Leeds launches fixed rate postal bond paying 6.85%

Leeds Building Society is set to launch new 1-year year fixed rate postal bond paying a highly competitive 6.85% gross p.a. / AER.

Unusually for such a high guaranteed rate, customers also benefit from access to up to 25% of the amount invested at any time, without notice or penalty. Furthermore, there are also monthly interest options paying 6.80% AER (6.60% gross p.a.) for customers who require an income.

Karen Wint, General Manager Marketing and Customer Services said, "A high guaranteed return of 6.85% with access to some of the funds is simply outstanding value. Market rates have fallen by around 1% in the last two months as expectation moves towards the next change in Bank Base Rate being a cut, possibly as early as quarter one next year, following the Bank of England's decision earlier today to keep rates on hold.

"The ability to lock in at such a high rate with access also delivers excellent peace of mind. There is no doubt that this, combined with a minimum operating balance of only £5,000, will make this product extremely popular and an excellent addition to any investment portfolio. I would urge customers to act quickly to avoid disappointment.

"The best way to guarantee benefiting from this account is to open the account online (leedsbuildingsociety.co.uk). Alternatively, customers can download an application form or telephone 08450 540 995 for an application pack."