New Alliance & Leicester savings account
Thursday, 31 Jan 2008 14:27
Alliance & Leicester is to offer a new one-year fixed-rate savings account at eight per cent gross (5.15 per cent AER).
The account is open to those investing in the Balanced Savings & Investment Plan and comprises of a one-year fixed-rate savings account from Alliance & Leicester and a portfolio bond from Legal & General.
The savings account offers a guaranteed return, while the portfolio bond aims to provide higher returns over the medium to long term – but is not guaranteed – so investors may get back less than they put in.
Ewan Edwards, head of savings & investments at Alliance & Leicester, said: "This plan balances the need for a safe haven for short-term savings, while giving the opportunity to invest over the longer term for potentially higher returns than from a typical deposit account.
"The Balanced Savings & Investment plan suits those who are looking to make their money work harder, but still like the security of keeping some of their money in cash."
The savings account has a minimum deposit of £1,000, while the portfolio bond is open from £5,000 – with surrender charges in the first five years.