The Bank of Cyprus has launched a series of bonds specifically designed for the charity sector.

The CharityBonds are available with a minimum deposit of £2,000 and a maximum deposit of £1m (although higher amounts may be considered at the bank’s discretion). There is no restriction on the number of bonds that can be held by any one institution.

The Bank of Cyprus will pay an immediate donation to the depositing charity of 0.1 per cent of the initial deposit (maximum £1,000) for bonds opened for up to 18 months, wit the sum rising to 0.2 per cent (maximum £2,000) for bonds opened for two years or more.

The Charity FlexiBond has also been launched by the Bank of Cyprus. The Bond allows the holder to benefit from a competitive one year bond rate and a high level of penalty-free access to their funds with the ability to make up to two withdrawals for a total up to 30 per cent of the original deposit at any time subject to 35 days’ notice.