Halifax offers new one-year guaranteed growth bond

Halifax Financial Services, the long-term savings provider, has launched a new Guaranteed Growth Bond with a 5.08% net return over one year (equivalent to 6.35% before tax).

The bond, a lump sum product with some life cover, gives investors total peace of mind that their money is not at risk.

The minimum investment is £5,000 and the guaranteed return of 5.08% net of tax will be added at the end of the one-year period.

Money invested before the start date will benefit from an Early Investment Payment equivalent to 5.08% net of tax, the same rate as the bond. When the bond matures after one year the investor will receive back their initial investment plus return.

Final applications must be received by 19th May 2007, although the offer may be withdrawn earlier if the bond becomes fully subscribed.

Paul Stanley, head of Halifax Financial Services said: "Halifax offers simple, value for money, products. There are still a number of customers who are concerned about putting their capital at risk by investing in the stock market. With the Guaranteed Growth Bond investors can rest assured that their capital is safe while receiving over 5% net return."