Fixed-rate Savings
A fixed-rate savings account pays the same interest rate for a set period, such as one or two years.
1 min read Saving More Money
What it means
A fixed-rate savings account pays the same interest rate for a set period, such as one or two years. In return, you'll usually need to leave your money untouched until the account matures.
Example
You save £10,000 into a one-year fixed-rate account paying 4.5% interest. Despite what happens to rates in the market, you will receive the 4.5% no matter what for a year.
Why it matters
It provides certainty about how much interest you'll earn.
Withdrawing money early may not be allowed or could lead to a penalty.
Can I access my money early?
Usually not without restrictions or penalties.