Abbey 4.01% Fixed Rate for 2 years

Abdab

Launching 20th Feb

Fixed Rate 4.01% for 2 years - (No "investment"/current account/other type of account needed)

Minimum Opening Deposit £30,000+ (Max £2,000,000)

Money has to be new to Santander UK Banks (Abbey/BB/A&L)

Limited offer

gozomark

Anglo Irish are only offering 2.4% - Abbey must be in trouble





this is a tongue in cheek riposte to all the posts of

a. why is X bank offering so low returns, we are being ripped off
b. why is Y offering such high returns - they must be in trouble

soulsaver

Abdab wrote: »

Launching 20th Feb

Fixed Rate 4.01% for 2 years - (No "investment"/current account/other type of account needed)

Minimum Opening Deposit £30,000+ (Max £2,000,000)

Money has to be new to Santander UK Banks (Abbey/BB/A&L)

Limited offer

It's not on Abbey site that I can see. Got a link plse?

G_M

Is the £ tied in for the term, or accessible with/without penalty?
Cheers

opinions4u

gozomark wrote: »

Anglo Irish are only offering 2.4% - Abbey must be in trouble

this is a tongue in cheek riposte to all the posts of

a. why is X bank offering so low returns, we are being ripped off
b. why is Y offering such high returns - they must be in trouble

Like it.

Very often this sort of account is offered to:

1) Retain funds from savers who moved to a provider for a high rate that is now maturing
2) To bridge a short term funding gap in a way that is cheaper than the wholesale markers
3) Because the provider has got lucky with an interest rate hedging position

Santander have exposure in Latin America which is not immune to the current banking crisis.

KTF

soulsaver wrote: »

It's not on Abbey site that I can see. Got a link plse?

As its not launched till tomorrow the details will probably appear on their site then.

Edit: Slightly more details here: http://www.easier.com/view/Finance/Savings/Bonds/article-235308.html

Abbey and Alliance & Leicester new 2 year fixed rate bond
19 February 2009
Abbey and Alliance & Leicester Savings are launching a new 2 Year Fixed Rate Bond with a great interest rate of 4.01% fixed gross pa/AER - the best rate available in the market for a product of this type.

This new Fixed Rate Bond will be available from all Abbey and Alliance & Leicester branches, for balances of between £30,000 and £2,000,000. This is a limited offer and will only be available whilst funds last.

Reza Attar-Zadeh, Director of Savings & Investments at Abbey and Alliance & Leicester commented: "This is a limited opportunity for customers to get the best fixed rate in the market - offering a guaranteed return for two years, four times higher than current base rate. The account also offers the option of monthly interest for those looking for a regular income, with the confidence that their savings are safely held with one of the world's largest banks."

The features of the account include:

4.01% gross AER - 3.94% monthly rate also available
Minimum investment £30,000, with a maximum of £2,000,000
Available to all customers depositing additional funds to the Santander Group (Alliance & Leicester, Abbey or Bradford & Bingley)
Access during fixed term allowed, subject to an early closure charge
Interest payable annually, or monthly.

Edit 2: Looks like A&L might be offering the same product as well: http://www.money.co.uk/savings-accounts/savings-account-details/Alliance-and-Leicester/2-Year-Fixed-Rate-Bond.htm

soulsaver

They may have exposure to Spain, too.

soulsaver

KTF wrote: »

As its not launched till tomorrow the details will probably appear on their site then.

The OP got it from somewhere? You think he is Abbey insider?;)

gozomark

soulsaver wrote: »

The OP got it from somewhere? You think he is Abbey insider?;)

what, a first time poster with a name like Abdab - surely not :rotfl:

opinions4u

soulsaver wrote: »

They may have exposure to Spain, too.

Surely not?

You mean their name and the northern port of Santander aren't merely coincidence? :T

SpinnerB

I am happy with my investec high 5 which stops me having to shop around for the latest best account fixed for x years...

pm for referal details please if you are lazy like me