Moneyfacts Pick of the Week: Latest Financial Products Showcase

Caitlyn Eastell

Apprentice Press & PR Assistant

Published: 25/07/2024

Piggy bank with stack of coins beside it

Last updated: 25 July 2024 at 09:30

The Moneyfactscompare.co.uk Pick of the Week showcases the best of the latest products or rate changes to hit the consumer finance market, ranging from mortgages to savings accounts. This week I've analysed the following deals, along with their perks.

Savings

Kent Reliance

Kent Reliance has reduced the rates on its Cash ISA 1 Year Fixed Rate this week. Issue 100 of the account is now paying 4.91% AER on maturity or monthly and takes a competitive position within its sector. It may entice savers looking to supplement their income or take advantage of their ISA allowance.

The account requires a minimum investment of £1,000 but allows further additions by either cash or in branch, via cheque or a bank transfer. Plus, investors who wish to access their cash early can do so, however, this is subject to a 90-day loss of interest penalty which should be considered by savers. In addition, savers can choose to invest between variable and fixed ISAs within Kent Reliance’s range. On assessment, this deal earns an Excellent Moneyfacts product rating.

Last updated: 25/07/2024

Kent Reliance – Cash ISA 1 Year Fixed Rate – Issue 100
Rate: 4.91% gross / 4.91% AER payable on maturity, monthly interest option of 4.80% gross / 4.91% AER

Notice / term: One year

Minimum opening amount: £1,000

Maximum investment amount: ISA allowance

Access: Permitted, early access on 90-day loss of interest penalty, withdrawal method is dependent on how account is opened

Further additions: Permitted, via cash at branch, cheque or bank transfer

Transfers in: Permitted. Transfer requests must be made within 30 days of account opening

Transfers out: Permitted, subject to 90-day loss of interest penalty

Opening account: Online and in branch

Managing account: Online and in branch

Other information: Minimum applicant age 18. Investors can choose to invest between variable and fixed rate ISAs within Kent Reliance’s range.
Go to Provider's Site

Close Brothers Savings

Close Brothers Savings has launched a new 3 Year Fixed Rate Bond this week, paying 4.70%. It enters the top rate tables and takes a competitive position in the market when compared against other bonds of similar terms. Savers will need to invest a minimum of £10,000 and further additions can be made for 10 days from the account opening, which may be a bonus; however, it is worth noting that early access is not permitted. Overall, this deal earns an Excellent Moneyfacts product rating.

Last updated: 25/07/2024

Close Brothers Savings – 3 Year Fixed Rate Bond
Rate: 4.70% gross/ 4.70% AER paid yearly

Notice / term: Three years

Minimum opening amount: £10,000

Maximum investment amount: £2 million

Access: Not permitted

Further additions: Permitted for 10 days from account opening

Opening account: Online

Managing account: Online, by post and by phone

Other information: Minimum applicant age 18. Joint account option available.
Compare 3 Year Fixed Rate Bonds

Close Brothers Savings

Close Brothers Savings has launched a new 2 Year Fixed Rate Cash ISA this week, which pays 4.67%. When compared against other ISAs with similar terms, the deal takes a competitive position and may well attract savers who are prepared to lock away their cash for an agreed term in exchange for a guaranteed return over the next 24 months.

Savers will need £10,000 to invest but they can also make transfers in from cash ISAs or stocks and shares ISAs. However, savers should be cautious as even though early access is permitted, this will result in account closure and is subject to a 150-day loss of interest penalty. Overall, the deal earns an Excellent Moneyfacts product rating.

Last updated: 25/07/2024

Close Brothers Savings – 2 Year Fixed Rate Cash ISA
Rate: 4.67% gross / 4.67% AER payable yearly

Notice / term: Two years

Minimum opening amount: £10,000

Maximum investment amount: ISA allowance

Access: Permitted, on account closure and subject to a 150-day loss of interest penalty

Further additions: Permitted, for 10 days from account opening

Transfers in: Permitted, allows Cash and Stocks and Shares ISAs. Transfer instructions must be received within 10 days of account opening.

Transfers out: Permitted, subject to a 150-day loss of interest penalty

Opening account: Online

Managing account: Online, by phone and by post

Other information: Minimum applicant age 18.
Compare 2 Year Fixed Rate ISAs

GB Bank

This week GB Bank has increased the rate on its 5-year Fixed Term Deposit on the Raisin UK platform. The deal pays a market-leading rate at 4.58% for savers who have a minimum of £1,000 to invest and are looking to receive a guaranteed return.

As is common in the fixed market, earlier access and further additions are not permitted so it is important that investors are comfortable with locking their cash in for the full term. The deal secures a prominent position in our top tables and earns an Excellent Moneyfacts product rating.

Last updated: 25/07/2024

GB Bank – Raisin UK – 5 Year Fixed Term Deposit
Rate: 4.58% gross / 4.58% AER payable on maturity

Notice / term: Five years

Minimum opening amount: £1,000

Maximum investment amount: £85,000

Access: Not permitted

Further additions: Not permitted

Opening account: Online and via mobile app, via the Raisin UK platform

Managing account: Online and via mobile app, via the Raisin UK platform

Other information: Minimum applicant age 18.
Go to Provider's Site

Mortgages

first direct

first direct has reduced selected fixed rates for house purchase customers this week. The two-year fixed rate at 60% loan-to-value is one of the deals to see a cut. It is now priced at a competitive 4.51%.

