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By Rebecca Atkinson



Monday, May 4, 2009.



Editor's note: This article is targeted at readers residing in Britain. Please always seek expert opinions when making financial decisions.


Savers with deposits of less than £30,000 could be missing out on the best savings rates, as the margin between the Bank of England base rate and the best deals narrows.


With banks and building societies continuing to feel the pinch from expensive wholesale funding, and Government pressure for them to increase their lending activity mounting, many are trying to boost their retail deposit levels by tempting in high net worth savers.


This can be seen across the fixed-rate savings market, with people able to lock away large balances for several years generally offered more favourable deals than those with smaller balances.


1. Investec Private Bank's High 5 savings account...


...is aimed at people not only looking for a top rate, but also a consistent one. Currently paying 3.41% AER this rate changes on a weekly basis as the High 5 deal promises to always be the average of the top five best-buy savings accounts.


This account requires you to deposit at least £25,000. And although withdrawals are permitted, you must give three months' notice before you can access your money.


2. Nationwide...


...has a range of online fixed-rate accounts that pay up to 4.15%, with bigger deposits rewarded with a more attractive rate. Your rate also increases the longer you fix for. So, the six-month e-bond pays between 2.87% (on balances of £1 to £9,999) and 3.12% (£50,000 to £3 million) while the three-year bond pays between 3.35% (£1 to £9,999) and 3.6% (£50,000 to £3 million).


If you are willing to lock your money away for five years, then Nationwide will pay you 4.15% on any balance between £1 and £2 million.


However, bear in mind that part withdrawals are not permitted from any of Nationwide's e-bonds and your account might be closed if you need to access your money.


Another 'catch' to this deal is that you must already have a Nationwide current account (FlexAccount) with internet banking.


3. Cater Allen Private Bank...


...which is owned by Spanish bank Santander, offers two fixed-rate bonds that pay up to 4.11% AER.


The first bond is fixed for two years and pays 3.68% AER for anyone with between £5,000 and £50,000 to deposit. However, the more you deposit, the more you can earn.


If your balance is more than £50,000, you will earn 3.85% AER. If your balance is more than £250,000, the rate rises again to 3.92% AER and if you have £1 million to save, you'll earn 4%.


Cater Allen's three-year bond, meanwhile, pays 3.85% for anyone with between £5,000 and £50,000 saved; 4% for anyone with £50,000 to £250,000 deposited; 4.08% if your balance is between £250,000 and £1 million; and 4.11% if you have a balance of £1 million plus.


Both accounts allow anniversary withdrawals; so, during the two weeks before the anniversary of the account opening you can take out all or part of your cash.


4. Close Brothers...


...offers a two-year Premium Gold fixed-rate account that pays 4.3% AER on deposits of between £10,000 and £10 million. This deal is only available until 8 April.


No early withdrawals or additional deposits are permitted with this deal.


5. West Bromwich Building Society...


...offers an E Bond paying 4.05% AER until 30 April 2011 for anyone with at least £5,000 to deposit.


Withdrawals or additional deposits are not permitted with this deal, and you can only manage your account via post or the telephone.


6. cahoot...


...pays 4.01% AER until 30 April 2011 on deposits of between £30,000 and £2 million.


This account is available to new and existing cahoot customers, but if people who plan on transferring funds from an account within the Santander Group (ie: cahoot, Abbey, Alliance & Leicester and Bradford & Bingley) need not apply.


No additional deposits allowed after the initial deposit is made. No partial withdrawals allowed and early closure may result in a possible loss of interest.


With thanks to Interactive Investors.


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