Capital Bonds

Has anyone heard of such a thing as a Capital Bond?

Can you explain what it is?

Someone mentioned them to me but I've never heard of them.

Comments

  • shopbot
    shopbot Posts: 1,022 Forumite
    Part of the Furniture 500 Posts Combo Breaker
    http://www.capitalbonds.co.uk/web/site/home/home.asp

    They are a form of gift voucher that companies often give away as incentives for staff. You can use them in HMV, Boots, Argos and Debenhams to name a few.
  • or is it this one , from national savings website


    "
    At a glance
    Fixed rates that rise over five years
    Our Capital Bonds are an easy way to get a guaranteed return on your money over five years. Simply invest an amount that suits you and you'll earn interest at fixed rates that rise each year.

    Why choose this product? If you want guaranteed rates of interest so you know exactly how much you’ll get at the end
    Who can invest? Anyone aged 7 or over; can also be bought on behalf of under 7s
    Minimum purchase £100
    Maximum £1 million in total
    Investment term 5 years
    Interest rates Guaranteed rates that rise over five years
    Tax status Taxable, paid gross
    "

    http://www.nsandi.com/products/cb/index.jsp
  • dunstonh
    dunstonh Posts: 119,090 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    As you can see Capital bond can be a marketing name used by a number of providers for different things. I believe there are a couple more examples that could be given by different providers.

    Each case means something different and could range from a deposit based bond, life fund investment bond, guaranteed equity bond, NS&I and vouchers ;)
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
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