The Official website of the NS&I has been brought down due to a rush on market beating 65+ bonds.
The bonds offer a far higher rate than traditional savings accounts offering over 65’s a saving of up to £10,000 each in a one year bond paying out 2.8% annual interest and a three year bond paying out 4% per annum.
The website crash has forced NS&I to issue the following statement “We are currently experiencing high demand for our new 65+ Guaranteed Growth Bonds – customers may have to wait longer than normal to contact us. We’re sorry for the inconvenience this has caused and are grateful to our customers for their patience. Our call centres are open 24/7,” said a spokesman for NS&I.”
Senior Analyst Laith Khalaf from financial services company Hargreaves Lansdown said ‘The blip in the NS&I website earlier this morning is likely down to the pent up demand for the bonds they are issuing. The rates on offer are significantly above those on offer on the open market and se we expect them to sell out quickly, ever though £10 billion of bonds will be issued. ‘
The bonds are available from NS&I online, over the phone or by post and were summarised in last years budget with a minimum allowable investment of £500. The new bonds pay almost twice the available interest rates on general bonds, according to figures from website Moneyfacts.
Spokeswomen from Money Facts Rachel Springall suggested that applying online could be the quickest way to get your hands on a pensioner bond.
She said: “These deals will be taken up very quickly. Pensioners could be cashing in their current savings pots to invest in these new bonds, as both the high rates and link to the NS&I will be seen as an attractive proposition for them.
“On the downside, the fact that these bonds don’t offer a monthly interest option will be disappointing to those looking to supplement their income.
“Restricting these bonds to those aged 65 and over will dishearten younger pensioners, particularly those who miss out by one year, as they will have to just make do with what’s already on the market, which is poor in comparison.”