YBS 5 year bond will pay out over £1,300 in extra interest

Picking a top paying 5 year bond rather than choosing an average offering could mean gaining £1,324 in additional interest over the term of the product. In real terms this additional interest could pay for an all inclusive Mediterranean Cruise for 2 people.

Yorkshire Building Society's research amongst its bond customers has shown that people invest on average £20,000 in a 5 year bond. With the current interest rate on the Yorkshire 5 year bond at 5.30% gross, this would mean that savers would receive £5,892 over the 5 year period in interest. However, with the average 5 year bond rate of just 4.20% gross, interest earned would fall dramatically to £4,568 over the term of the bond resulting in those in Yorkshire's market-leading bond being £1,324 better off.

Additional interest from shopping around for a good rate could pay for:

A luxury holiday such as an all inclusive Mediterranean Cruise for 2 people

Or any of the following for the next 5 years:

Lunch out for 2 every month (with a glass of vino)
Monthly tariff for basic Sky TV package
Monthly phone bill
12 bottles of champagne a year
Pay for Christmas every year

Annual weekend away to celebrate an anniversary/birthday/just because you can

Sarah Lawrence, Senior Product Development Manager for Savings at Yorkshire Building Society said: "Just by spending a few minutes shopping around when buying a bond can make a big difference to savers' returns. The additional interest can either help pay the monthly bills or pay for some of the finer things in life such as a Mediterranean Cruise or a monthly lunch out with friends over a glass of wine or two. This additional interest could mean a big difference to people relying on their savings for income."

"We urge people to take a few minutes to check out the best deals as not doing so could cost them dearly."

For more information, visit ybs.co.uk.