Back to June 2019

Leeds Building Society launches unique 10 year income bond

Leeds Building Society has added a unique 10 year income bond to its range of savings products, providing an opportunity for investors seeking a monthly return.

The new product is available with a rate of 2.50% - above current inflation rate of 2.1% and above Bank of England’s 2% target.

Leeds Building Society’s new income bond complements the Society’s existing four year version paying 1.85%.

Matt Bartle, Director of Products at Leeds Building Society, said: “We know from experience that long term savings products have proved popular with our members and the market as a whole. Our members have also told us that they are looking to boost their monthly income through their savings.

“As a result we have launched the market’s only 10 year income bond to meet the needs of those savers keen to plan for the longer term and generate regular income from their nest egg.

“This product complements our existing four year income bond and is designed for savers who don’t expect to need access and prefer regular interest payments to help them budget and manage their money.”

The 10 year income bond has a minimum opening balance of £10,000 and the income generated will be paid to an account nominated by the saver. No withdrawals are permitted during the term.

Ends

Notes to Editors

Leeds Building Society was named Best Building Society Savings Provider in the Moneyfacts Awards for 2018, having also won this title in 2016 and 2017. It was also awarded a Gold Ribbon for customer experience from Fairer Finance for its savings accounts.

Leeds Building Society operates throughout the UK and in Gibraltar and has assets of £19.4bn at 31 December 2018 (£18.5bn at 31 December 2017). The Society’s head office has been based in the centre of Leeds since 1886.

Key features

10 Year No Access Income Bond (Issue 3)

  • 2.50% gross p.a./2.53% AER fixed until 31 July 2029
  • Minimum investment £10,000
  • Maximum investment is £1,000,000 (2,000,000 for joint account holders)
  • Interest is calculated and paid on the last working day of the month commencing on 28 June 2019
  • Interest can transferred to another account internally or externally
  • No withdrawals permitted until 1 August 2029
  • Can be opened in branch or by phone

Four Year Income Bond (Issue 43)

  • 1.85% gross p.a./1.87% AER fixed until 31 July 2023
  • Minimum investment £100
  • Maximum investment is £1,000,000 (2,000,000 for joint account holders)
  • Interest is calculated and paid on the last working day of the month commencing on 28 June 2019
  • Interest can transferred to another account internally or externally
  • No withdrawals permitted until 1 August 2023
  • Can be opened in branch or by phone