Skipton International is offering a new three-year fixed-rate bond to new and existing customers, which will pay a fixed interest rate of 2.25 per cent AER.
Jim Coupe, managing director at Skipton International, said: “This is a competitive and attractive product at a time when a rise in interest rates is still uncertain. Investors are seeking certainty and security as well as a good return.”
Key features:
Account is available to private individuals, businesses, trust companies and individual pensions
Internal transfers allowed
Interest will be paid monthly or upon maturity
A minimum investment of £10,000
The bond expires on 30 November 2018
No early access available. Account must be held until maturity
IFA Verdict:
Roger Williams, managing director of West Yorkshire-based Roger W Williams Financial Planning Ltd, said: “I would not recommend this bond as I think this is a low rate. It is a difficult market environment, but my clients are getting more than 10 per cent by investing in shares, through funds and Isas. Also I would not tie in my clients for that kind of return for that sort of period. Individuals would be better investing in unit trusts and stocks and shares.”
