6 April 2010

M&S Money Issues New Fixed Rate Savings

M&S Money is offering a new Fixed Rate Savings option within the M&S Cash ISA with effect from Tuesday 6th April 2010. The fixed rates are also available outside an ISA*.

The guaranteed interest rates are available over 1, 2 and 3 years at up to 3.25% AER/gross*.  This is a strictly limited offer and replaces the previous issue.
1 year term - 2.50% AER/tax-free**
2 year term - 2.85% AER/tax-free**
3 year term - 3.25% AER/tax-free**

Customers can choose between fixed and variable rate options within the M&S ISA, or split their annual allowance between the two, using one simple application form.

The M&S Flexi Cash ISA option offers a variable rate of 2.65% AER/tax-free**.  This includes a bonus rate of 1.25% for 18 months from initial deposit.

• Minimum deposit £100
• From £25 a month by direct debit
• Transfers from other Cash ISA providers accepted
• Withdrawals without penalty, although any amount withdrawn can’t be replaced during that tax year

Customers can apply for M&S Fixed Rate Savings online at www.marksandspencer.com/fixedratesavings
or by calling free on 0808 001 1111 or Flexi Cash ISA on 0808 002 2222.

ENDS

For further information please call the M&S Money press office:

Liz Neild 01244 686068
liz.a.neild@mandsmoney.com

Fixed Rate Savings

Within an ISA – minimum deposit £500 up to new Cash ISA allowance of £5,100 per tax year. Transfers from other ISA providers allowed.

*Outside an ISA – minimum deposit £500, maximum £1 million.

Early withdrawals are permitted during the term but will be charged at a fixed flat withdrawal charge (£50 for 1 year term, £75 for 2 year term, £100 for 3 year term).  The charge may mean a customer gets back less than they originally deposited if they withdraw their savings before the term end date.  Partial withdrawals are not permitted.

**AER is the Annual Equivalent Rate and illustrates what the rate of interest would be if interest is paid and compounded once a year.  Gross means the rate of interest before the deduction of tax applicable to interest on savings. Tax-free means the rate of interest where interest is exempt from income tax. Net means the rate of interest after the deduction of tax applicable to interest on savings. For illustrative purposes only this is based on the basic rate of tax, currently 20%. Interest added annually. Alternatively interest can be paid direct to your nominated bank or building society account.