Eligible individuals might snag a solid 5.15% savings on NS&I's fixed bonds.
National Savings and Investments (NS&I) has announced a one-year fixed deposit offer with a yield of 5.15%, effective from September 12, 2025. This rate makes it the highest current fixed deposit yield in the market.
Approximately 225,000 people purchased the 6.2% saver from NS&I last summer. Current customers who have a maturing Guaranteed Growth Bond or Guaranteed Income Bond may be eligible for this new offer.
The 5.15% rate is applicable only for customers who fix their savings for one year. For a basic-rate taxpayer saving £50,000, they would earn £715 in interest after one year. Higher-rate taxpayers saving the same amount would earn £1,024 in interest, and those saving £20,000 would earn £818 in interest after one year.
Interest earned with NS&I savings is backed by the Treasury, unlike a usual savings account where only £85,000 is protected by the Financial Services Compensation Scheme (FSCS).
Customers have a 30-day window to decide whether to enroll again and earn the 5.15% rate or withdraw their funds. If they choose to continue, they will receive a reminder 40 days before their bond matures.
For customers fixing for a longer term, the rates are 4.6% AER for two years, 3.35% AER for three years, and 4.1% AER for five years.
Other top one-year fixed savers on the market include Ford Money, Habib Bank Zurich, and Close Brothers, all offering 5% AER. However, NS&I's 5.15% 'off sale' rate is the best fixed savings return currently available and the only one-year fixed bond above the current 5% base rate.
The Guaranteed Growth Bond pays interest annually, while the Guaranteed Income Bond pays interest monthly.
Customers who purchased NS&I's 6.2% one-year bond last summer may be eligible for the current offer, as the product went on sale on August 16, 2023, and should be maturing now.
In conclusion, NS&I's new one-year fixed deposit offer of 5.15% is a significant opportunity for savers looking to maximise their returns. With interest backed by the Treasury and a competitive rate, it's an attractive option for those seeking a secure and high-yielding savings product.
Read also:
- Understanding Hemorrhagic Gastroenteritis: Key Facts
- Stopping Osteoporosis Treatment: Timeline Considerations
- Trump's Policies: Tariffs, AI, Surveillance, and Possible Martial Law
- Expanded Community Health Involvement by CK Birla Hospitals, Jaipur, Maintained Through Consistent Outreach Programs Across Rajasthan
