Northern Rock launches new fixed rate bond issues
Northern Rock has launched a new range of fixed rate bonds, starting from 3.00% gross p.a. over one year to 4.15% gross p.a. over five years. The accounts are available through Northern Rock branches or by post from today (16 September).
Additional deposits can be made during the offer period up to a maximum of £2 million per customer (minimum deposit £1). The Fixed Rate Bonds are all non-redeemable and none of the issues allow any withdrawals or closure during their respective fixed rate periods.
Interest can be paid annually or paid monthly on the last day of the month (available first business day of the following month). Charge-free transfers are allowed from all Northern Rock variable rate accounts. Transfers from online accounts must be via a nominated bank account. The bonds are offered on a limited issue basis and will be withdrawn without notice once fully subscribed. Once withdrawn, no further deposits will be accepted.
In keeping with Northern Rock’s commitment to providing openness, transparency, and fair treatment of customers, full product details are available on application in the terms and conditions.
Further product details and application forms are also available on Northern Rock’s website at northernrock.co.uk/savings.
Northern Rock’s New Fixed Rate Bonds (£1+) %GROSS* RATES
NORTHERN ROCK FIXED RATE BOND – ISSUE 412
Maturity date 1 October 2011)
3.00% ANNUAL GROSS/AER
2.70% (2.73% AER)MONTHLY
NORTHERN ROCK FIXED RATE BOND – ISSUE 413
Maturity date 1 October 2013
3.80% ANNUAL GROSS/AER
3.50% (3.55% AER)MONTHLY
NORTHERN ROCK FIXED RATE BOND – ISSUE 414
Maturity date 1 October 2015
4.15% ANNUAL GROSS/AER
3.85% (3.91% AER) MONTHLY
No closure or withdrawals are permitted during the fixed rate period for either bonds.
GROSS is the rate of interest paid to eligible non-taxpayers without deduction of tax. Please note interest will be paid net of tax unless you are eligible to receive interest gross and submit the required registration form to us.
AER stands for Annual Equivalent Rate and shows what the interest rate would be when interest is paid and added to the capital balance each year.