New children's bond launched

Bradford & Bingley has announced the launch of a five-year Children's Savings Bond to be issued next week.

Children up to the age of 16 are eligible for the fund which will reach maturity in November 2011.

Steve Potter, head of savings at the financial services business, said: "This account has been especially designed to compliment our existing product range ensuring that children can save for their future over the short, medium and long-term keeping all their investments safe in one place.

"The Children's Savings Bond provides a great rate for savers over five years and offers the opportunity to invest for a fixed term at a competitive guaranteed fixed rate."

The bonds have a guaranteed fixed 5.5 per cent annual interest rate, with a minimum investment of £100 and maximum investment of £25,000, with no further additions or withdrawals permitted.

Guaranteed bonds such as this are one method of saving for children, with a fixed return after five years

For a range of saving plans suitable for children, please click on our free brochures page.