NS&I has shared some details about the new British Savings Bonds which are set to go on sale next month.
Chancellor Jeremy Hunt announced the government-backed savings provider would deliver the products in his Spring Budget, but the interest rate to be offered is yet to be announced.
NS&I has told savers to "watch this space", and promised the launch will be in "early" April.
However, it has been confirmed that the savings products will be new three-year fixed-rate Issues of NS&I's Guaranteed Growth Bonds and Guaranteed Income Bonds.
On the website, NS&I states these products will offer a "guaranteed return over three years" for investments between £500 and £1million.
The way in which interest is paid will depend on the type of British Savings Bonds selected.
NS&I is set to launch British Savings Bonds in "early" April
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For instance, with Guaranteed Growth Bonds, NS&I will add the interest to the Bond annually, in one lump sum.
However, with Guaranteed Income Bonds, the interest will be added to the bank account each month.
Savings will be invested back into supporting the UK, the government-backed savings provider said.
NS&I's Guaranteed Growth Bonds and Guaranteed Income Bonds were last on sale in 2019.
It's understood the intention is to have these products available for an extended period of time.
Earlier this month, NS&I said the interest rates are set to be priced mid-market in relation to similar products, in order to be in line with NS&I's requirement to balance the interests of savers, taxpayers and the broader financial services sector.
British Savings Bonds will be only available online.
However, NS&I said there will be support for customers who are not able to transact online.
Reacting to the new product after the Spring Budget, Rachel Springall, finance expert at Moneyfacts, said: "NS&I is a trusted brand and those savers who want their money safe and perhaps want to support UK businesses could well find these popular.
"However, the interest rate offered will need to be carefully thought out by NS&I, considering the current state of the savings market, or it could risk being overlooked.
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"The Chancellor said the fixed bond will have a three-year term, which may be too much commitment for some savers.
"As we have seen in the past, NS&I products are popular, but savers will look elsewhere if a much higher rate can be obtained."
NS&I is expected to release some details about the April 2024 Premium Bonds jackpot winners on Tuesday, April 2.
The Premium Bonds prize checker will be updated the following day, the day after the first working day of the month.
