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2 Year Fixed Rate Savings Account

Additional special conditions

These AA 2 Year Fixed Rate Savings Account terms and conditions are in addition to the General Investment Conditions and where there are any contradictions these conditions shall prevail. In these terms, 'we', 'our' and 'us' mean Birmingham Midshires, a division of Bank of Scotland plc.

We treat our AA 2 Year Fixed Rate Savings Accounts as not being payment accounts. (We explain what a payment account is in condition 1 of the General Investment Conditions. You will see from conditions 18 and 19 of those conditions that we may treat payment and non-payment accounts differently if we make any changes to your conditions or interest rate).

  1. The minimum investment in the AA 2 Year Fixed Rate Savings Account is £500. The maximum investment per customer is £5 million.
  2. Rates of interest on this account are fixed for the duration of the term as follows:
    • Interest paid at maturity: 4.25% gross/AER (3.40% net)
    • Monthly interest rate: 4.17% gross (3.34% net) 4.25% AER
  3. The term of this account will run from the date of the first deposit. Interest is calculated daily and paid on anniversary of the first deposit and again at maturity. Interest is available for withdrawal on the first day of each month for monthly accounts. Interest can be paid to the account, to an AA Savings Account or to another bank or building society account. Interest payments to non-AA accounts could take up to four working days to clear.
  4. The minimum additional deposit is £1. Deposits can only be made while the issue remains open to new investors.
  5. Access is available subject to 90 days' interest charge on the amount withdrawn or without charge in the event of the death of the investor. This savings account is not covered by a 14-day money back guarantee.
  6. We reserve the right to suspend the issue of this account at any time.
  7. If no instructions for re-investment are received, we will re-invest your funds at maturity in an Easy Access Account or another account of our choice.
  8. This account is available only to individuals resident in the UK when opened in their own name, jointly or on behalf of another individual.

Issue date: 1 November 2009

AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year. Gross is the contractual rate of interest payable before the deduction of income tax at the rate specified by law. If you are a higher rate taxpayer you may have a further amount to pay.