Business Overdrafts
Be financially flexible with a business overdraft.
Fixed Term Deposit Account
Lock away your money for an agreed amount of time of up to two years and you’ll get a fixed interest rate.
What is a Fixed Term Deposit Account?
This account allows you to receive a fixed interest rate that will not change. You must deposit £10,000 or more and choose a time period that suits you.
Throughout your chosen period, you won’t be able to make any deposits or withdrawals.
Benefits
Summary box
Account name: Fixed Term Deposit Account
What is the interest rate?
A fixed rate of interest will apply to your account. The table below shows the Interest Rates currently available on some of Our standard Fixed Term Deposits.
|
AER1 |
Gross p.a.2 |
Term length |
|---|---|---|
|
AER1 1.81% |
Gross p.a.2 1.80% |
Term length 3 months |
|
AER1 2.93% |
Gross p.a.2 2.91% |
Term length 6 months |
|
AER1 2.66% |
Gross p.a.2 2.65% |
Term length 9 months |
|
AER1 2.65% |
Gross p.a.2 2.65% |
Term length 12 months |
|
AER1 2.93% |
Gross p.a.2 2.91% |
Term length Fixed until 21/05/2025 |
|
AER1 2.65% |
Gross p.a.2 2.65% |
Term length Fixed until 15/04/2026 |
Interest rates stated above are available as at 08/11/2024 and expire on 19/12/2024 but may be subject to change. Once you open your deposit account, the interest rate is fixed, so will stay the same throughout your chosen term.
Interest is calculated as follows: Interest rate multiplied by the number of days of the fixed term divided by 365 days then multiplied by the initial deposit amount. For example, a £10,000 deposit for 3 months at a 2.50% interest rate would be calculated as follows: 2.50% x (91/365) x £10,000.
Interest is paid at the end of the agreed term.
1AER – The AER stands for Annual Equivalent Rate and is the notional rate, which illustrates the gross rate as if paid and compounded on an annual basis. As every advert for a savings product will contain an AER, you’ll be able to compare more easily what return you can expect from your savings over time.
2Gross Rate – Gross rate means that no tax will be automatically deducted from interest on your behalf. You are responsible for paying any tax due to HM Revenue and Customs.
-
No. The Interest Rate is fixed.
-
An illustration of an estimated future balance based on a range of terms is shown below.
Initial Deposit
Term
Gross Rate p.a.
Final Balance
Initial Deposit
£10,000.00
Term
3 months
Gross Rate p.a.
1.80% (fixed)
Final Balance
£10,044.88
Initial Deposit
£10,000.00
Term
6 months
Gross Rate p.a.
2.91% (fixed)
Final Balance
£10,145.90
Initial Deposit
£10,000.00
Term
9 months
Gross Rate p.a.
2.65% (fixed)
Final Balance
£10,198.93
Initial Deposit
£10,000.00
Term
12 months
Gross Rate p.a.
2.65% (fixed)
Final Balance
£10,265.00
We worked this out by assuming that:
- You make your first deposit payment on the day the FTD is opened.
- Interest is paid on the Maturity Date.
-
You can open your Fixed Term Deposit Account online or over the phone.
You can manage your Fixed Term Deposit Account online, over the phone or by email.
-
No, withdrawals are not allowed. The money must stay in the account for the agreed amount of time.
Once the agreed term has finished, the money and any interest will be paid to your Nominated Account. Alternatively, you can choose to lock your money into a new Fixed Term Deposit Account.
-
No more funds can be added once your Fixed Term Deposit is agreed.
Product Terms for Deposit Accounts (PDF, 397 KB)
Fixed Term Deposit product information factsheet (PDF, 148 KB)
Explore more from business savings
Protecting your deposits
The Financial Services Compensation Scheme (FSCS) will protect your deposits up to the value of £85,000, subject to eligibility criteria.
Supporting UK Businesses
See how we’re supporting UK businesses in our latest Credential report.
Frequently asked questions
-
If you’re an existing customer and want to speak to someone, call 0345 305 5555. We are available 8am to 5pm Monday to Friday.
-
You can’t withdraw funds from a Fixed Term Deposit account until it reaches maturity – this means the date the term ends. The account must stay open until the maturity date.
-
Maturity is when the term ends on your Fixed Term Deposit account. At maturity, we will pay your funds and any interest due into to your account, unless we are instructed otherwise. To give us a maturity instruction, go to Online for Business or call us on 0345 305 5555. We are available 8am to 5pm, Monday to Friday.
-
You’ll be contacted before your account matures (the date your fixed term ends). At maturity, we will pay your funds and any interest due into to your nominated account, unless we are instructed otherwise. To give us a maturity instruction, go to your Online for Business or call us on 0345 305 5555. We are available 8am to 5pm, Monday to Friday.
-
If your nominated account is with Lloyds Bank, you don’t need to do anything. We’ll debit your account to add funds to your Fixed Term Deposit account. If your nominated account isn’t with Lloyds Bank, you’ll need to send a CHAPS payment to Lloyds Bank. We’ll give you these details when your account is opened.
-
The application form should take about 10 minutes to complete.
-
Yes if you are an existing Lloyds Bank customer, with a turnover above £3m please call us on call us on 0345 600 6391. We are available 8am to 5pm Monday to Friday.