Borrowers may well find this deal an enticing option if they are trying to save on upfront costs as there is a reasonable £490 fee charged and it has a free valuation incentive attached. The reduction, along with its fee and incentive package, enhances its position and earns an Outstanding Moneyfacts product rating.

Last updated: 25/07/2024

first direct – Two-year fixed rate mortgage, 60% loan-to-value
Rate: 4.51% Fixed for 2 years reverting to 6.99%

APRC: 6.7%

Product fee: £490

Maximum loan-to-value: 60%

Available to: House purchase customers

Incentives: Free valuation

Flexible features: Allows overpayments

Lending area: Great Britain and Northern Ireland.

_{Representative example: £218,000 mortgage over 25 years initially at 4.51% fixed for 24 months reverting to 6.99% variable for term. 24 monthly payments of £1212.95 and 276 monthly payments of £1517.91. Total amount payable £448,593.96 includes loan amount, interest of £230,054, valuation fees of £0 and product fees of £490. The overall cost for comparison is 6.7% APRC representative.}
Compare 2 Year Fixed Rate Mortgages

Newbury Building Society

The latest update from Newbury Building Society sees it removing the £850 application fee on its three-year discounted variable rate deal. Available at 75% loan-to-value it continues to pay a competitive 4.89%, with a discount of 2.11%.

Borrowers wishing to save on the upfront cost of their mortgage may find this an enticing deal as it does not charge any product fees. Adding to its appeal is an attractive incentive package which includes a free valuation for all borrowers and free legal fees for those remortgaging. Overall, this deal secures an Outstanding Moneyfacts product rating.

Last updated: 25/07/2024

Newbury Building Society – Three-year discounted-variable rate mortgage, 75% loan-to-value
Rate: 4.89% Discounted Variable for 3 years (2.11% discount) reverting to 7.00%

APRC: 6.6%

Product fee: None

Maximum loan-to-value: 75%

Available to: All borrowers

Incentives: Free valuation for all and, for remortgage borrowers, free legal fees

Flexible features: Allows overpayments

Lending area: England and Wales.

_{Representative example: £218,000 mortgage over 25 years initially at 4.89% variable for 36 months reverting to 7.00% variable for term. 36 monthly payments of £1260.47 and 264 monthly payments of £1513.63. Total amount payable £445,125.24 includes loan amount, interest of £226,975, valuation fees of £0 and product fees of £0. The overall cost for comparison is 6.6% APRC representative.}
Compare Discounted Variable Rate Mortgages

Buy-to-Let

Leek Building Society

Leek Building Society has reduced the rate and the arrangement fee on its five-year fixed rate offering at 75% loan-to-value. It is priced at 4.65% until 31 October 2029.

The deal’s overall package may appeal to landlords looking to save on the upfront cost as it includes a free valuation and now charges a reasonable product fee of £995. On assessment, this deal earns an Excellent Moneyfacts product rating.

Last updated: 25/07/2024

Leek Building Society – Five-year fixed rate mortgage, 75% loan-to-value
Rate: 4.65% Fixed to 31 October 2029 reverting to 8.24%

APRC: 7.2%

Product fee: £995

Maximum loan-to-value: 75%

Available to: All borrowers

Incentives: Free valuation

Flexible features: Allows overpayments

Lending area: England and Wales.

_{Representative example: £150,000 mortgage over 25 years initially at 4.65% fixed for 63 months reverting to 8.24% variable for term. 63 monthly payments of £581.25 and 237 monthly payments of £1030.00. Total amount payable £431,858.75 includes loan amount, interest of £280,729, valuation fees of £0 and product fees of £995. The overall cost for comparison is 7.2% APRC representative.}
Compare 5 Year Fixed Rate Buy-to-Let Mortgages

HSBC

This week HSBC has reduced the majority of its buy-to-let fixed rate mortgages by up to 0.10%. One of the options to receive a smaller cut is its two-year fixed rate deal at 65% loan-to-value, which now charges 4.69% for all house purchase customers. Landlords may notice that there is a £1,999 arrangement fee, however, this may be offset by its attractive incentive package which includes a free valuation. Overall, this product earns an Excellent Moneyfacts product rating.

Last updated: 25/07/2024

HSBC – Two-year fixed rate mortgage, 65% loan-to-value
Rate: 4.69% Fixed to 30 September 2026 reverting to 7.60%

APRC: 7.5%

Product fee: £1,999

Maximum loan-to-value: 65%

Available to: House purchase customers

Incentives: Free valuation

Flexible features: Allows overpayments

Lending area: Great Britain and Northern Ireland.

_{Representative example: £150,000 mortgage over 25 years initially at 4.69% fixed for 26 months reverting to 7.60% variable for term. 26 monthly payments of £586.25 and 274 monthly payments of £950.00. Total amount payable £427,686.50 includes loan amount, interest of £275,543, valuation fees of £0 and product fees of £1999. The overall cost for comparison is 7.5% APRC representative.}
Compare 2 Year Fixed Rate Buy-to-Let Mortgages

Disclaimer

Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time. Links to third parties on this page are paid for by the third party. You can find out more about the individual products by visiting their site. Moneyfactscompare.co.uk will receive a small payment if you use their services after you click through to their site. All information is subject to change without notice. Please check all terms before making any decisions. This information is intended solely to provide guidance and is not financial advice. Moneyfacts will not be liable for any loss arising from your use or reliance on this information. If you are in any doubt, Moneyfacts recommends you obtain independent financial advice.