New term deposit bond
Sentinel has introduced a tax-paid Term Deposit Bond to the investment market.
Sunday, November 21st 2004, 10:32PM
Sentinel, which provides home equity release schemes, feels the time is right for the introduction of the bond.
"The Term Deposit Bond is an efficient, 'no fuss', tax-paid investment which can be redeemed at any time, but with a bonus return paid if it remains in place for one year," Sentinel sales and marketing director Paul Bravo says.
There are no entry fees, or exit fees after the first three months, and the rate is very attractive, particularly to higher rate taxpayers.
The minimum investment is $5,000 and maximum is $500,000, with a current rate, including maturity bonus, of 4.65%. This is equivalent to a return before tax of 7.62% for a 39% tax payer.
The initial maturity bonus on 0.5% increases by 0.1% following each year’s maturity and reinvestment, up to a maximum rate of 1%.
Sentinel has been established by the people who set up Sovereign. Sovereign used to attract a lot of money into its term deposit bonds, but has closed the product down recently.
See how Sentinel's rates compare here .
| « Kookmin makes enforeable undertaking | Provincial Finance changes lending mix » |
Special Offers
Commenting is closed
|
|
Printable version |
|
Email to a friend |
