Ford Money has increased the interest rate on its One Year Fixed saver to offer customers the most “competitive account possible”.
With an Annual Equivalent Rate (AER) of 6.05 percent, the account is now taking a more prominent position in the leaderboard paying some of the highest returns in savings the market.
Commenting on the new deal, Ford Money said: “We have taken this action as part of our routine practice of regularly reviewing our product portfolio and positioning within the wider savings market, as well as our current deposit-taking needs.
“All changes at Ford Money are made to ensure we’re offering customers the most appropriate and competitive accounts possible at any given time in the market.”
The new interest rates became effective on Wednesday, September 13, and apply to new and existing customers.
Ford Money Fixed Saver One Year – 6.05 percent
Ford Money’s Fixed Saver One is now offering an AER of 6.05 percent, up from 5.95 percent.
Fixed savings accounts work well for long-term savers as these enable the interest rate to be locked in at the time of opening. These accounts also typically offer some of the highest rates on the market, however, they can come with a few more restrictions, such as higher opening deposit requirements and limits on withdrawals.
The account can be opened online with a minimum deposit of £500 and up to £2million can be invested overall.
Interest is calculated daily and can be paid monthly or annually, linked to the anniversary of the initial deposit.
Savers must be aged 16 or over and accounts can be held solely or jointly. However, withdrawals are not permitted throughout the duration of the term.
While Ford Money may be offering a more competitive rate for one-year savers, it still isn’t taking the top spot. The highest rate currently available comes from NS&I’s Guaranteed Growth Bond (Issue 72) with an AER of 6.2 percent.
The account can be opened with a minimum deposit of £500 and up to £1million can be invested overall. Interest can be paid monthly or annually and withdrawals are not permitted until the end of the term.
The Union Bank of India (UK) falls just behind with its Fixed Rate Deposit paying an AER of 6.11 percent.
The account can be opened with a minimum deposit of £1,000 and interest is calculated daily and paid annually.
Savers must be aged 18 or over to apply and similar to the other accounts, withdrawals are not permitted until the account matures.
