Scottish Widows 2 new Business Accounts – between 1.75% to 3% Gross Interest
Professional Contractors and Freelancers may be very interested in abusiness bank account that pays interest on your money; without havingto have large amounts deposited.
We act as introducers for Scottish Widows who are currently offeringsome very strong interest rates from 1.25% for instant access BusinessFund Accounts which you bolt onto a current account with your existingbankers.
As a comparison, Cater Allen's Reserve business account does not payany interest on balances under £100,000 and for balances of£100,000-£499,999 they pay 0.25% and £500,000 + pays 0.50%. The CaterAllen account is a good Current Account for use for your normal day today banking activities; and when introduced through us offers youInternet Banking and no monthly fees.
Opening a Scottish Widows bank account is very straightforward, andyou can keep all your existing banking arrangements in place, this isan additional account to your portfolio to enable you to earn highinterest rates.
The New Accounts
From the 1st July Scottish Widows also launched two new interest paying business deposit accounts.
- A 7 day notice Business Fund Account
- 1 Year Fixed Term Business Fund Account
Both products can be used for corporate, trust, clubs and charities.
Business 7-Day Notice Account
The key features of the account are:
- Available to new and existing business customers.
- Minimum investment of £500 and maximum of £5 million.
- 7 days notice will be required for withdrawals. Any withdrawalswhere 7 days notice is not given will be subject to a penaltyequivalent to 7 days interest on the withdrawal amount.
- Managed rates of interest guaranteed to be no less than 0.25% below Bank of England Base Rate until 31 December 2012.
- Customer rates of 1.75% Gross / AER for balances of £500-£49,999 and 2.00% Gross / AER for balances of £50,000 and above.
- All other features are as per our existing no-notice Business Fund Deposit Account.
1-Year Fixed Term Business Deposit Account
The key features of the account are:
- Fixed interest rate of 3.00% for the 1 year term.
- Available to new and existing business customers, both Direct and Introduced
- Minimum investment of £10,000 and maximum of £5 million.
- Start date of 20 July 2009 with fixed rate interest credited to the customer's account on 20 July 2010.
- Funds received in advance of the start date will earn interest atBank of England base rate (currently 0.50%) up to the start date, withapplication on the start date prior to transfer of the balance plusinterest to the fixed term deposit product interest rate.
- Interest paid gross for funds where the appropriate confirmation oftax status has been provided, or where the deposit is over £50,000.
- One-off deposits only, with no additional deposits permitted.
- Early access by exception, and for full closure only i.e. nopartial withdrawals permitted. In the event of early closure thecapital balance will be returned in full but no interest will becredited.
- No internet access.
- Annual statements only.
- Customers will be advised of their options on maturity 30 daysbefore the maturity date. If no customer instructions are received thefunds will be invested into the prevailing Business Fixed Term Depositaccount available at that time.
If you would like an application form you can download it from our online service portal or email us at service@bfca.eu to request one.
Additional Accounts
Personal Direct Transfer Account - for personal savings - internet banking - minimum opening balance £1000
£1000 and over - 3.01 Gross % (2.51% AER) including a 1% bonus for the first 6 months
Business Fund Account - used for Business,Trusts, Sipp, Ssas, Charities, Clubs and associations - telephone orpostal account linked to a current account
£500 - £49,999 1.25% (Gross & AER)
£50,000 plus 1.5% (Gross & AER)
This account is instant access.
Pension Fund Account - used for Sipp and Ssas money - Telephone or Postal account linked to the pension/Sipp's current account.
Up to £49,999 1.75% (Gross & AER)
£50,000 + 2% (Gross & AER)
This account is instant access.
Fixed Rate Term Deposit Accounts
1 year Fixed Term for Pension Fund rate 3% Gross - Invested on the 20th July 2009 - Minimum £10,000
1 year Fixed Term for Business Fund Money 3% Gross- Invested on the 20th July 2009 - Minimum £10,000