2 year fixed rate bond 1.61% @ Virgin Money and 1.76 at Chartered Savings
-204°Expired

2 year fixed rate bond 1.61% @ Virgin Money and 1.76 at Chartered Savings

30
Found 30th May 2017
Best rate for quiet some time. Don't know how long it will last. Just came out today @ 2pm.

There are some good 1 year fixed as well.

These are good deals relative to the interest rates of late.
Community Updates
30 Comments
So you get £32.46 of interest after 2 years if you invest £1000 for example. Remember, you aren't allowed to withdraw any money during the 2 year period. Sorry, not hot for me.
The initial impression is that this is a mortgage deal until you see the 'bond' in the sentence.
1.61% lol. Inflation is at 2.2%. You'd be better off spending your cash on goods and selling them at the end of the year. Charter Savings Bank will give you 1.76% on a two year fixed.


Edited by: "Master.G" 30th May 2017
Original Poster
Master.G

1.61% lol. Inflation is at 2.2%. You'd be better off spending your cash … 1.61% lol. Inflation is at 2.2%. You'd be better off spending your cash on goods and selling them at the end of the year.



Please post a better savings rate if you have one
Original Poster
aizeewizzy

The initial impression is that this is a mortgage deal until you see the … The initial impression is that this is a mortgage deal until you see the 'bond' in the sentence.



And your point is? Please read the description more carefully.
barkercs

Please post a better savings rate if you have one



TSB/Lloyds/Tesco/Santander* are examples - They are called Current Accounts but they are really saving accounts.

*Santander has an account fee per month, but this can be cancelled out by receiving cashback on your household bills
**Other "Saving" accounts which they call Current Accounts have some direct debit requirements or pay in requirements. Direct debit requirements are served by PayPal and Tesco Savings. Pay in requirements are satisifed by moving money in-betwen these savings accounts (Cough, current accounts).

EDIT: I don't think is a particularly bad deal, there's just better with a bit of effort. This is at least hassle-free and so may be appropriate for a few people.

Edited by: "Firefly1" 30th May 2017
aizeewizzy

So you get £32.46 of interest after 2 years if you invest £1000 not hot f … So you get £32.46 of interest after 2 years if you invest £1000 not hot for me



You would get £32,460 for an initial investment of only £1,000,000, so hot for me.
barkercs

Please post a better savings rate if you have one


See edited post above.
Original Poster
Firefly1

TSB/Lloyds/Tesco/Santander* are examples - They are called Current … TSB/Lloyds/Tesco/Santander* are examples - They are called Current Accounts but they are really saving accounts.*Santander has an account fee per month, but this can be cancelled out by receiving cashback on your household bills**Other "Saving" accounts which they call Current Accounts have some direct debit requirements or pay in requirements. Direct debit requirements are served by PayPal and Tesco Savings. Pay in requirements are satisifed by moving money in-betwen these savings accounts (Cough, current accounts).EDIT: I don't think is a particularly bad deal, there's just better with a bit of effort. This is at least hassle-free and so may be appropriate for a few people.



On these current accounts you a limit on the money you get interest paid on.

Santander 1.5% up to £20000
Nationwide 5% up to £2500
Tesco 3% up to £3000

Also as you pointed out these current accounts also have requirements attached to them which maybe not be suitable for some people.

These fixed rate bonds are the best option for higher savers.
Firefly1

TSB/Lloyds/Tesco/Santander* are examples - They are called Current … TSB/Lloyds/Tesco/Santander* are examples - They are called Current Accounts but they are really saving accounts.*Santander has an account fee per month, but this can be cancelled out by receiving cashback on your household bills**Other "Saving" accounts which they call Current Accounts have some direct debit requirements or pay in requirements. Direct debit requirements are served by PayPal and Tesco Savings. Pay in requirements are satisifed by moving money in-betwen these savings accounts (Cough, current accounts).



