4 Year Income Bond (Issue 16)Rates correct as at 24 NOV 2016
Looking for a fixed rate investment that will pay interest on a monthly basis? The 4 Year Income Bond (Issue 16) from Leeds Building Society could be just what you need!
|Account Name||4 Year Income Bond (Issue 16)|
|What is the interest rate?||Monthly Interest
1.30% Gross‡ p.a. / 1.31% AER† fixed until 03 Jan 2021
If the balance falls below £100, the basic investment rate of interest which is currently 0.05% Gross‡p.a./AER† (variable) shall apply.
Interest is calculated daily and paid monthly on the last working day of the month commencing 30 Dec 2016 and on maturity (03 Jan 2021).
Interest must be transferred to either another building society/bank account or to another account held with the Society.
|Can Leeds Building society change the interest rate?||No – the rate of interest won’t change during the fixed rate period subject to the minimum balance of £100 being maintained. Please see condition 3.1 of the Product Terms and Conditions for further information.|
|What would the estimated balance be after 12 months based on a £1000 deposit?||Assuming that £1,000 is deposited into the account at the time it is opened and no deposits or withdrawals are made then based on an interest rate of 1.30% you will receive a monthly interest payment of £1.08 on the last working day of each month. As per the terms and conditions of the product, the monthly interest payment of £1.08 must be paid away and cannot be paid into the account therefore the overall account balance at the end of the term will be £1,000.
This projection is provided for illustrative purposes only and will depend on the individual circumstances of each customer.
|How do I open and manage my account?||The account is available to individuals aged 18 or over who are resident in the UK.
The account can be opened through any of our branches, via our website or by post.
Minimum investment and operating balance: £100.
Maximum investment: £1,000,000 (£2,000,000 for joint accounts) plus accrued interest credited to the account.
Instructions regarding the operation of the account can be provided in branch, in writing by post or by telephone (although we may request that telephone instructions are also provided in writing).
|Can I withdraw money?||No withdrawals are permitted until the day after maturity (04 Jan 2021).
The account will mature at midnight on 03 Jan 2021. On the day after maturity (04 Jan 2021), your funds (including interest) will be transferred to an instant access maturity account. Full details including terms and conditions will be provided before maturity.
|Additional Information||Interest is paid gross, without the deduction of income tax. Payment of gross interest does not mean that interest you receive is exempt from tax. The tax treatment depends on the individual circumstances of each customer and may be subject to change in the future. It is your responsibility to seek independent tax advice.
The account is limited issue. Once the account is open, you can make deposits up to and including 31 January 2017. After this date the account may be closed for further deposits at any time and without notice.
The above provides a summary of the account only. Please make sure you read the full product terms and conditions so you fully understand how the account operates before you apply.
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