In 2012, the Skipton Building Society launched new fixed-rate bonds that replaced the past offerings to increase the available interest rates for customers. These were for savers who wanted to make as much money as they could on their bonds.
In 2012, someone looking to take out a 1 year fixed –rate bond and put in between £500 to £24,999, could benefit from an interest rate of 2.85% AER. For customers looking to deposit the same amount of money for a 2-year account in the same year, you could see interest returns of 3.05%.
Skipton Building Society’s Kris Brewster said in 2012: “We are delighted to be able to reward savers even more with a rate increase on our shorter-term products while continuing to offer excellent value across our bond range.”
Since the formation of the fixed-rate bonds, the interest rate has decreased and currently, a 1 year fixed rate E-Bonds interest rate is 0.35% (gross pa/AER fixed) where you can save from a minimum of £500 to up to £1 million per account.
Meanwhile, a 5 year fixed rate E-Bonds interest rate is 1.00% (gross pa/AER fixed) where you have the option to save from a minimum of £500 to up to £1 million per account.
Both accounts are available to UK residents 16 years old and over and they can be opened and managed only online. Additionally, you can choose your preferred interest option, whether it be annual or monthly.
The fixed-rate bonds can be right for anyone:
- Who is looking to invest a lump sum of money
- Who wants to stop paying in throughout the fixed term
- Who wants a guaranteed fixed rate of interest for the fixed term
- Who doesn’t want to withdraw money before the conclusion of the fixed term
Skipton Building Society is the UK’s fourth-largest building society with more than £28 billion in assets in 2020 and over 1 million members and 100 branches.
Based in Skipton, England, it’s one of the oldest building societies in the UK (established in 1853). For those living in the UK, Skipton is a popular choice for a building society account. Its products include savings accounts, mortgage accounts, and loans. Despite being a building society, it can offer most of the same financial products as other UK high-street banks.
The society is a member of the Building Societies Association and registered under the Building Societies Act. With a one-of-a-kind, innovative approach to banking and a long history of providing the best products and services, the Skipton Building Society is one of the most trusted financial institutions in the country.