Three Year Fixed Bond

It is a straightforward savings product that lets you lock away a lump sum for three years, earning a fixed rate of interest for the entire term.

The bond is a single premium investment. The minimum amount is £1,000 and the maximum is £200,000 in any one calendar year (January to December) per individual. If held solely, or in the case of joint applications. No further payments can be made into an existing bond, but you can open other bonds.

Anyone aged 18 or over who is able to invest a lump sum and leave it untouched for three years.

Yes, the bond can be held in joint names.

When you invest with Sheffield Mutual, you're not just another customer - you're part of a member-focused organisation with over 130 years experience helping savers like you secure their financial goals. Here's what makes us stand out:

• Exceptional service : We pride ourselves on delivering a truly personal touch. When you call us, you'll speak to a real person who is here to help and answer your questions - no robots, no scripts, just genuine support.
• Member-owned and member-focused: As a mutual, we don't have shareholders to pay. Instead, we reinvest surplus profits back into the organisation and return value to our members.
• Competitive rates: Our products are designed to help you get the most from your savings, offering security and competitive rates.
• A heritage of trust: With over a century of experience, we've built a reputation for stability, reliability and putting our members first.
• Peace of mind: Your money is secure with us, supported by our long-standing commitment to financial stability and careful stewardship.

When you choose Sheffield Mutual, you're choosing a trusted partner who values you, not just your investment.

We invest in a range of different assets with the aim of maintaining a spread of investment assets that will provide a medium to low risk, making it an option for individuals with a more cautious approach to investing.

Types of assets we invest in are:

• Shares of companies, we have exposure to UK based and overseas companies to provide diversification.
• Fixed interest investments, such as government gilts and corporate bonds.
• Cash

The proportion held in each of these will vary depending on market conditions. We seek to adopt an ethical approach to investing and it is our policy not to invest knowingly or directly in industries relating to armaments, tobacco, gambling or pornography.

As a Three Year Fixed Bond policyholder, the maturity value of your plan is unaffected by the value of these investments.

You can't withdraw any money from your fixed bond until the end of the fixed term.

At the end of the fixed term, which is known as 'maturity', your options will be:

• To roll over the matured funds into the latest fixed bond product (if available) or another Sheffield Mutual product
• To pay the funds into a bank account of your choosing (details will need to be provided at maturity)
• To hold the matured funds in a holding account, however no further interest will be paid

We will contact you one month before your fixed bond is due to mature. To ensure that we are sending any correspondence to the correct place, please let us know if any of your contact details change.

The bond is a long-term insurance policy. If you die before the maturity date, your estate will receive:

• In year one (up to the first anniversary of you opening your policy) - initial investment
• In year two (up to the second anniversary of you opening your policy) - initial investment plus 1%
• In year three (up to the third anniversary of you opening your policy) - initial investment plus 2%

If the bond is a joint policy, the plan would continue in the second policyholder's name.

If you (or either policyholder on a joint bond) are diagnosed with a 'terminal illness' during the life of your policy, we will pay the following amounts should you choose to make a claim, and is approved by our underwriters:

• In year one - (up to the first anniversary of you opening your policy) - initial investment
• In year two (up to the second anniversary of you opening your policy) - initial investment plus 1%
• In year three (up to the third anniversary of you opening your policy) - initial investment plus 2%

Terminal illness is a definite diagnosis, by the attending consultant, or an illness that satisfies both of the following:

• The illness either has no known cure or has progressed to the point where it cannot be cured: and
• In the opinion of the attending consultant, the illness is expected to lead to death within 12 months.

All diagnoses and medical opinions must be given by a medical specialist who:

• Is a specialist consultant in an area of medicine appropriate to the cause of the claim at a hospital in the UK, and
• Is acceptable to our underwriters.

This product is not considered suitable if you require access to the funds within the selected term as you cannot access the money in this bond until it reaches maturity after three years. The plan has no surrender value. If you wish to cancel your policy once you have opened it, you have 30 days from the day you receive your policy pack in which to change your mind.

No, this bond does not provide any income during the term, but if you require income, please head over to take a look at our Income Bond.

The money you save is invested in a fund where basic rate tax may already be accounted for on any taxable gain, meaning there's unlikely to be more to pay unless you are a higher-rate taxpayer of if the gain means that you could move into a higher tax banding.

However, such a gain could affect your liability if you qualify for age-related allowances, reliefs, or receive tax credits. In the event of your death, those inheriting your bond could be liable for inheritance tax and some income tax.

This information is based on the Society's understanding of current legislation and practice, which may change in the future.

When you open a policy with Sheffield Mutual, you become more than just a saver - you become a member of our society. As a member-owned mutual, we're here to benefit you, not shareholders. Here's what membership means for you:

• Exclusive benefits: As a member, you'll have access to discretionary benefits such as optical and dental grants and our tell a friend scheme, which are designed to add extra value to your investment.
• A voice that matters: Membership gives you the opportunity to have your say on how the Society is run. Your opinions help shape the future of Sheffield Mutual.
• Belonging to a trusted community: You'll be part of a mutual that has been supporting its members for over 130 years, prioritising their needs and providing exceptional service every step of the way.

At Sheffield Mutual, being a member means being at the heart of everything we do.

Our friendly and knowledgeable team is here to help. Whilst we can't offer financial advice, we're more than happy to answer any questions you might have about our products and services. 

Please contact the office on 01226 741 000 or fill in our contact form and one of the team will be in touch.

We are unable to give any advice or recommendations on the suitability of our products. If you are unsure, you should seek advice from a qualified financial adviser, which may incur a fee.

To comply with regulations, the Society will require confirmation of your identification and address. We'll aim to do this using an electronic verification system, but reserve the right to ask for appropriate documentation from you if this is not possible.