Bank offers competitive 4.40% interest rate on fixed savings account

We use your sign-up to provide content in ways you’ve consented to and to improve our understanding of you. This may include adverts from us and 3rd parties based on our understanding. You can unsubscribe at any time. More info

With the Bank of England Base Rate now sitting at a 14-year high of four percent, high street banks and building societies have been boosting rates across their own savings products, offering savers much higher returns. Gatehouse Bank has increased rates on their savings products giving savers up to 4.40 percent on their fixed-term savings.

Fixed-rate accounts help add another level of certainty to savings, as these accounts enable savers to secure an interest rate for a set length of time.

This means the bank or building society cannot change the interest rate during the term of the bond, which may work well for account holders who can afford to invest long-term, without needing to dip into savings.

Gatehouse Bank’s Two Year Fixed Term Woodland Saver is currently offering an expected profit rate of 4.40 percent. This is an increase from 4.30 percent.

For every Fixed Term Deposit or Fixed Term Cash ISA account someone opens or renews, the bank will plant a tree in a certified UK woodland project on their behalf.

The minimum balance of the account is £1,000.

After the two-year fixed term, if there was a balance of £1,000 the interest earned would be £89.94.

The total balance would therefore be £1,089.94.

Customers are not allowed to withdraw funds from their account before the maturity date other than in exceptional circumstances.

Don’t miss…
Martin Lewis points out pension change which Hunt ‘didn’t say’ [INSIGHT]
Over two million carers missing out on savings up to £2,262 each year [LATEST]
Lloyds Bank issues warning on fraud tactic losing grandparents £1,610 [WARNING]

Accounts will mature two years from the date of opening the account.

The maximum deposit is £1million.

The Bank has also announced competitive rate increases across the rest of the product range.

The biggest increase in Expected Profit Rate applies to Gatehouse Bank’s one-year Woodland Saver account, which has risen by 0.25 percentage points to 4.35 percentage points.

Product – Old rate (percent) – New rate (percent)

  • One Year Fixed Term Woodland Saver – 4.10 –  4.35
  • 18 Month Fixed Term Woodland Saver – 4.15 – 4.37
  • Two Year Fixed Term Woodland Saver – 4.30 – 4.40
  • Three Year Fixed Term Woodland Saver – 4.35 – 4.40
  • Four Year Fixed Term Woodland Saver – 4.35 – 4.40
  • Five Year Fixed Term Woodland Saver – 4.35 – 4.40

Product – Old Rate (percent) – New Rate (percent)

  • One Year Woodland Saver Cash ISA – 3.95 – 4.10
  • 18 Month Woodland Saver Cash ISA – 4.00 – 4.15
  • Two Year Woodland ISA – 4.10 – 4.20

Easy Access rate changes
Further rate increases have been announced on Gatehouse Bank’s Easy Access savings account and Easy Access Cash ISA, which now offer an Expected Profit Rate of 3.20 percent and 3.15 percent, respectively.

Both products allow deposits and withdrawals at any time and can be opened with a minimum of £1.

Product – Old Rate (percent) – New Rate (percent)

  • Easy Access Account – 3.05 – 3.20
  • Easy Access Cash ISA – 3.05 – 3.15

Ravi Kumar, Senior Product Manager at Gatehouse Bank said: “We’re pleased to be supporting savers by increasing rates across several of our savings products for the second time this month.

“With many continuing to feel the pinch caused by the cost-of-living crisis, we remain committed to providing our customers with the best possible returns on their savings and helping them drive their financial goals forward.”

Source: Read Full Article