Fixed Term Savings - Other than not being able to withdraw, does it work like a regular pot?

I am interested in seeing if the fixed term savings pot is right for me. I intend seed the pot with a certain amount and then contribute a regular amount to it each month. Am I right in thinking that I am able to contribute to these pots as I choose? e.g. Regular amount and then top up some as I can afford each month? I just can’t withdraw.

Do I have to decide on the term at the start or is there a decision window at 6, 9, 12 months (depending on the account terms ofc)?

Thanks in advance.

The pot will tell you what the details are in-app before opening, but no - in general once it’s locked you can’t put money into it. That’s why it’s a fixed pot, it’s designed to be accrual of interest on a fixed amount.


I haven’t ever encountered a ‘fixed-term’ account, which allows additional payments once the account has been funded. So, no - yoiu wouldn’t be able to add funds after say, 6, 8 or 10 months.

The only slight exception to this rule is that some providers (Atom, for example), give you a 14-day period from account opening to fund it, but after that it is ‘fixed’ for the term.

Ah I see. Thank you. I understand now that this is for a fixed pot of money you want to lock away and acrue interest. I was looking for something more akin to a regular savings account. If I understand correctly, Monzo don’t offer anything quite like this? e.g. Minimum regular deposit each month, fixed term for withdrawal, improved interest rate over instant/easy access.

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Correct. They offer either fixed pots with third parties or a get it when you need it pot themselves.

NatWest or FD would be good options right now for that sort of product.

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You could just lock the Instant Savings pot, it then becomes some sort of semi Fixed Pot with that lock, you can then transfer funds into it whenever you want. The current rate is 3.7% AER so it isn’t that bad.

This gives the the flexibility you want, plus you don’t have to wait until the end of the term to earn interest, it’s paid into the pot monthly.

The main disadvantage of the above is that if you are not disciplined, it’s very easy to unlock, withdraw and archive the pot whenever you want, but I’ve been told you can also do this with the Fixed Pot, you only need to come up with an extenuating circumstance and email Monzo CS to do it for you which of course will result in the loss of the interests.

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