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Yorkshire Building Society

Type: Two-year fixed rate bond.

Description: A new two-year fixed rate savings bond paying 7 per cent gross a year, or 5.6 per cent net, with a monthly interest option available for those who rely on their savings for income.

Conditions: A minimum deposit of £100 is required to open the account with a maximum balance of £500,000, ensuring any level of saver can have access to this fantastic rate. Customers who choose to open their bond online will be able to take advantage from Yorkshire’s paperless application process, where actual signatures and identification documents are not required in most cases. Online savers are also able to deposit their funds into the e-bond electronically from their debit card, so they can earn interest more quickly than a traditional cheque deposited by post.

Contact: 0845 1200 100.

Verdict: The investment offering at 7 per cent gross is excellent value and competes well with similar products on the market, especially as a monthly income facility is offered. The minimum level of investment at entry at £100 also makes the investment very attractive. However, what must be considered is what early encashment charges will be made. (3/5)