Leeds Building Society three-year fix-rate branch bond
What is it? A three-year savings account paying 6.5 per cent annual interest, or 6.44 per cent for those who choose to receive their interest on a monthly basis.
How does it work? The account requires a minimum balance of £5,000 and will accept a maximum balance of £1 million (or £2 million for joint accounts). Once the money is deposited, one withdrawal can be made without incurring a penalty.
What are the plus points? The rate is competitive, even after the recent interest rate rise. Unusually, savers can also access their money without paying a penalty which is useful for those who want to be able to get at their cash quickly. One withdrawal of up to 50 per cent of the capital is allowed over the three-year period.
What are the downsides? If interest rates were to rise much further, the deal may look less competitive.
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The verdict? Thumbs up. Anna Bowes at AWD Chase de Vere, the independent financial adviser, says: “It is not the best rate available, but it is competitive. It also has the added bonus of offering savers access to half of their money.”