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With inflation rising to 1.5% in April, savers will be disappointed to see that, despite some higher rates entering the charts, just one seven year fixed rate bond that pays interest on maturity can currently beat the rate of inflation. As well as this, although saving rates have picked up over the last couple of weeks, there is uncertainty about whether rates will continue to rise, especially with the Bank of England base rate currently holding at 0.1%. As such, savers looking to get the best rates should consider acting quickly as providers can withdraw or reduce rates at any time.
Topping the fixed rate bond chart overall this week was Gatehouse Bank, which pays an expected profit rate of 1.40% gross on anniversary on its Fixed Term Green Saver. To open this account, a £1,000 minimum deposit is needed. It has the incentive of Gatehouse Bank planting a tree in a UK woodland when the account is opened and funded. The account must be opened and managed online.
Topping both the three and two year fixed rate bond charts this week was Zopa, which pays 1.00% gross on its 3 Year Fixed Term Savings account and 0.89% gross on its 2 Year Fixed Term Savings account. Although interest is paid monthly on these accounts, it is only available on maturity. Both accounts require a £1,000 minimum opening deposit. They must be opened online but can then be managed online and via mobile app.
The best rate in the fixed rate savings chart overall came from Gatehouse Bank, with its Fixed Term Green Saver paying an expected profit rate of 1.40% gross on anniversary on a five-year term. This account requires a £1,000 minimum deposit to open. It has the incentive of Gatehouse Bank planting a tree in a UK woodland when the account is opened and funded. It must be opened and managed online.
New to the top of the three year fixed rate bond chart this week was Zopa’s 3 Year Fixed Term Savings account, which pays 0.99% gross monthly, although savers should note that interest is only available on maturity. To open this account, a £1,000 minimum deposit is needed. It must be opened online and can then be managed online and via mobile app.
Topping the notice account chart this week was ICICI Bank UK with its Raisin UK – 95 Day Notice Account and its Notice Savings Account both paying 0.85% gross monthly. Savers should be aware that the rate on the Raisin UK account will be reduced on the 8 March 2021 to 0.55% and the rate on the Notice Savings Account will be reduced on the 15 March 2021 to 0.55%. The Raisin UK – 95 Day Notice Account requires a £1,000 minimum deposit to open and comes with the incentive of Raisin UK offering a bonus or Amazon gift card of up to £15 when a first savings account is opened via its website (terms and conditions apply). This account does not allow further additions. Withdrawal of the full account balance only is permitted subject to 95 days’ notice and account closure. It must be opened online but can then be managed online, by post and by phone. ICICI Bank UK’s Notice Savings Account requires a £1 minimum deposit to open, as well as a Home Vantage Current Account. It allows