Having a fixed saving account is a great option for you if you are saving for a big purchase like a house deposit. With a fixed term you will choose the length, common ones include 1 to 5 years, this is the time you won’t be able to have access to your money. From setting up the account you will need to deposit the overall sum and then won’t be able to withdraw or deposit anymore until the end of the term.

The longer term you choose you will often have a higher interest rate, you should assess when you will need to withdraw your money so you know which term to choose. If you do request to withdraw money you may be charged.

The interest rate will be fixed for the length of your term so the bank cannot change this whether the base rate goes up or down.

If Fixed term doesn’t sound right for you check out the other types of savings accounts.

 

Compare Fixed term Savings Accounts

Natwest

  • Interest will paid each month, this can go into your fixed term account or into a sperate nominated account which also must be with Natwest.
  • You can deposit a maximum of £5000 into this account. This account will activate from a deposit of just £1. You can open this account as a new Natwest customer but will have to do so online before setting up the app. 
  • For a 1 year fixed term the interest rate will be 4.45% AER.
  • For a 2 year fixed term the interest rate will be 4.10% AER.
  • When your term ends they will notify you so you can decide to lock in a new term at a competitive rate or to withdraw the money. 

 

Lloyds

  • You can earn 4.40% AER for a 1 year term and 4.05% for 2 years which will be paid at the end of each year.
  • There is a minimum deposit amount of £2000.
  • If you are already a customer of Lloyds you can earn an extra 0.10% for 1 year and 0.05% AER for a two year term.
  • You can only have one 1 year term account however you can have five 2 year accounts making it simple to save for separate goals.

 

Halifax

  • To open this fixed saver account you will need a minimum of £500. You will have 10 days from opening the account to make your deposits, once the 10 days is over the account will be locked to earn interest for the chosen term.
  • For 1 year fixed term you can earn 4.40% and 4.05% for a two year term.
  • For a 5 year term you can earn 3.80%.
  • Choose to have you interest paid annually or monthly.

 

Barclays

  • Deposit a minimum of £500 for a term of around.
  • For a 1 year term you will earn 4.45% and will not be able withdraw any money.
  • For a 2 year term you will earn 4.15% with the ability to withdraw from the account 3 times up to the amount of 10% of the balance. This account has a minimum deposit of £1.
  • Barclays savers accounts are great for those trying to save a large amount as you can deposit up to £1000.