Bank of Scotland International launches new savings account

Bank of Scotland International has launched both Sterling and US Dollar Capital Guaranteed Savings 'Bond 20' across three and five year terms.

'Bond 20' guarantees customers' initial capital investment and gives them the opportunity to benefit from the growth potential of the stock market across different terms.

The minimum investment level is £10,000 for the Sterling accounts and $20,000 for the US Dollar accounts. The account will start on 28th March 2007 and the closing date for applications is 14th March 2007.

Three Year Guaranteed Savings Bond 20

The Bank of Scotland International Three Year Sterling Capital Guaranteed Savings 'Bond 20' is index-linked to the performance of the Nikkei 225 over three years. At the end of the three years, the capital is returned, along with 107% of the average percentage rate of increase of the Nikkei 225 during this time.

The Three Year US Dollar Capital Guaranteed Savings 'Bond 20' is index-linked to the performance of the S&P 500 over three years. At the end of the three years, the capital is returned, along with 80% of the average percentage rate of increase of the S&P 500 during this time, subject to a maximum level of 32% gross (9.69% AER.)

These three year accounts will mature on 28th March 2010.

Five Year Capital Guaranteed Savings Bond 20

The Bank of Scotland International Five Year Sterling Capital Guaranteed Savings 'Bond 20' and The Five Year US Dollar Capital Guaranteed Savings 'Bond 20' are 50:50 accounts.

Half of the capital is invested for just one year at a fixed rate of 10.00% p.a. The other half of the capital is linked to the performance of the Swiss Market Index, Dow Jones EURO STOXX50 and the Nikkei 225 over five years.

At the end of the five years, customers on the Five Year Sterling Capital Guaranteed Savings 'Bond 20' will receive the remaining half of the capital, along with 86% of the average percentage rate increase of the index. At this time, customers on the Five Year US Dollar Capital Guaranteed Savings 'Bond 20' will also receive the remaining half of the capital, along with 81% of the average percentage rate increase of the index.

The one year 10.00% p.a. fixed term on these accounts will end on 28th March 2008. The five year fixed term will mature on 28th March 2012.

Tony Wilcox, Managing Director at Bank of Scotland International, says: "Bond 20 offers customers the security of their capital being guaranteed as well as the opportunity to benefit from the growth potential of the stock market, across a term that suits the customer's needs."