The Top Fixed Interest Savings Discussion Area

logies

As far as I know, you can only fund it when you open it but you can have multiple bonds.

ColdIron

judexx said:

Also on the NS&I 2 year Guaranteed Growth Bond - am I right in thinking with NS&I you don't have the usual 14 days to fund but have to fund when you open ? I've looked on their website but can't see anything - it's just a vague bell ringing from before

There is no funding window with GGBs now, you must deposit the money at time of opening so it's not possible to lock in a rate. No top up either you must open a new bond at the prevailing rate

I'm going to have the funds available in about 10 days time, so with rates generally going down, was looking to lock in the rate for then.

The 2, 3 and 5 year bonds (available to new and existing bond holders) were increased on 6th August and NS&I don't usually pull these very quickly so I think you'll be fine for 10 days

https://nsandi-corporate.com/news-research/news/nsi-offers-new-choices-fixed-term-savers

logies

Is it worth fixing for 2 years as opposed to 1 year fixed elsewhere....trying to work out what's best to do in terms of rates going forward.

ColdIron

logies said:

Is it worth fixing for 2 years as opposed to 1 year fixed elsewhere....trying to work out what's best to do in terms of rates going forward.

That depends upon what happens to rates over the next 2 years, it's a gamble for both parties

If rates go down faster than expected you've locked in a nice rate and the banks have to pay out more than if you had used 2 x 1 years fixes

If rates go down more slowly (or remain the same of even go up!) you're stuck with a poor rate and the banks are ordering doubles all round

For instance NS&I offer a 1 year rollover for GGBs at 5.15% and 2 years at 4.60%. That's a reduction of 0.55% for the first year. If the going rate for a 1 year fix in 1 year's time was 4.05% you come out even

No one knows for certain what will happen over 2 years so you will have to use your own judgement tempered by your own circumstances. Do you need the money in a year?

sheslookinhot

logies said:

Is it worth fixing for 2 years as opposed to 1 year fixed elsewhere....trying to work out what's best to do in terms of rates going forward.

No one knows. 

bigbars

Anyone have any recommendations word of warning or advice on maturity dates ?

I have a Secure Trust and Virgin both 1 Yr fixed rate cash ISA's maturing this weekend and next weekend, but have a YBS 1Yr cash limited access ISA maturing in November. Do many people stagger their maturity dates or organise there's to mature around April ?

Reason why I ask is I'm contemplating whether to go for new Secure Trust 1 or 2 Yr fix and Virgin 1 Yr fixes and split my Virgin (as it will breach the limit) into a TSB 18 Month fix ISA which would therefore mature Feb 2026, so if I move the other 1 Yrs to new 1 Yr products. At the time of writing that potentially would give me fixes maturing; February 2026 (TSB 18Mth Fix 4.40%) August 2026 (Virgin 1Yr Fix 4.50), September 2026 (Secure Trust 1Yr Fix 4.8%) and November 2026 (YBS 1Yr Fix 4.15%). Maybe September 2027 if I take the Secure Trust 2 Yr Fix  4.55%).
TIA

logies

Yes, I do realise no one knows!

In terms of maturity dates, I have never given it much thought but I'm sure others will have and will be able to offer helpful advice.

ColdIron

bigbars said:

Do many people stagger their maturity dates or organise there's to mature around April ?

I have 11 1 and 2 year fixes (though 3 are GGBs so really only 9) spread out across the year. It allows me to take advantage of prevailing rates and a nice injection of cash most months of the year

Had I opened them all in April last year I would have missed the large increases by the 3rd quarter last year, particularly the 6.20% GGBs

If rates remain static then nothing lost

bigbars

ColdIron said:

bigbars said:

Do many people stagger their maturity dates or organise there's to mature around April ?

I have 11 1 and 2 year fixes (though 3 are GGBs so really only 9) spread out across the year. It allows me to take advantage of prevailing rates and a nice injection of cash most months of the year

Had I opened them all in April last year I would have missed the large increases by the 3rd quarter last year, particularly the 6.20% GGBs

If rates remain static then nothing lost

That makes total sense thanks. With fluctuating rates and market uncertainty guess it affords you the ability to spread the chance of picking up rates and like you say regular cash injection.

mebu60

logies said:

Is it worth fixing for 2 years as opposed to 1 year fixed elsewhere....trying to work out what's best to do in terms of rates going forward.

Hedge your bets, half in 1 Year and half in 2 Years.