One building society has recently announced it has launched a new fixed-rate bonds product.
From January 1st of this year the Yorkshire Building Society has made headlines by launching a new fixed-rate bonds offering. Many savers that already have an ISA savings product through the financial services provider may find it of interest to examine the new product from the building society.
Customers now have the option to take out a fixed-rate bond with a term of three years from the building society. The interest rate attached to the product stands at four per cent. Yorkshire BS has made the offering available for take out from any of the many different Yorkshire brands. Included in these brands is the Chelsea Building Society.
Industry experts have described the new fixed-rate bond deal as an innovative one. Such comments were sparked by the way the bond supplies not only a fixed return rate but also how it tracks the Financial Services Compensation Scheme limit. The limit was recently raised to a total of £85,000 in compensation in the case of bank failure at the end of 2010.
Customers will be able to change and adapt their savings with an eye to any further changes to this limit as a result. This will enable more flexibility in their ability to save for the future.
Yorkshire BS savings products manager Mike Helliwell commented on the new deal. He stated that the highly competitive nature of the deal works to provide a high monetary value for those savers interested in saving up to the new FSCS limit of £85,000.
In related news, another building society also launched a new range of fixed-rate bonds deals. The Leeds Building Society now offers some fixed-rate bonds with rates as high as four to 4.5 per cent.