Business Fixed Term Deposits

Fixed terms, high return

Our Fixed Term Deposits (FTDs) give you very attractive rates of interest, offering security, commercial advantage and peace of mind.If you’re looking for competitive, fixed-term deposits for your Business or Trust account, we currently offer a range of investment terms and options.

This Information Sheet sets out the key information you need to know about your account. It should be read together with the Fixed Rate Cash ISA Terms and Conditions and forms part of our agreement with you. Please keep it for future reference.

Summary Box – Business Fixed Term Deposits Accounts:

Account Name: Fixed Term Deposit (FTD)

It is a fixed rate as shown in the table below:-

GBP Fixed Term Deposits
1 Month 0.05%
3 Month 0.10%
6 Month 0.15%
1 Year 0.50%
2 Year 0.80%
3 Year 1.35%
5 Year 1.80%
7 Year 1.85%
USD Fixed Term Deposits
1 Month 0.10%
3 Month 0.20%
6 Month 0.65%
1 Year 1.00%

Rates correct as at 14.10.2016

You can choose to have your interest paid monthly (for 1, 2, 3, 5, and 7 year FTD), annually (for 2, 3, 5, and 7 year FTD), or maturity of the deposit. Please refer to Interest Rate Sheet for Gross Rates on different interest payment options.

Interest is calculated daily and credited monthly, annually, or at maturity of the deposit depending on your selection. This cannot be amended once the selection is confirmed.

Interest will be paid out to an account nominated by you at the time of account opening. This account must be in your name.

Interest is not added to your principal amount at the selected frequency unless you have selected interest payment at maturity.

No. This account has a fixed rate of interest so the rate will not change during the term.

Below is an example of what the future balance might be after interest has been paid.

GBP Fixed Term Deposits
1 Month £2,000 0.05% £2,000.08
3 Month £2,000 0.10% £2,000.54
6 Month £2,000 0.15% £2,001.50
1 Year £2,000 0.50% £2,010.00
2 Year £2,000 0.80% £2,032.00
3 Year £2,000 1.35% £2,081.00
5 Year £2,000 1.80% £2,187.00
7 Year £2,000 1.85% £2,274.40
USD Fixed Term Deposits
1 Month £2,000 0.10% £2,000.16
3 Month £2,000 0.20% £2,000.99
6 Month £2,000 0.65% £2,006.49
1 Year £2,000 1.00% £2,020.00

Assumptions taken for above calculations;

  • Calculations based on minimum deposit of £2,000
  • No change in the amount (no deposits, no withdrawal)
  • No change to the interest rate during the fixed term
  • Interest payment on maturity assumed

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

Eligibility:To apply for our Business Fixed Term Deposit Account, you should:-

  • Require the account for business use
  • Be a Sole Trader, Company or Partnership
  • Be aged 18 or over.

Minimum/Maximum Balance:

  • The minimum balance for GBP deposits is £2,000 and for USD deposits is $25,000.
  • The maximum balance is £1,000,000.

Please contact us for interest rates for deposits above £1,000,000

How to open the account:

Please download the Application Form and either return it to:

  • In Branch
  • Via post (Central Operations, 391 – 393 Stratford Road, Birmingham, B11 4JZ)

How to manage the account:

  • In Branch
  • Via post (Central Operations, 391 – 393 Stratford Road, Birmingham, B11 4JZ)
  • Internet Banking (subject to approval)

Early withdrawal (or partial withdrawal) at Bank’s discretion only under extenuating circumstances. If early (or partial) withdrawal is allowed before the full term expires, you will face an early withdrawal charge, as given below:

1 Month 15 days gross interest
3 Month 30 days gross interest
6 Month 30 days gross interest
1 Year 90 days gross interest
2 Year 180 days gross interest
3 Year 270 days gross interest
5 Year 365 days gross interest
5 Year 730 days gross interest

The Early Withdrawal Charge will be deducted from interest that has accrued on your Account. If interest has already been paid out to your nominated account, then the Early Withdrawal Charge will be deducted from your deposit with us.

The total of the interest paid and deposit you receive back from us will be no less than your deposit at the Fixed Term Deposit start date.

There is a 14 day cooling off period for all FTDs. If you decide to cancel within the 14 days we will not deduct Early Withdrawal Charges, but you will not be entitled to interest for the number of days the deposit has been with us.

Interest will be paid using the Gross Rate and tax will not be deducted where your interest is exempt.

Gross rate means we won’t deduct tax from the interest we pay on money in your account. It’s your responsibility to pay any tax you may owe to HM Revenue & Customs (HMRC).

AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year. As every advertisement for a savings product which quotes an interest rate will include an AER, it makes it easier for you to compare what return you can expect from your savings over time.

Applications and downloads

To apply for one of our Fixed Deposit Accounts, simply download the relevant form from this page, fill it out, and return it to one of  our branches. Alternatively, you can contact our call centre at 0800 218 22 66.

Definitions:

To help you in your product selection, you may find the following definitions useful:

  • Gross interest:  the contractual rate of interest payable before the deduction of income tax at the rate specified by law.
  • AER (Annual Equivalent Rate):  the AER illustrates what the true rate of interest would be if interest was paid and compounded each year. Please note that the actual interest rate, based on the interest payment frequency you chose, will be different than the AER advertised. If interest is paid more frequently to your account, the actual rate applied would be lower.

*The figures provided by this calculator are intended to be used as a guide only and are not a precise calculation. We will confirm the actual interest amount once your deposit is placed with us