Shawbrook Bank launches 'gap-bridging' fixed-rate bonds
Tuesday, 10 January 2012 10:09
Shawbrook Bank has announced the launch of two new products that could help savers who have found traditional bonds unsuitable.
The financial services provider is to offer customers the opportunity to take out fixed-rate bonds that last for 18 months or 30 months, rather than the two or three years typical from other banks.
For the 18-month product, the interest rate is 3.9 per cent gross/AER and the investment range is between £5,000 and £500,000.
The depositable amount for the 30-month bond is the same, but the interest rate is 4.35 per cent gross/AER.
Chief executive of Shawbrook Bank Owen Woodley said he had been aware that traditional bonds were too restrictive for some savers.
"We're giving our customers the opportunity to choose products that suit their personal circumstances more closely," he added.
Shawbrook has just withdrawn its 2 Year Fixed Rate Bond from the market. The bond has been very popular, and it is now fully subscribed. Any customers who submitted an application for the 2 Year Fixed Rate Bond before midday today, Monday 9th January, will still be able to open an account.
Established in October 2011, Shawbrook is a traditional savings and lending bank that offers products to individuals, small and medium-sized businesses and charities.
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