That's all well and good if you are saving a few grand. It's not much good if you have say £50k worth of cash sitting in ISAs earning next to nothing.
GAVINLEWISHUKD

That's all well and good if you are saving a few grand. It's not much … That's all well and good if you are saving a few grand. It's not much good if you have say £50k worth of cash sitting in ISAs earning next to nothing.



Fair point In fact the Santander rate is lower than this - I forgot I had to swap to their Student account to maintain the 3% interest Bank of Scotland do 2% on £15,000 though.
Edited by: "Firefly1" 30th May 2017
Original Poster
Firefly1

Santander is £20,000. If you've got a partner, you can each get one, and … Santander is £20,000. If you've got a partner, you can each get one, and a joint account as well, unless things have changed in the last few months. So that's £60,000 between you. You can also get 3 Bank of Scotland accounts for a total of £15,000 of cash although the rate is 2% from June instead of the current 3%.



So you're assuming everyone has a partner?

Also with the BOS account on each account you need to have incoming credits of £1000 per month on each. (can be done by transferring between but quiet fiddly) but you also need 2 active direct debits again on each account.
Edited by: "barkercs" 30th May 2017
barkercs

So you're assuming everyone has a partner?Also with the BOS account on … So you're assuming everyone has a partner?Also with the BOS account on each account you need to have incoming credits of £1000 per month in each of them (can be done by transferring between but quiet fiddly) but oh also need 2 active direct debits on each of them.



No.... That's what I said "If you've got a partner". The Bank of Scotland is 3 per person.

The £1000 can be transferred via standing order every month without you having to do anything after setting it up - it's very straight forward. The direct debits can also be automatic from Tesco.

Edited by: "Firefly1" 30th May 2017
Give it a few weeks and Atom Bank will offer a 2 year fixed at 2%. They've done it twice before and they'll probably do it again.

In the meantime, spread the money and play the regular saver and/or current account game. Can easily earn 3-5% on quite a lot of money. May take a couple hours of your time every month but the extra £££ is worth it.
Barkers ... it's not a bad rate of interest, but it's not the best by any measure: min/max deposit, conditions, level of access or any other. Stop trying to defend it.
Original Poster
Firefly1

No.... That's what I said "If you've got a partner". The Bank of Scotland … No.... That's what I said "If you've got a partner". The Bank of Scotland is 3 per person.The £1000 can be transferred via standing order every month without you having to do anything after setting it up - it's very straight forward. The direct debits can also be automatic from Tesco.



So you also need a Tesco account to make use of the BOS 3 account set up?
It isn't by force that your deal is voted hot. Like someone else said earlier, with inflation at 2.2%, how is this a deal? Do you work with Virgin by the way?
barkercs

So you also need a Tesco account to make use of the BOS 3 account set up?



Yes - a basic Instant Saver account or the other saver account. Not their current account. Or you could just use 6 direct debits if you have 6 from your household bills. Your choice.
Edited by: "Firefly1" 30th May 2017
Firefly1

Fair point In fact the Santander rate is lower than this - I forgot I … Fair point In fact the Santander rate is lower than this - I forgot I had to swap to their Student account to maintain the 3% interest Bank of Scotland do 2% on £15,000 though.



Just people at different parts of their life. People always say how can you have £50k+ in ISAs. ISAs have been going on along time now it's just saving £250 a month.
It started off as rainy day savings. But I've been lucky in my life and it's never rained enough to need it.

But you are right. Maximise the rate for the amount you have to save.
GAVINLEWISHUKD

Just people at different parts of their life. People always say how can … Just people at different parts of their life. People always say how can you have £50k+ in ISAs. ISAs have been going on along time now it's just saving £250 a month.It started off as rainy day savings. But I've been lucky in my life and it's never rained enough to need it.But you are right. Maximise the rate for the amount you have to save.



Exactly this. I'm at the stage where I try to make every penny go further. A lot of people don't want the hassle for the few extra pounds which is completely understandable. That's why ISAs (Or the 1.76% at Chartered Savings) is good for people out there depending your circumstances.

