NS&I will no longer allow early withdrawal on new bonds

ColdIron

• New issues of the 1-year and 3-year Guaranteed Growth and Income bonds will have revised terms and conditions from May 2019.
• If you invest from this date onwards, you’ll benefit from a 30-day cooling off period at the start of the investment should you change you mind.
• However, you will no longer be allowed to withdraw your cash before the end of the term.
• Previously, if customers wanted to withdraw cash before the term ended they faced a 90-day penalty on the amount they took out and were also required to keep a balance of at least £500 on the money invested
• NS&I said this type of early access is unusual for fixed term products, and so the change will align the bonds with the rest of the industry.

https://www.which.co.uk/news/2019/03/nsi-announces-major-shake-up-to-its-guaranteed-growth-and-income-bonds/

Reed_Richards

Perhaps the government is worried that everyone will be rushing for the door soon?

Paul_DNAP

They will need to match the tightened terms with an attractive interest rate.