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Paragon Bank boosts interest rates across all fixed rate bonds 

Paragon Bank has increased the interest rates across its one, two, three and five year fixed rate bonds and fixed rate ISAs in order to offer more choice for savers looking for competitive fixed rate options.

The new rates will be available to savers from tomorrow, Friday 28 May 2021.

The FTSE 250 financial provider’s range of fixed term products can be opened and managed online, over the phone or by post and are available to both new and existing customers. Interest can be paid on a yearly or monthly basis.

The fixed rate bonds impacted by the rate increase are as follows:

• 1 Year account (previous interest rate of 0.55% AER*, increasing to 0.75% AER*)

• 2 Year account (previous interest rate of 0.70% AER*, increasing to 0.85% AER*)

• 3 Year account (previous interest rate of 0.85% AER*, increasing to 0.90% AER*)

• 5 Year account (previous interest rate of 1.00% AER*, increasing to 1.09% AER*)

The Fixed Rate ISA increases apply to:

• 1 Year ISA (previous interest rate of 0.45% AER*, increasing to 0.50% AER*)

• 2 Year ISA (previous interest rate of 0.55% AER*, increasing to 0.60% AER*)

• 3 Year ISA (previous interest rate of 0.60% AER*, increasing to 0.70% AER*)

• 5 Year ISA (previous interest rate of 0.70% AER*, increasing to 0.80% AER*)

Paragon Bank’s ISA Wallet feature, which allows savers to spread their £20,000 annual ISA allowance across multiple Cash ISAs with Paragon, is available across its range of fixed rate ISAs.

Derek Sprawling, Savings Director at Paragon Bank, said:

“Paragon has been supporting UK savers with consistently competitive products against a backdrop of falling market rates, in both the access and fixed rate space.

“Last week, we re-issued our Triple Access Savings Account at a rate of 0.41% AER*. We are now complementing our range by increasing the number of options available to savers looking for a fixed rate account or ISA by increasing rates across our entire range of fixed products.

“We offer a broad range of saving products to suit all requirements that are straightforward to open and manage, and we will continue to look at ways we can innovate to offer great saving solutions for our customers.

“People can choose to apply for those accounts online, by telephone or by post. Our 28-day rate guarantee ensures that any customers part way through the application process already, or with an imminent maturity with us, will also benefit from our new rates automatically.”

In recent months, Paragon Bank has picked up a range of industry awards for its ISA range, including the ‘ISA Provider of the Year’ prize at the Money Age Awards 2020, ‘Best Cash ISA Provider’ at the Savings Champion Awards 2021, ‘ISA Provider of the Year’ at the Your Money Awards 2021 and ‘Best Easy Access Cash ISA Provider at the Money Comms awards 2021, as well as receiving ‘Highly Commended’ ISA Provider of the Year at the 2021 Moneyfacts Consumer Awards.

For further information about this release contact: Leila Taleb, Media Relations Manager

[email protected] 

Paragon Bank PLC is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Registered in England number 05390593. Registered office 51 Homer Road, Solihull, West Midlands B91 3QJ. Paragon Bank PLC is registered on the Financial Services Register under the firm reference number 604551