Co-op/Britannia Three New Fixed Rate Bonds

talexuser

Thanks, so the 3 year Britannia 3% works out slightly higher if compounded compared to the Co-Op. An extra £3 approx per £1000 at the end of term?

ScarletBea

I don't want to fix at 3 years at 3%, I believe that rates will increase before then...
I've got a bond finishing this month, but I think I'll just keep it in my instant savings account which pays 2.8% until September... and then fingers crossed there will be better options.

Sceptic001

talexuser wrote: »

Thanks, so the 3 year Britannia 3% works out slightly higher if compounded compared to the Co-Op. An extra £3 approx per £1000 at the end of term?

No, both accounts are 3% AER (annual equivalent rate). So both pay exactly the same at the end of three years. The only difference is that Britannia credit the interest annually whereas Co-op credit it in a lump at the end of the term. This may affect your tax liability if you are on the edge of a threshold, otherwise it makes no difference to the overall return.

Sceptic001

ScarletBea wrote: »

I don't want to fix at 3 years at 3%, I believe that rates will increase before then...
I've got a bond finishing this month, but I think I'll just keep it in my instant savings account which pays 2.8% until September... and then fingers crossed there will be better options.

Yes, I thought exactly the same three years ago when I reluctantly signed up for a 3-year fixed at 4%.

Andystriker

ScarletBea wrote: »

I don't want to fix at 3 years at 3%, I believe that rates will increase before then...
I've got a bond finishing this month, but I think I'll just keep it in my instant savings account which pays 2.8% until September... and then fingers crossed there will be better options.

I would not hold your breath.

I was advised by many on this forum to not fix at 5%Gross for 5 years just over 3 years ago. I'm glad I did now.

Froglet

Anyone still thinking about applying for the 3 year bond.You can't! it has been withdrawn.I am almost certain that in 3 years time interest rates will be even worse than now.

Glad i got this one in just in time.

alanq

1 and 2 year options still available.

The 3 year offer lasted a couple of weeks more than I thought it would given that it was so much better than the competition at the time. I shot into Britannia branch the day after I became aware of it so as not to be caught out.

alanq

1 and 2 year bonds also now withdrawn.

"New bonds launching soon! We're launching our new range of bonds soon. Please check back in the next few days. Our latest bond release was incredibly popular."
http://www.britannia.co.uk/_site/channels/savings/savings-bonds/index.html

Froglet

Oooh do you think i could have a punt on them being about 0.5% less than the last lot!! It really does pay to grab while you can.I didn't even think there would be a 3% fix,let alone a monthly option so i am relieved for now.

Just the Isas to move/invest in come April then.

tillycat123

Can anyone confirm for sure the last date they will accept cheques in for the 3 year bond, I applied online a couple of weeks ago but not yet sent the money off.
I've just called and the lady thought it was the 20th March but did not sound convincing.
Just wondered if anyone else could confirm.

Thanks