Prosperity to bring in new rates

FALLING interest rates have attracted many savers to fixed rates, particularly guaranteed income bonds.

Prosperity's one- and three- year bonds are now fully subscribed, but the company is hoping to introduce new rates this week.

Meanwhile, it is offering rates of up to 5.55 per cent on its two- year bond.

The best rate available on the guaranteed income bond market is the 6.75 per cent return on the seven-year bond from Consolidated Life.

Several of the building societies are expecting to maintain their present rates for another few weeks. The rate on the Northern Rock Go Direct postal account has been fixed until 1 April.