Bonus Rate

Bonus Rate

An interest rate that is added to the interest rate of an annuity in the first year of its existence. For example, an insurance company may sell a fixed annuity with a 5% rate but apply a bonus rate of 2% in the first year so that the principal increases by a total of 7%. In the second and subsequent years, the bonus rate reverts to 5%. The bonus rate is a sweetener to attract customers.
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The introductory bonus rate of 30% applied to eligible property acquired after Sept.
Multiplier factor: Instead of having a set bonus rate, another type of bonus design links the bonus rate to positive changes in an index.
In the first 100 days of the placement of the bank customers will receive a bonus rate - 10%, thanks to which will increase the total yield of the deposit.
Customers can earn a bonus rate on monthly deposits and all the monthly deposits made by them are fully protected throughout the term, even if they wish to prematurely withdraw in the middle of the term.
The Account is available to anyone under the age of 18 and provides a high rate of return, plus a bonus rate to incentivise monthly payments, but still enjoy instant access to the savings at any time.
The account provides a high rate of return, plus a bonus rate to incentivise monthly payments, while enjoying instant access to the savings at any time, Ahlibank's deputy CEO for retail banking, Andrew McKechnie told Gulf Times.
FCA plans to make it easier for savers to seek better returns also include text message alerts to remind them when an introductory bonus rate is due to end.
Consumers will have the benefit of being informed by text message about changes in interest rates, the expiry of a bonus rate or maturity of a fixed-term account.
RATE ALERTS Savers will receive text message alerts to remind them when an introductory bonus rate is set to end under plans to make it easier for them to seek out better returns on their cash.
also uncovered a "wide variation" in terms of how much notice savings providers give for when a bonus rate is about to end.
wants to see banks and building societies making things easier by giving savers clearer information, including better notification when a bonus rate ends or if better accounts are available.
Banks are required to tell savers when their bonus rate is going to expire but Which?