NS&I launches new British Savings Bonds paying up to 4.6% if you lock your cash away

MSE_Emily

NS&I has refreshed its range of fixed-term 'British Savings Bonds' by adding a two-year option paying 4.6% and a five-year option paying 4.1%. Its three-year bond will also now pay newbies 4.35% (up from 4.15%). However, you can still earn more from the top-paying accounts elsewhere...

Read the full story:

NS&I launches new British Savings Bonds paying up to 4.6% if you lock your cash away – but how does it stack up?

If you haven't already, join the forum to reply.

chamelion

... get a gilt. Especially if you pay tax on interest. 

EthicsGradient

chamelion said:

... get a gilt. Especially if you pay tax on interest. 

If you don't pay tax, those yields are above what gilts give you. Savings accounts do beat these; in fact, if you're a basic rate taxpayer, I reckon a one year Union Bank of India bond (5.25%) narrowly beats the nearest gilt equivalent (TG25 0.625% coupon; matures 7/6/25): Gilt Yields (yieldgimp.com) , and Harpenden BS 2 year bond (4.96%) beats 2 year gilts, and 3 year Hodge Bank (4.72%) also beats gilts. Gilts come out best only for higher rate taxpayers.

ossie48

If you have an existing bond that's maturing, you can also choose a one-year bond paying 5.15% (this ISN'T available to newbies)

We will probably go for this. 

Browntoa

Having dealt with NSI during a probate and personally I wouldn't touch them with a bargepole again.

SeriousHoax

If you have an existing bond that's maturing, you can also choose a one-year bond paying 5.15% (this isn't available to newcomers).

I'll go for this when my bond matures next month (September), but how do I get the 5.15%?

Will i get a letter or something?

Swipe

SeriousHoax said:

If you have an existing bond that's maturing, you can also choose a one-year bond paying 5.15% (this isn't available to newcomers).

I'll go for this when my bond matures next month (September), but how do I get the 5.15%?

Will i get a letter or something?

They'll email you to ask you to log in and check your documents for the letter that will be waiting there. The default setting for a maturing bond is to auto renew so you don't even need to do anything but I'd double check to make sure the rate hasn't suddenly changed as it's not specified in the email.

SeriousHoax

Swipe said:

SeriousHoax said:

If you have an existing bond that's maturing, you can also choose a one-year bond paying 5.15% (this isn't available to newcomers).

I'll go for this when my bond matures next month (September), but how do I get the 5.15%?

Will i get a letter or something?

They'll email you to ask you to log in and check your documents for the letter that will be waiting there. The default setting for a maturing bond is to auto renew so you don't even need to do anything but I'd double check to make sure the rate hasn't suddenly changed as it's not specified in the email.

Ok thanks I'll keep my eyes open.👀

ranciduk

What do you if don’t want to auto renew and instead want all the funds to go back to your nominated account ?

mebu60

ranciduk said:

What do you if don’t want to auto renew and instead want all the funds to go back to your nominated account ?

Select that option. The auto renew is just the default if none of the others is selected. 

ranciduk

How do you select though?

when you login to your account - where do you select the option to cash out?