By Rachel
Wait
If you're
looking for a new home for your savings and you don't need to get your hands on
your cash in the near future, Yorkshire Building Society has launched a new
18-month bond paying 3.40% until 31 July 2013.
The bond is
on sale from today and requires a minimum deposit of £1,000. Up to £2 million
can be invested in the new bond and savers can open the account in branch, by
telephone and online.
However, you
should remember that you will not be able to get access to your money for the
18-month period.
"In the
current climate, an 18-month bond is a good compromise for savers wanting to
put away their money for more than a year, but at the same time not commit to
tie it up for the longer term," says Yorkshire Building Society savings
product manager Mike Helliwell.
"The
rate is best buy and we expect this bond to be as popular as our previous
short-term fixed rate savings bonds."
Metro Bank
also offers an 18-month bond but it pays a lower 3.3%. You'll need a deposit of
£500 or more. However, savers can actually get a higher rate of 3.6% with the
AA Internet 1 Year Fixed-Rate Bond and you will only need to tie up your money
for 12 months. You'll need a deposit of just £1, but the account can only be
accessed online.
Meanwhile,
those happy to lock up their funds for two years can earn an even better 4%
with the FirstSave 2 Year Fixed-Rate Bond. Savers will need a minimum deposit
of £1,000 and again, it can only be accessed online.
