 |
|
|
|
|||||||||||||||||||||||||||||||||
 |
Media centre /
Press releaseNS&I LAUNCHES NEW INDEX-LINKED SAVINGS CERTIFICATE CALCULATOR TO HELP CUSTOMERS MONITOR THE VALUE OF THEIR SAVINGS26 June 2006The Range of Inflation-beating Savings currently offer equivalent returns of up to 6.9% From today National Savings and Investment’s customers can track the value of their Index-linked Savings Certificates online using a new value calculator. NS&I’s range of Inflation-beating Savings offer tax-free** returns guaranteed to be higher than the rate of inflation at all times. Available for terms of 3 and 5 years, they are the only savings product range on the high street to offer such a guarantee, and are now also available online and via Tesco’s website. The calculator replaces the monthly cash value tables, as a quicker, more convenient way for customers to check the approximate value of their investment. This service makes it easier for customers to keep on top of their savings. The online calculation tables refer to all Index-linked Savings Certificates bought by the investor since their first launch in 1975. Currently there is almost £10 billion invested in Index-linked Savings Certificates, held by approximately 680,000 customers. The value shown in the table includes all supplements, bonuses and extra interest. The calculator and tables can be accessed at http://www.nsandi.com/products/ilsc/calculator.jsp. How do Inflation-beating Savings work? The Inflation-beating Savings range consists of three and five-year Index-linked Savings Certificates. The money invested earns a return directly linked to the headline rate of inflation, otherwise known as the Retail Prices Index (RPI)* – currently at 3% – plus guaranteed rates of interest on top. This means the returns outstrip inflation and, as nothing is taken away in tax**, the spending power of your money is increased by the end of the term. Anyone aged seven or over can invest from £100 up to £15,000 per Issue (a new issue becomes available each time NS&I changes the interest rate on Saving Certificates), and they may be bought for children under seven. Making the most of your money Because Index-linked Saving Certificates offer a tax-free** return that beats inflation, it makes them particularly attractive for basic as well as higher rate taxpayers. Investment terms and interest rate
(These figures assume the RPI rises by 3.0% each year for the next five years and current rates of tax) Growth Guaranteed Peter Cornish, NS&I’s marketing director, said: “With RPI now at 3%, Inflation-beating Savings are even more relevant to protect against inflation which could diminish the value of your savings. By tracking RPI and paying fixed rates of interest on top, Inflation-beating Savings guarantee your money grows in real terms. “Making life easier for customers is important to NS&I, that is why we have designed this calculator as a quick way for customers to track growth and monitor their savings.” ENDS Notes to Editors * The rate of inflation is calculated using the Retail Price Index (RPI). The RPI measures the change in prices of goods and services bought by most households in the UK. It is compiled and published by the Office for National Statistics (www.statistics.gov.uk). NS&I continues to use the RPI as the measure of inflation, and not the Consumer Prices Index (CPI), which the Government now uses for its inflation target. The RPI includes housing costs and council tax, and is calculated in a different way to the CPI. Both the RPI and CPI can go up or down, and the difference between them can change. **All returns are free of UK Income Tax and Capital Gains Tax. 1. Customers requiring more information or an exact valuation of a certificate can call National Savings and Investments on 0845 964 5000. Calls charged at local rates. For your security and to maintain the highest levels of service, calls may be recorded. 2. National Savings and Investments is one of the largest savings organisations in the UK, offering a range of savings and investments products to 26 million customers. All products offer 100% capital security, because they are backed by HM Treasury. Further information and digital images are available from the NS&I media team. An ISDN line is available for interviews.
Media team The numbers below are for media use only. Customers wishing to contact NS&I can find details here.
|
|
Search |
|||||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||
 |
|
|
||||||||||||||||||||||||||||||
