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5 Year Fixed Rate Bond

Why choose our 5 Year Fixed Rate Bond?Apply Now Button_orange

This account gives you the reassurance of a fixed rate of return until a fixed end date, providing peace of mind that your money will grow.

This is the ideal option if you are happy to leave your money in one place for a longer period in return for earning a guaranteed rate of interest. You can’t add to the bond after your initial investment and withdrawals can only be made after the five year fixed rate term.

This could be the account for you if you’re looking for:

  • A guaranteed fixed rate of interest for five years
  • The opportunity to open an account with £5,000 (up to a maximum of £300,000)
  • An account for a longer-term investment

Please note that the availability of all Hinckley & Rugby’s fixed rate savings accounts is limited and they may be withdrawn at any time at short notice.

To view the Society’s identification requirements for new customers, please click here

With effect from 3 August 2020

Summary box
Key product information for this account. For your own benefit and protection, you should carefully read the Savings Account Terms and Conditions booklet.
Account Name
 5 Year Fixed Rate Bond Issue 11
What is the interest rate?
 

The interest rate is fixed at 1.05% gross*/AER** for five years from the date the bond is opened.

At maturity of the fixed rate term, your account will automatically become an Easy Access Bank Base Rate Tracker and will match the Bank of England Base Rate, currently 0.10% gross*/AER**. (You will find the Bank of England Base Rate displayed on the website bankofengland.co.uk)

Interest will be paid on 1 December each year.

 
Min InvestmentAnnualMonthly
Gross AER Gross AER
£5,0001.05%p.a.1.05% - -
Can Hinckley & Rugby Building Society change the interest rate?
 

The interest rate is fixed and cannot be changed during the five year term.

What would the estimated balance be after 60 months based on a £5,000 deposit?
 

At the expiry of the fixed rate term the estimated balance, based on an initial deposit of £5,000 and with interest added annually, would be £5,268.07

Assuming that no further deposits or withdrawals are made and there is no change in the interest rate, after a further one year term, the estimated overall balance would be £5,273.34

These figures are provided for illustrative purposes only and do not take into account your individual circumstances.

How do I open and manage my account?
 

Complete the application form, including the declarations on the reverse side, and take it to one of our branches or agencies, or post it to us at the address found on the ‘apply now’ tab above, with your investment and identification (if applicable). Please make cheques payable to ‘Hinckley & Rugby Building Society a/c ‘your name’.

The minimum deposit required to open this account is £5,000 and the maximum deposit is £300,000. The overall maximum holding by any one member in respect of all savings accounts with the Society is £300,000.

Please note that you cannot add to your initial investment during the five year fixed rate term.

You can open and manage your account at any of our branches or by post.

Can I withdraw money?
 

Withdrawals are not permitted until maturity of the fixed rate term.

From maturity of the fixed rate term, when your account automatically becomes an Easy Access Bank Base Rate Tracker, further deposits and withdrawals can be made any any time without notice or penalty. The minimum withdrawal is £250 and only cheque withdrawals are allowed.

Subject to the conditions set out above, money can be paid out against a cheque from the start of the sixth business day following the day of deposit. Business day means a day other than a Saturday, Sunday or Bank Holiday. Funds are available for immediate withdrawal for all other types of deposit.

Additional information
 

Interest is paid gross without tax deducted. Since 6 April 2016, most people are no longer required to pay tax on savings income. However, it is your responsibility to pay any tax due, based on your individual circumstances. Ask for a copy of A guide to the Personal Savings Allowance produced by HM Revenue & Customs for further details.

Gross rate – the annual rate of interest to be paid on a savings account without any deduction being made in respect of personal Income Tax liability.

AER - stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and added once a year (or monthly as the case may be).

Interest is calculated on a daily basis up to and including the day before any withdrawal. For cheque receipts, interest is paid from the day after the cheque is deposited with us. For cash and automated credits, interest is paid from the day of receipt.

Each year on 1 December the interest earned will be added to your 5 Year Fixed Rate Bond. Alternatively, it can be paid to a bank or building society account, or transferred to another account with the Society.

We will write to you before the end of the five year term to advise you that your account is about to mature.  Unless we have received alternative instructions from you, after five years your 5 Year Fixed Rate Bond will automatically revert to an Easy Access Bank Base Rate Tracker.

Enquire about 5 Year Fixed Rate Bond

Thank you for your  interest in our 5 Year Fixed Rate Bond.

If you would like us to post you a brochure and application form please use the enquire button below and complete your details.

Enquire about the 5 Year Fixed Rate Bond account

Apply for a 5 Year Fixed Rate Bond

Thank you for your interest in our 5 Year Fixed Rate Bond.

To apply for this account, please complete the boxes with your name, email address and telephone number, then read the Society’s Savings Account Terms and Conditions and Interest Rates for Savers (see below) and tick the box to confirm you understand them. Please also view the Deposit Guarantee Scheme Information Leaflet and Summary Privacy Notice and tick the second box to confirm you have seen them.

Please then click ‘Submit’ to obtain an application form and the declaration for this account which you should print, complete and return to:

Savings Department
Hinckley & Rugby Building Society
Upper Bond Street
Hinckley
Leicestershire
LE10 1NZ

Please ensure you have enclosed the following with your completed application form and signed declaration:

1. New customers – a piece of documentation to prove your address or a deposit by cheque drawn on your own personal bank account.  Please note that your personal cheque does not need to be for the full amount you wish to invest in the 5 Year Fixed Rate Bond.

2. The required identification (if applicable- please click here for details

Savings Apply: 5 Year Fixed Rate Bond

Please fill out this form and tick the boxes to confirm you agree to our Savings Account Terms and Conditions, have read and understand the Interest Rates for Savers information, have viewed the Deposit Guarantee Scheme Information Leaflet and Summary Privacy Notice and click submit.

Important Information about all of our products

Savings type

This product belongs to the following type of savings:
Savings Bonds