Minimum Deposit


Interest Rate (Gross)


Interest Rate (AER)

4.20% AER


Not permitted

Designed for savers that:

Want a fixed rate of monthly interest

Want interest paid into another account

Do not need access to their savings

Have a minimum deposit of £20,000

Not designed for savers that:

Need access to their savings

Want a variable rate of interest

Are under the age of 18

Product Summary

Account Name

Monthly Income Fixed-Rate Bond to 31st January 2026

What is the interest rate?

4.12% Gross*

4.20% AER*

Interest is calculated daily and paid monthly which means the amount of interest will reflect the number of days in each calendar month

Interest must either be transferred to a Vernon savings account (subject to the terms and conditions of the receiving account) or transferred to a bank/building society account held in your name(s).

If paid into a Vernon savings account:

Interest is transferred at close of business on the last day of each month and on the maturity date 31st January 2026.

If paid into a bank/building society account:

This is paid on the last working day of each month up to and including January 2026. If the account is opened on or after the 27th of the month, accrued interest for the initial calendar month may only be paid at the end of the first full calendar month.

Can the Vernon Building Society change the interest rate?

The interest rate is fixed until maturity on the 31st January 2026.

What would the estimated balance be after 12 months based on a £20,000 initial deposit?

In accordance with the terms and conditions of this product, the monthly interest cannot be added to the account; therefore, the account balance at the end of the term will be £20,000.

Assuming a deposit of £20,000, in a month where there are 30 days and an annual interest rate of 4.12%, the estimated monthly interest would be £67.73.

This projection is provided for illustration only and does not consider individual circumstances.

How do I open and manage my account?


This account is only available to UK residents aged 18 or above.

An individual cannot be party to more than one account of this type.

Opening the account

You can open an account using our Online Services, in branch or by downloading an application form from our website and emailing or posting it to us. From the date the account is opened, you have 14 days in which to change your mind and close it without notice or penalty.

Managing the account

You can manage your account in branch or by registering for our Online Services.

A minimum deposit of £20,000 is required to open the account. The maximum deposit is £100,000 for individual applicants and £200,000 for joint applicants.

Subject to the maximum deposit level, additional funds may be added up to 14 days after the opening date of the account.

Deposits can be made in-branch by cash or cheque, or online banking.

Can I withdraw money?

No withdrawals are permitted, and the Bond cannot be closed until the maturity date.


In the month of maturity, we will send you a Maturity Schedule outlining the options available at that time. If you wish to withdraw funds at term-end, you will need to complete this schedule and return it to the Society. On the date of maturity, unless you tell us otherwise, your investment will automatically transfer to a new 1 Year Monthly Income Fixed-Rate Bond. You will have 14 days to change your mind.

Additional information

The information contained in this summary box forms part of the terms and conditions of the account and should be read in conjunction with our General Savings Account Terms & Conditions.

*Interest rate terms explained:


AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded once each year.


Tax-Free means that interest is not subject to income tax.

Personal Savings Allowance (PSA)

You may need to pay tax on any interest that takes you over your PSA. The treatment of your account for tax purposes will depend on your individual circumstances. All tax information is based on our understanding of current law and HM Revenue & Customs practice, both of which may change. For more information, visit

It's easy to apply...

Apply online


Ready to apply? Head to our online portal to begin your application.

Apply in branch


Book an appointment to speak with one of our friendly advisers in-branch or over the phone.



Print and complete this form and email to: or post to your nearest branch.




0161 429 6262

Financial Services Compensation Scheme

Did you know that your eligible deposits with the Vernon are protected up to a total of £85,000 (£170,000 for joint accounts) by the Financial Services Deposit Scheme (FSCS), the UK's deposit guarantee scheme?

Learn more about the FSCS

Got a question about savings?

Jump over to our savings help centre and see if we can answer it for you.


Savings Jargon Buster

There are a few considerations to make when opening a savings account, so we've explained as many terms as we can.