Capital Bonds

The National Savings Capital Bond promises a set rate of interest over five years.

Each year the interest is re-invested, so the investment puts on weight, growing steadily each year, over the investment period. Your capital is 100% safe, you know exactly how much you will receive after the term and interest is paid without deduction of tax (so non-taxpayers don't have to claim the tax back).

The amount invested can be as little as £100, up to a total holding of £1million.

 

In order to get the full interest rate on your certificates, you need to be sure you can tie up your money for the full term. You can cash them in early or part of the holding (provided £100 remains invested) however you will receive a lower rate of interest (or no interest at all if this is within the first year).

Below are links relating to Capital Bonds:

Investments.co.uk is the definitive guide to making the most of your money. You can also visit us at www.pensions.co.uk to help you plan a financially secure retirement.

 

UK Investments - Financial, Property & Other Investments - 1998-2008

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