New Stepped Rate Bond from Nationwide

5 November 2009
Nationwide Building Society has announced details of its new four year Stepped Rate Bond, which will be available from Friday 6 November 2009.

The Stepped Rate Bond offers fixed annual or monthly interest options. The annual option pays:

3.75% gross p.a./AER in year one;
4.25% gross p.a. /AER in year two;
4.75% gross p.a./AER in year three;
5.25% gross p.a./AER in year four.

Andy Hutchinson, Nationwide's head of savings, said: "Our new four year Stepped Rate Bond is good news for people who not only want a guaranteed rate of interest, but who also want a rate that increases year after year.

"In this low interest rate environment, it's important to us that we aim to offer savers good value products that last for the long term and our new Stepped Rate Bond is just one example."

The current three year Stepped Rate Bond will be withdrawn from sale at the close of business on Thursday 5 November 2009.

All other Fixed Rate Bonds, e-Bonds and Fixed Rate ISA Bonds remain unchanged and continue to be available. The variable rate one year Tracker Bond continues to be available and is guaranteed to beat the Bank of England Base Rate by 2.05% - 2.30% depending on account balance.