OP I Just wanted to make it clear there are some alternatives for those who hunt for those extra pounds!
barkercs

Please post a better savings rate if you have one




I'd almost prefer to burn it than lend it to Branson.
Original Poster
I take that point. That this deal is dependant on the amount you have to save and the stage of your life. But for some people this is the best deal you'll get and has been for a while. Just because it doesn't suit your circumstances doesn't mean it isn't a deal aizeewizzy.
Original Poster
I take that point. That this deal is dependant on the amount you have to save and the stage of your life. But for some people this is the best deal you'll get and has been for a while.
I've taken up P2P lending to try to beat inflation. Savers are between a rock and a hard place - either you take a risk with the cash or let inflation eat it away. (Yes,I've filled up all the current accounts etc already!) Ratesetter has my largest holding right now which pays around 3% per month with no upper limit - I keep a very close eye on the provision fund and if it should ever drop below a level I am happy with I am leaving!
GAVINLEWISHUKD

That's all well and good if you are saving a few grand. It's not much … That's all well and good if you are saving a few grand. It's not much good if you have say £50k worth of cash sitting in ISAs earning next to nothing.




You can place £50,000 in 16 accounts to give £1,390 a year return (net 2.8% interest)*

*Based on a couple with regular savings and bank accounts.

bankaccountsavings.co.uk/cal…tor


Banned
I think it's a good deal for what it is. Yes, you can get more interest on a very different type of account and yes this rate is lower than inflation, but this type of account is very popular, and this rate is one of the better ones around.
ScoobyZ

You can place £50,000 in 16 accounts to give £1,390 a year return (net 2 … You can place £50,000 in 16 accounts to give £1,390 a year return (net 2.8% interest)**Based on a couple with regular savings and bank accounts.https://www.bankaccountsavings.co.uk/calculator



Nice calculator and looks super useful.

Couple of points.
I already have a TSB account on the old rates so wouldn't be eligible.
My finances are not mixed with the girlfriends finance.
24 direct debits need to be set up. Charity ones are great but that a £288 a year hit to the interest. This drops the rate down to just over 2%.
Next issue is you have now gone over the savings tax threshold by £390 so you will be taxed on all of it and have to claim it back.

But it is worth considering maximising the accounts for a high return on a smaller amount and keeping some in a tax free ISA.
GAVINLEWISHUKD

Nice calculator and looks super useful.Couple of points. I already have a … Nice calculator and looks super useful.Couple of points. I already have a TSB account on the old rates so wouldn't be eligible.My finances are not mixed with the girlfriends finance.24 direct debits need to be set up. Charity ones are great but that a £288 a year hit to the interest. This drops the rate down to just over 2%.Next issue is you have now gone over the savings tax threshold by £390 so you will be taxed on all of it and have to claim it back.But it is worth considering maximising the accounts for a high return on a smaller amount and keeping some in a tax free ISA.





TSB is just one element.

If finances separate than half the amount or learn to trust.

Tesco Direct Debits to Savings accounts remove the need to do the charity direct debits as they pull the amounts (Internet and regular saver*). *also mentioned earlier.

Tax threshold is £1000 per person. Example was for two people so no tax to pay under £2000 so not an issue at all.
Edited by: "ScoobyZ" 31st May 2017
ScoobyZ

TSB is just one element.If finances separate than half the amount or … TSB is just one element.If finances separate than half the amount or learn to trust. :)Tesco Direct Debits to Savings accounts remove the need to do the charity direct debits as they pull the amounts (Internet and regular saver*). *also mentioned earlier.Tax threshold is £1000 per person. Example was for two people so no tax to pay under £2000 so not an issue at all.



​you stated


Tax threshold is £1000 per person. Example was for two people so no tax to pay under £2000 so not an issue at all.

which is incorrect it is £1000 for people on no tax or 20% and £500 for people in the 40% tax bracket
Master.G

1.61% lol. Inflation is at 2.2%. You'd be better off spending your cash … 1.61% lol. Inflation is at 2.2%. You'd be better off spending your cash on goods and selling them at the end of the year.



Do let us know how you get on with that business plan.
Post a comment
Avatar
@
    Text