Account Conditions for Saga 1 Year Fixed Rate Savings Account

Our agreement with you is made up of general conditions contained in the Saga General Savings Conditions (General Conditions) and the Saga Postal Fixed Rate Savings Account Conditions below.

If there is any overlap or conflict between this Account’s conditions and the General Conditions, the Account Conditions apply.  In these conditions “we”, “our” and “us” means Bank of Scotland plc – Birmingham Midshires is a division of Bank of Scotland.

This Account is a fixed rate savings account that is operated by post, and we treat this as being a non-payment account. We explain what a payment account is in condition 1 of the General Conditions. You will see from condition 18 of the General Conditions that we may treat payment and non-payment accounts differently if we make any changes to your conditions or interest rate.


1.1 To have an Account you must be 50 or over and a resident in the UK.


2.1 The Account can be a single or joint account.
2.2 To open the Account you must pay in at least £1. We will only accept one payment into your account (please see condition 3.1 below). The maximum balance is £10 million for sole accounts, £20 million for joint accounts.
2.3 The Account term will run from the date we pay in your payment.
2.4 Your payment should be a cheque made payable to yourself, or a transfer from another savings account you have with Saga Savings, for the full amount you wish to invest.
2.5 You must contact us by post to run this Account.


3.1 You can only make one payment into your Account. Once we have received your payment you will not be able to add any more money to your Account.
3.2 Each issue of the Account has a limited amount of money allocated to it. When that money is taken up, the issue will be closed to new deposits. Your payment must be by cheque.


4.1 If your Account has a term of less than two years when you open it, you cannot withdraw money from it.
4.2 If your Account has a term of two or more years when you open it, you can withdraw a minimum of £1, subject to conditions 4.3 and 4.4 below.
4.3 If you take money out of your Account which has a term of two or more years when you open it, you will pay a withdrawal charge. The withdrawal charge depends on the remaining term of your Account and is the equivalent of a number of days gross interest on the amount withdrawn as explained in the following table:

 Length of remaining term at the time of withdrawal  1 year or less Up to 2 years Up to 3 years Up to 4 years Up to 5 years
 Withdrawal charge on the account taken out of your account - equivalent in days gross interest  90 days 180 days 270 days 320 days 365 days

If your remaining term includes part of a year your withdrawal charge will be calculated based on the next whole year e.g. 18 month term = the two year withdrawal charge.
4.4 The rate used to calculate any withdrawal charge, will be the interest rate at the time the withdrawal is made.
4.5 Any withdrawal charge will be taken from your Account balance and could mean you get back less than you originally deposited.
4.6 When you ask us to withdraw money from your Account, we will do this either by sending you a cheque, or by electronic transfer using the Faster Payment Service if you have provided us with details of the account you wish the payment to be sent to.
4.7 On early closure of your Account we will return your money plus any interest earned less any charges for withdrawals.
4.8 Condition 4.1 above (no withdrawals) conditions 4.2 - 4.5 (withdrawal charge) and condition 6 (no cancellation) will not apply if the Account holder dies.


5.1    Your Account pays a fixed rate of interest for a fixed term depending on the balance in the account. You can find out the current interest rates for your account by telephoning us on 0345 850 0664 or by visiting our website at
5.2    If you do make a withdrawal, this may affect the interest rate on your new Account balance.
5.3    Interest is calculated daily and is either paid yearly or monthly.
5.4    If you have chosen to receive yearly interest paid to your Account (see condition 5.5 below), this may affect the interest rate on your new Account, from the date your yearly interest is paid.
5.5    If you have chosen to receive interest monthly, this will be paid on the first bank working day of each month and must be paid to another Saga Savings account or to another bank or building society account.   If you have chosen to receive interest yearly, this will be paid 12 months after the date we credit your Account with your opening deposit, or if that is not a bank working day,  the first bank working day after that. Yearly interest can be paid into your Account, to another Saga Savings Account or to another bank or building society account – we will ask you to make this choice when you open your Account.  Interest payments from a Saga Savings account to another bank or building society account will reach the other account on the next bank working day.
5.6    Where the term of the Account is for 12 months or less, yearly interest must be paid back into the Account.
5.7  Interest will be paid gross.  This means that you will be responsible for paying any tax due to HM Revenue and Customs.


6.1    This Account does not have a cancellation period.
6.2    If your Account has an initial term of two or more years when you open it and you change your mind, you will have to pay a withdrawal charge (see condition 4.3).


7.1    If  your Account has a term of a year or more when you open it, we will send you a yearly statement.


8.1    We will write to you before the end of the fixed rate term with some choices of account to put your money into, or the option of having it returned to you, at the end of the fixed term.  If we do not hear from you, we will put your money into an instant access variable rate account. We will let you know before we do this. 

General Savings Conditions

Birmingham Midshires is the deposit taker for the Saga Savings Accounts. The General Savings Conditions, which can be found here, should be read together with any Special Terms and Conditions relating to your specific deposit account. If there is any conflict between these General Savings Conditions and the Special Terms and Conditions then the Special Terms and Conditions shall have priority. From 30 October we will be making some changes to your Savings conditions. The General Savings Conditions apply to all Saga Savings Accounts provided by Birmingham Midshires.

Issue date: 29 January 2018