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NOTICE ACCOUNT

INVESTEC

Type: Three-month notice savings

Description: Investec has increased the interest rate on its High 5 savings account to 6.58 per cent gross annual equivalent rate.

Conditions: The account requires a minimum investment of £25,000 with a cap at £100,000. Withdrawal is permitted with three months' notice. Early withdrawal is subject to the bank's approval and may incur a penalty fee of 0.5 per cent of the amount withdrawn, or a minimum charge of £50 or a sum notified in the charges sheet. The interest rate will be reviewed each Tuesday and will be the average of the five highest interest rates published on Moneyfacts.co.uk. Interest is paid either annually or monthly.

Verdict: This product has quite a presence within the IFA community as it gives a bit of satisfaction of not having to rate-chase, simply because it is an average of the five top rates in the market. Investors can be certain that they will be getting one of the best rates. The product wins points for being straight-forward while the penalty fee is not unreasonable for a notice account. Those concerned about deposit security may be heartened to know that Moody's has a P2 rating for Investec which means it has sufficient credit quality and capacity to make timely payment of deposits.

Contact: www.investechigh5.co.uk

Rating: four stars out of five