Investment Bond launched
Published by Chloe Turner on Mon, 15/05/2017 - 9:53am
National Savings and Investments (NS&I) has recently launched a government-backed Investment Bond. The main details of the Bond are as follows:
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minimum deposit of £100
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balances on the account must be between £100 - £3000
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applications can only be made online and up to April 2018
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applicants must be aged 16+ years
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fixed interest rate of 2.2% for three years paid yearly and without tax deduction
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early withdrawals incur a penalty equal to 90 days’ interest on the amount cashed in.
According to Moneyfacts, the NS&I offering is a market leader on the interest rate with similar three-year fixed term bonds having an average interest rate of 1.24%. Competitors’ minimum investment thresholds are generally higher, typically starting upwards from £1,000 and caps on the maximum capital invested are significantly higher than the NS&I limit of £3,000.
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For more information visit: GOV.UK news NS&I Moneyfacts
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