2-Year Guaranteed Investment Bond

We can’t advise whether a fixed-rate savings product is right for you, but we can provide details of our products and some key considerations. When deciding if a fixed-rate savings product is suitable for you, it’s important to match the term length to your financial goals.

Our 2, 3, and 5-Year Guaranteed Investment Bonds offer varying levels of commitment, allowing you to choose a term that fits your personal situation whether that’s for the shorter-medium term, like saving for home improvements, or longer-term goals such as building a nest egg for your future.  

While longer-term bonds offer the certainty of guaranteed returns, it’s important to consider that inflation over time could reduce the real value of those returns, and that your money is typically locked in for the full term, with early withdrawal resulting in significantly lower returns.

If you’re looking for independent financial advice you can find a financial adviser on unbiased.co.uk, but it may come with a fee.

The product is designed to run until maturity. However, if you do need to access your money unexpectedly you can withdraw it at any time during the two years without penalty, but you would only receive a small amount of growth. Please refer to our product Terms and Conditions for full details.

You cannot hold a bond jointly, but you do have the option to add a 2nd Life to the Bond. This means that in the event of your death, the Bond will automatically transfer to the nominated adult.  

Please also note the following for adding a 2nd life to the bond:

• Both the investor and the nominated 2nd Life must be 18 years+.
• If you wish to add a second person to your Guaranteed Investment Bond, you will need to provide their details during the application process. 
• It is not possible to add a 2nd Life after the application has been processed.

The growth on your investment is added to your investment after the fixed term is completed. On opening your Guaranteed Investment Bond, you will be issued with a ‘Certificate of Investment’. This serves as proof of your investment and will include details including investment amount, interest rate and maturity date. This can be useful for your tax reporting and financial planning. Please contact our customer service if you need a new copy.

There are no direct account or management fees on our fixed-rate bonds, however if you withdraw before the end of your fixed term, an early withdrawal interest penalty will apply. The capital (original investment) would not be reduced, but you would receive less interest than the agreed fixed rate.