AER. Since writing the rate has changed to 1.84% gross AER

Is interest accumulated to my savings?

Interest is paid annually or monthly at a slightly reduced rate.

How long do I have to tie my savings up for?

This is a one year bond.

Can I get access to my savings?

Withdrawals from this account are not allowed until maturity.

How do I manage my account?

The account is opened either online , by telephone 0808 156 1208 or by visiting your nearest  branch.

How much can I save?

The minimum amount to open the Britannia Building Society One Year Fixed Rate Bond is £1,000.

The maximum balance is £1,000,000.

How is the interest taxed?

Interest will be paid less the deduction of tax at the basic rate.  If you do not pay tax you will need to complete a form R85 to request that the interest is paid without the deduction of tax.

What are the advantages of this account?

  • The minimum to open the account is £1,000
  • Savings are only locked in for one year

What are the disadvantages?

  • No additional deposits are allowed after account opening
  • The bond is a limited issue and may be withdrawn at any time
  • No early access to your savings

Investment Sense VerdictThe Investment Sense Verdict

This account does not offer the best rate currently available for a One Year Bond, see our Best Buy Tables .  However, the other two accounts available at time of writing require a far higher initial deposit.

We like this account at Investment Sense, for an initial low deposit of £1,000, this account offers the best rate available for a one year fixed rate bond.

However the offer is limited and could be withdrawn at any time.  Also, once opened, additional deposits will not be accepted and withdrawals are not allowed until maturity.

Should you wish to discuss this account, or ways of getting a real, above inflation, return on your savings, speak to one of our team of advisers today. They can be contacted on 0115 933 8433, 0845 078 7774 or by sending an email to info@investmentsense.co.uk.