Take advantage of exceptional fixed term savings deals

Abbey Savings today advises customers to take advantage of the unusual market conditions which has given rise to some excellent fixed rate savings deals. Due to recent wholesale market conditions, LIBOR has diverged from the base rate. Typically LIBOR operates at rates similar to the base rate.

However, as pressures change in the wholesale market so LIBOR is dropping. At its peak, LIBOR was at 6.90 per cent on 13 September. It is currently 6.28 per cent.

With this downward movement, it is likely that some of the excellent deals currently around will not be available for much longer.

To allow its customers to benefit from these market conditions, Abbey has launched two new fixed-term savings accounts for their customers looking for a guaranteed return on an amount of money they can lock away until the end of the year.

Customers can apply for the Abbey Bond either by visiting their local branch or telephoning the customer sales line on 0800 234 6065. Customers can apply for the eBond online at abbey.com. Both bonds will be available from 24 September 2007 and will mature on 1 January 2008.

Reza Attar-Zadeh, Head of Savings and Investments at Abbey, said “This is a great time for savings and savers should take advantage while the current market conditions last. In addition to these excellent deals, we currently offer a Super Bond and Super ISA paying 8.1% fixed for one year and customers can earn up to 10% fixed for one year on our Super Monthly Saver.”