Newcastle Building Society launches new bond

Money News

www.moneynews.co.uk > General finance > Newcastle Building Society launches new bond

Topics

bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet

Features

bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet

Companies

bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet

Money News

bullet
bullet
bullet
bullet
bullet

Newcastle Building Society launches new bond

A new seven per cent fixed-rate option bond has been launched by Newcastle Building Society.

The 26-month bond, which matures on August 13 2010, requires a minimum investment of £500 and a maximum of £1,000,000.

Steve Urwin, senior marketing executive, said the seven per cent rate was "market leading", adding that the bond was a "great opportunity" for customers who did not need to access their funds immediately.

A Daily Mail article recently reported that hundreds of thousands of investors were suffering bad returns on money in with-profit bonds from insurance companies.

Such bonds can reportedly pay back as little as 1.25 per cent a year, despite keeping hold of the money for ten years.

Despite stock markets being up more than 40 per cent since 2003, some savers could still lose 20 per cent of their savings if they sell their bonds.

According to the report, a £10,000 ten-year investment in an untouched Prudential bond is now worth £17,361, or 5.65 per cent a year, while National Provident Life would net just £11,297, or 1.25 per cent a year.
ADNFCR-323-ID-18648912-ADNFCR

Related News : General finance

bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet

Related News : Prudential

bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet
bullet