Features and benefits

Rates and information

Fixed Rate Bonds interest rates and account information

Please make sure that you have read and understand this important information before applying for this account.

Interest rates

Interest rates
Term Interest payment Balance AER % AER % (includes bonus) Gross % (p.a.) Net % (p.a.)
6 Month Fixed Rate Bond Annual interest £1 - £5,000,000 1.10% n/a 1.10% 0.88%
6 Month Fixed Rate Bond Monthly interest £1 - £5,000,000 1.06% n/a 1.05% 0.84%
1 Year Fixed Rate Bond Annual interest £1 - £5,000,000 1.40% n/a 1.40% 1.12%
1 Year Fixed Rate Bond Monthly interest £1 - £5,000,000 1.36% n/a 1.35% 1.08%
2 Year Fixed Rate Bond Annual interest £1 - £5,000,000 1.70% n/a 1.70% 1.36%
2 Year Fixed Rate Bond Monthly interest £1 - £5,000,000 1.66% n/a 1.65% 1.32%
3 Year Fixed Rate Bond Annual interest £1 - £5,000,000 1.90% n/a 1.90% 1.52%
3 Year Fixed Rate Bond Monthly interest £1 - £5,000,000 1.87% n/a 1.85% 1.48%
4 Year Fixed Rate Bond Annual interest £1 - £5,000,000 2.10% n/a 2.10% 1.68%
4 Year Fixed Rate Bond Monthly interest £1 - £5,000,000 2.07% n/a 2.05% 1.64%

Rates are fixed.
The rates and terms offered are only available for limited periods and may be withdrawn without notice.

Summary box

Summary box
Key product information for our Fixed Rate Bonds
Account Name Fixed Rate Bonds
Interest Rates (AERs) See the 'Interest rates' table above
Tax Status

Interest is paid net of basic rate tax, depending on your status*.

Conditions for bonus payment

n/a

Withdrawal arrangements Part withdrawals are not allowed. Early closure will result in a loss of interest. If there is insufficient earned interest, then the amount of the early access charge will be taken from the funds in the account.
Access

Branch

* For annual interest accounts interest is calculated daily and paid annually or on maturity. For monthly interest accounts interest is calculated daily and paid monthly and on maturity.

Opening your account

Opening your account
Minimum & maximum balances
  • £1 minimum opening balance
  • £1 minimum operating balance
  • £5,000,000 maximum balance
How to open Open in any Nationwide branch.
Maximum number of savings account holders 2
Minimum age 7

Managing your money

Managing your money
Paying in No further deposits can be made after opening. However you can open additional bonds.
Taking money out Part withdrawals are not allowed. Early closure will result in a loss of interest. If there is insufficient earned interest, then the amount of the early access charge will be taken from the funds in the account.
Keeping track of your money We'll send you a certificate within a few days of opening your account. You can also check your account online or at your local branch.
Interest Annual interest accounts:
Interest is calculated daily and paid annually or on maturity. Interest can be added to your bond, paid into your current account or another Nationwide savings account (excluding Regular Savings and Flexclusive Regular Saver).

Monthly interest accounts:
Interest is calculated daily and paid monthly and on maturity. Interest can be paid into your current account or another Nationwide savings account (excluding Regular Savings and Flexclusive Regular Saver). It is not possible to have monthly interest credited to the bond.

Terms and conditions

In addition to the general conditions, the following conditions apply to Bonds (except e-Bond, Tracker e-Bond and Stepped Rate e-Bond). If there is a conflict between the general conditions and these Bonds conditions, the Bonds conditions will take priority. Please see additional sections for conditions specific to each account.

Please also refer to the information you were given when you opened the account which contains the term of the account, the interest rate and when interest is paid to you.

  1. Fixed Rate Bond, Stepped Rate Bond, and Tracker Bond are only available to people aged seven and over.
  2. The account can have a maximum of two joint account holders.
  3. The maximum balance in the account is £5 million.
  4. You may hold more than one account as long as the total balance does not exceed £5 million
  5. The account can only be held in your own name. For children aged under seven, the account should be held in trust.
  6. The account is for a fixed term which will start on the day the account is opened and end on the expiry of the period set out in the information you were given when you opened the account
  7. We may from time to time issue other fixed rate or fixed term accounts at different interest rates or terms without offering you the opportunity to transfer your deposit to the new account free of these conditions.
  8. Additional deposits into the account after the initial deposit are not permitted.

Interest

  1. Annual interest can be paid into the account or paid directly to a Nationwide savings account (except Regular Savings), or current account with us or any other provider. Monthly interest can only be paid directly into a Nationwide savings account (except Regular Savings) or current account with us or any other provider. Interest paid on maturity will be added to the balance in the account.
  2. If you choose annual interest the date of payment of that interest is specific to each bond issue. Please refer to the information you were given when you opened the account or ask in a branch.
  3. If you choose monthly interest, it will be paid on the last day of each calendar month and on maturity.
  4. Where interest is paid monthly for a fixed period of time, the last monthly interest payment will be added to the account and not paid to any other account you have nominated to receive interest payments.

Statements

  1. A statement will be sent to you annually if interest has been credited to the account.

Taking money out

  1. Part withdrawals are not permitted during the term of the account.
  2. On maturity, the balance in the account together with interest will automatically transfer into a savings maturity account, from which you will have instant access to remove your funds. We will contact you with more information before your Bond matures. Alternatively you may choose to transfer your balance to another Nationwide account, in either your or a third party's name(s).
  3. If you request to close your account, the whole deposit up to £500,000 may be withdrawn immediately by cheque. Larger amounts may be withdrawn by cheque within several days after making an arrangement with any local branch.
  4. Withdrawals in cash are not permitted.

Tracker Bond

  1. The minimum initial deposit is £100.
  2. The account may be closed at any time subject to 90 days' notice or the loss of 90 days' interest.
  3. The account is for a fixed term starting on the date the account is opened.
  4. The interest rate will track the Bank of England base rate and any changes will take effect within one month of the base rate change.

Fixed Rate Bond and Stepped Rate Bond

  1. The minimum initial deposits are as follows:
    1. For Fixed Rate Bond the minimum initial deposit is £1.
    2. For Stepped Rate Bond the minimum initial deposit is £5,000.
  2. The account can be closed prior to maturity, subject to the following early access charge (these charges will not apply on closure due to the death of the account holder).
Terms and conditions
Terms 1 year or less 2 years 3 years 4 years 5 years
Early access charge 90 days 180 days 270 days 320 days 365 days
  1. If the term includes part of a year your early access charge will be calculated based on the next whole year e.g. 18 month term = the 2 year early access charge.
  2. The amount of early access charge will depend on the term of the bond and will be equivalent to the number of days’ interest at the prevailing rate as detailed in the table above. If there is insufficient earned interest, then the amount of the early access charge will be taken from the funds in the account. The funds in the account, together with any interest earned and less the early access charge, will be paid to you.

Ready to open a Fixed Rate Bond?

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Jargon explained

AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year.
AER includes conditional bonus (if applicable)
The gross rate of interest is the interest rate payable before any income tax is deducted (if you do pay tax).
The net rate of interest is the interest payable after any income tax is deducted (if you do pay tax).
Tax-free is the contractual rate of interest payable where interest is exempt from income tax.
The tax information provided is based on our current understanding of current law and HM Revenue & Customs practice which can change.

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