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2 Year Bond
Fixed Rate Bonds
Able to save from £5,000 without touching it for 2 years? Our 2 Year Fixed Rate Bond could be a good choice.
Looking to save at least £5,000 – keeping it untouched for the next 2 years? Our 2 year Fixed Rate Bond could be the perfect answer.
The Bond starts on 24 May 2010, but it is only available on a first come, first served basis. So we may have to withdraw it sooner.
2 Year Fixed Rate Bond – the benefits
- Receive annual interest of 3.50% AER/Gross for balances of £50,000+
- £5,000 minimum investment
- £500,000 maximum investment
- Before the Bond - Any deposits made before 24 May 2010 (i.e. before the start date of the Bond) will attract a rate equivalent to Bank of England Base Rate p.a. until 24 May 2010.
- Open two or more Bonds - need flexibility? This could be the answer you need
- Straightforward - the Bond is designed to be easy to open, although you will need an RBS current account or certain instant access savings accounts excluding Cash ISA and Direct Saver. Find out more by reading our important information.
Things you should know
- Maturity date – 24 May 2012
- Withdrawal penalty - no partial withdrawals or additional deposits are allowed. An early closure of the Bond will incur an early redemption fee equivalent to 180 days Gross interest.
- RBS account - you’ll need to have an RBS current account or instant access savings account for payment of interest. The only savings accounts you can’t use are Direct Saver and Instant Access Cash ISA.
| Amount | AER% | Gross Rate % p.a. | Net Rate % p.a. |
|---|---|---|---|
| 2 Year Fixed Rate Bond Issue 211 (Annual Interest) | |||
| £50,000+ | 3.50 | 3.50 | 2.80 |
| £25,000+ | 3.00 | 3.00 | 2.40 |
| £5,000+ | 2.75 | 2.75 | 2.20 |
Start Date: 24 May 2010 Maturity Date: 24 May 2012 Any deposits made before 24 May 2010 (i.e. before the start date of the Bond) will attract a rate equivalent to Bank of England Base Rate p.a. until 24 May 2010. | |||
2 year Fixed Rate Bond - Withdrawal conditions:
No Partial withdrawals or additional deposits are allowed. An early closure of the Bond will incur an early redemption fee equivalent to 180 days gross interest.
Gross is the interest paid before the deduction of tax.
The Annual Equivalent Rate (AER) illustrates what the interest rate would be if paid and compounded each year.
Net is the interest rate paid after the deduction of tax.
Annual interest is calculated daily and paid into a Royal Bank of Scotland current account or Royal Bank of Scotland instant access savings account of your choice on the last business day in April and on the last day within the term of the Bond.
Tax
Interest earned on balances of less than £50,000 will be paid subject to your tax status.
Interest earned on balances of £50,000 or more will be paid without deduction of tax. You will be responsible for declaring the income to HM Revenue and Customs.
Important information
- Maturity date - 24 May 2012
- Withdrawal penalty - No Partial withdrawals or additional deposits are allowed. An early closure of the Bond will incur an early redemption fee equivalent to 180 days gross interest.
- RBS account - you’ll need to have an RBS current account or instant access savings account for payment of interest. The only savings accounts you can’t use are Direct Saver and Instant Access Cash ISA.
New customers will be asked to provide proof of identity including verification of address.
Calls may be recorded.
- Please also read our website terms and conditions which cover your use of this website