Fixed Term Deposits

Features & Benefits

• Choose from a variety of terms (1, 3, 6, 9 and 12 months).
• The minimum balance is £10,000.  No maximum to the amount you can save.
• Interest rate is fixed based on the term you choose and amount of deposit.
• During the term, no further deposits or early withdrawals are allowed.
• Interest is paid gross at the end of the term (known as the ‘maturity date’). This means that we do not deduct tax from the interest earned.

 

What you need to know

• Money must be transferred from a new or an existing Bank of Ireland UK Current or Deposit Account. This is referred to as a ‘Linked Service Account’. You are not required to open or use a Business Current Account in order to have a Fixed Term Deposit.
• You will receive a statement when you open your Fixed Term Deposit and when it matures or you close it.
• We’ll let you know 14 days in advance of your account maturing. Unless you tell us otherwise, we’ll automatically renew your deposit for the same period of time as the previous fixed term.  The interest rate that will apply will be rate applicable at that time.
• After opening, if you decide you don’t want this account, you’ll have 14 days to cancel. This is known as the cooling off period.
• After the cooling off period, we may still allow you to withdraw money under exceptional circumstances. If this happens you will pay a breakage charge.
• The breakage charge reflects our costs or the difference between the original deposit rate and the higher current market rate. This is worked out as follows.
  
  Amount withdrawn × (Current market rate – Rate on the account) × remaining time on the account in days ÷ 365
  
  Here’s an example.
  Amount withdrawn is £10,000
  The current market rate is 5.25%
  Rate on the account is 3.25%
  Number of days left on the fixed term is 62
  £10,000 × (5.25-3.25) × 62 / 365 = £29.73
• If the interest you’ve earned doesn’t cover the breakage fee, you’ll pay a minimum charge of £25. This means you may get back less than you put in.
• You need to keep a minimum amount of £10,000 in the account.

 

Make the most of your business deposits

You should review your savings accounts regularly to make sure they are still right for you.

To find out about our current interest rates, please contact your local Branch or Business Team.

 

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