FirstSave has launched a new 18 month bond paying 1.90%, which enters just below the market leading product in its sector.
The bond, which can only be managed online, requires a minimum investment of £1,000.
FirstSave, provided by FBN Bank (First Bank of Nigeria), has also lowered its seven-year bond to 3.25%, though this remains competitive compared to rival products.
As savings rates continue to flop and interest rates show little sign of rising again, fixed-rate bonds remain one of the few ways of scraping a little extra from your deposits.
The best rates on easy access savings barely exceeds 1.50% at the moment. The Kent Reliance (KRBS) offers this on its instant access saver, but savers will need to access a branch to open it.
The only higher rate on offer is with Saga, which has just launched an internet saver paying 1.55%. However, this is limited to the over 50s, and includes a hefty bonus which will expire after 12 months.
Find out more about bonus rates here.
Cash ISAs are little better – the standout rate is currently 1.81% from the Islamic Bank of Britain, and customers must give 120 days' notice to access their cash.
The Post Office and BM Savings offer instant access ISAs at 1.55% - both supported by a temporary bonus rate – and there are a glut of products offering 1.50%.
But this remains a massive disappointment considering the measures that were introduced this year to boost the personal allowance and make ISAs more flexible for savers.
For those unwilling to trust the more lucrative peer-to-peer model or who prefer not to save in instalments, savers are left with the option of switching to an interest-paying current account or investing into a fixed-rate bond.
The FirstSave bond improves the options available for short-term bonds, with several offering 1.90% over 12 or 18 months.
It also matches SecureTrust in the market for long-term bonds following the withdrawal of Skipton Building Society, which had been a strong contender in this sector for some time.
However, experts frequently warn against committing to such long terms, as it is difficult to predict how market trends will go and how competitive this rate is likely to be in a few years' time.