Capital Bond (National Savings)

A Capital Bond is a five year investment and like other bonds a lump sum is invested at a fixed interest rate with a promise to pay the principal plus the interest on the specified maturity date. It is a National Savings product and is therefore backed by HM Treasury and so is an entirely secure way to invest.

The interest that you earn on your Capital Bonds is reinvested annually with the fixed rate on your UK savings rising each year.

Tax-payers will have to declare their interest on the UK savings fund as it is taxable each year, but will automatically be added to your Capital Bond fund.

In order to make the most of your Capital Bond investment it is best to leave your money untouched for the full five years. It is possible to cash in your Capital Bonds at any time but this will be at a lower rate of return.

Capital Bonds can be another way of investing for your children. With the complete
security and as children are non-tax payers, no tax has to be paid on any interest they earn.

Click here for other ways you can invest for your children's future

If you would like to find out more about UK savings and investment opportunities, please use the links below.

  • ISA
  • Investment Bonds
  • Investment Trusts
  • Property Investment

    Please use the links below for further Capital Bond, National Savings or general UK savings information.

    Compare Savings Including National Saving Bond
    Compare over 1300 savings accounts, including National Saving bonds. We help you find the best rates and apply online.
    Find Saving Accounts at Ask.com
    Whatever type of bank account you're looking for, find it with Ask.com. Browse a wide range of providers & find the right account for you in seconds.
    Bond National Saving Info
    Get info on bond national saving from 12 engines in 1.
    Bond National Saving - Check Out I Found It
    All the top companies and links for bond national saving under one roof at I-Found-It.
    Find Bond National Saving
    Use the BritishWebSearch search engine and directory to find relevant UK search results for bond national saving.
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