Money News
Skipton Building Society has announced the launch of a new escalator bond - the Bonus Access Bond tracking Bank of England base rate (currently 5.75%), but set to increase every six months to 7.25% in two years time, based on current rates. As an added bonus, savers can withdraw money from their investment at any time.
The bond pays an underlying rate of 4%. However, the bonus rates will only be applicable if no withdrawals are made by the customer in each specified period: 1.75% from date of opening to midnight, July 3rd 2008; 2.25% from July 4th 2008 to midnight January 2nd 2009; 2.75% from January 4th 2009 to midnight, July 3rd 2009 and 3.25% from July 4th 2009 to midnight, January 3rd 2010
Minimum investment is £500, maximum investment £100,000, by cheque or transfer only.
Withdrawals are allowed at any time, without penalty. However, withdrawn funds cannot subsequently be replaced. Meanwhile, any withdrawals in each six monthly period will exclude the customer from the bonus rate for that period.
02 November 2007 © Moneyextra.com
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