Moneybox Account
|
Moneybox Account |
|
Min Investment Amount |
Investment Amount
(Annual Interest) |
Gross p.a. (%) |
AER
(%) |
Net p.a. (%) |
|
£10 |
£10 plus |
0.50 |
0.50 |
0.40 |
|
|
Rates effective from 1st September 2010
Children's Account
If you want to get young people into the idea of becoming a 'young saver' and to manage their money better; a Moneybox Children's Savings Account could be just the start they need.
This account is intended exclusively for the younger saver up to the age of 18.
Features
- Easy access to your savings with no penalties for withdrawals.
- Gross interest payable for eligible non-taxpayers.
Age restrictions:
- Open only to younger savers under 18 (or adults on behalf of children). For young savers under 7, the account must be opened by one or more adults known as trustees.
- Once the child reaches the age of 16, the trustee will have the option to remain on the account as a trustee until the child reaches the age of 18. If you do so, interest on the account will be subject to tax.
Minimum initial investment required to open and operate the account:
- £10 for accounts operated in a Branch or Agency.
- £100 for accounts operated by telephone and post.
Minimum/Maximum deposit:
- £1 minimum for Branches and Agency customers.
- £10 minimum for accounts operated by telephone and post.
- £500,000 maximum.
Restrictions on deposits:
- Coins totalling less than £25 will be accepted if sorted and bagged in branch or agency only.
- Cash and coins not accepted by post.
Withdrawals:
- No notice required.
- No loss of interest.
- Up to £500 cash at any Branch or Agency.
- Cheque withdrawals over £10 can be arranged at any Branch or Agency.
- For accounts operated by post and telephone the minimum withdrawal amount is £100. Withdrawal requests can be made by writing to us using our Freepost service or telephoning us with your request.
- Any cheques deposited must be cleared before a withdrawal can be made on them. After paying in a cheque, you will not be able to make a withdrawal against the deposit until the sixth banking day following receipt.
Interest:
- Interest rates on this account are variable and interest is calculated on a daily basis.
- Credited annually to the account at midnight on 1st April.
Tax:
- Account holders can usually have interest paid without the deduction of tax.
- To qualify, HM Revenue & Customs form R85 (available from any of our branches) should be completed by the young saver’s parent
- If the account is opened in a child's name, special tax rules apply if savings are given by the parent to an unmarried child under the age of 18 that produce more than £100 gross income a year. Please refer to the HM Revenue & Customs booklet IR111 (Bank and Building Society Interest), which has a section dedicated to children's savings).
Additional Information:
- On account opening choose to operate your account by Branch or Agency, or by telephone and post.
How do I apply for this account?
Summary of account:
|
Summary Box
Key Product Information for our Moneybox Account |
|
Account name |
Moneybox Account |
|
Interest rates (AERs) |
Current rates are listed above. Interest rates are variable. |
|
Tax status |
Gross or net of income tax. |
|
Conditions for bonus payment |
Not applicable |
| Withdrawal arrangements |
Easy access |
| Access |
Branch, Agency, telephone or post |
Interest rates are subject to change from time to time. Changes to our rates are published either in national newspapers or in writing, within 30 days of the effective date.
AER: stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and compounded each year.
GROSS: The gross rate is the contractual rate of interest before the deduction of tax.
NET: Net rates are shown (rounded to two decimal places) for illustrative purposes after deduction of income tax at 20%.