Specific Terms for Loyalty Mortgage Saver (2)
The Saving Accounts Terms and Conditions in force and as updated from time to time and these Specific Terms both apply to this Loyalty Mortgage Saver (2). If there is any inconsistency between the Saving Accounts Terms and Conditions and these Specific Terms, the Specific Terms will apply.
In these Specific Terms:
'Anniversary Date' means the 12 month anniversary of the date that you opened your account;
‘Eligible Mortgage Account’ is an open mortgage account with either Coventry Building Society, ITL Mortgages Limited or Godiva Mortgages Limited. Mortgages to limited companies and other types of business organisations are not Eligible Mortgage Accounts;
'Named Bank Account' is an account you choose to send money to and/or interest payments. It must be in your name and with us or another UK bank or building society. If you have a joint account, your Named Bank Account can be in either one or both of your names; and
‘Overpayment Feature Deadline’ is the last day that the Overpayment Feature can be utilised, which is three months starting from the Anniversary Date.
1. The account
1.1 This account is a Savings Account.
1.2 This is a statement-based account. We describe accounts that do not have passbooks as ‘statement-based’. This statement-based account may be operated by post, by telephone or online. In addition, you may make deposits of cash or cheque into this statement-based account in branch.
1.3 This account will only exist for 12 months. Unless you tell us otherwise, your money will be transferred to an Easy Access Saver (Maturity) account (or a subsequent issue) after this period, as outlined in Condition 9 below. Details of this will be sent to you before the 12 months are up.
1.4 You must give us the details of your Named Bank Account. If, at any time, there is a change to your Named Bank Account details, you must contact us to let us know.
2. Account opening
2.1 To apply to open this account:
(a) you must currently hold (either in sole or joint names) at least one Eligible Mortgage Account;
(b) you must be at least 18 years old; and
(c) there may be no more than two joint account holders.
2.2 If the account is held in joint names, we are unable to accept arrangements where both account holders are required to authorise transactions on the account. This means that either account holder can instruct us to make changes on the account and complete transactions.
2.3 If you open this account with us but did not qualify for it at the time of opening, we reserve the right to close the account and return the funds to you.
2.4 You can only be named as an account holder on one Loyalty Mortgage Saver (2) account (including any previous or other versions of the product) at any one time. If you are named on more than one Loyalty Mortgage Saver (2) account, we reserve the right to close any additional account(s) and return the funds to you.
3. Minimum & maximum balance
3.1 The minimum balance is £1. The maximum balance is £6,500 (excluding interest), made up of multiple deposits as described in Condition 6 below.
4. Overpayment Feature
4.1 Any savings deposited in this account on the Anniversary Date can be used to make an overpayment to an Eligible Mortgage Account within three months from the Anniversary Date (up until the Overpayment Feature Deadline). This is known as the ‘Overpayment Feature’.
4.2 The Overpayment Feature can be made on top of and as well as any other overpayment functionality your Eligible Mortgage Account has as long as:
(a) Your Loyalty Mortgage Saver (2) account has been continuously open and reached its Anniversary Date; and
(b) You remain eligible for this Loyalty Mortgage Saver (2) account.
4. 3 The Overpayment Feature will not be subject to any early repayment charges provided for in your Eligible Mortgage Account terms and conditions.
4.4 The Overpayment Feature can be used to make partial overpayments to more than one Eligible Mortgage Account or to various sub accounts within the overall Eligible Mortgage Account.
4.5 If you have a joint Eligible Mortgage Account, and both joint account holders have a sole Loyalty Mortgage Saver (2), each Loyalty Mortgage Saver (2) account holder can use the Overpayment Feature in respect of the joint Eligible Mortgage Account.
4.6 We reserve the right to refuse any requests to use the Overpayment Feature after the Overpayment Feature Deadline.
4.7 If you decide to use the Overpayment Feature, you will need to tell us if you would like the Overpayment Feature to reduce the term of the Eligible Mortgage Account or to lower the monthly payments of the Eligible Mortgage Account. You can tell us in the instruction form that we will send you before the Anniversary Date. Alternatively, you can call us and give your instructions after the Anniversary Date.
4.8 Upon the Anniversary Date (or within the three-month period thereafter up until the Overpayment Feature Deadline) you must decide whether you wish to utilise the Overpayment Feature – there is no requirement for you to use the Overpayment Feature.
5. Interest
5.1 The interest rate for this account can change. The same interest rate will be paid to all Loyalty Mortgage Saver (2) accounts, whether the account holders wish to use the Overpayment Feature or not. You can find out the current interest rate from our website www.coventrybuildingsociety.co.uk, by calling our Customer Service Centre or asking in one of our branches.
5.2 Interest is paid annually on the Anniversary Date of your account.
5.3 You can choose to have the interest added to this account or paid to an account with us which is not an ISA and can accept the interest payment. It can also be paid to another UK bank or building society if it can accept the interest payment.
6. Deposits
6.1 Deposits of up to £500 can be paid into this account each calendar month. If you take money out of this account during the calendar month, your allowance for the calendar month won’t increase (i.e. the maximum that can be paid in for the calendar month will still be £500).
6.2 You can pay in as many times as you like during each calendar month, as long as the total amount you pay in doesn't exceed £500 per calendar month.
6.3 If you open your account part-way through a month, you may still deposit up to £500 until the end of that calendar month. Likewise, if your Anniversary Date is part-way through a month, you may still deposit up to £500 in the final calendar month up until your Anniversary Date. This means that if you open your account on the 1st of a month, your maximum balance is £6000 (excluding interest). If you open your account on any other day of the month, your maximum balance is £6500 (excluding interest).
6.4 If you make a payment into this account which would result in you exceeding your £500 limit for a calendar month, the entire payment will be rejected and will not be credited to this account.
6.5 Deposits can be made by:
(a) cash at a branch;
(b) cheque paid in at a branch or posted to our central processing centre;
(c) transferring money from another account with us; or
(d) regular standing order or making a one-off electronic payment from an account with another bank or building society.
7. Changing your mind
7.1 You have a period of 14 calendar days to change your mind about opening this account (‘cooling-off period’). This means that you can withdraw your funds and/or close this account without incurring a charge at any time within 14 calendar days of opening this account. You can do this by calling the Customer Service Centre, visiting a branch or by writing to us at Oakfield House, PO Box 600, Binley, Coventry CV3 9YR.
7.2 If you do not close this account during the cooling-off period, it will continue in accordance with the Saving Accounts Terms and Conditions, in force and as updated from time to time, and these Specific Terms.
8. Withdrawals and closing your account
8.1 If you do not change your mind within the 14 calendar day cooling-off period after opening the account, you can make withdrawals or close this account without giving us notice. You will be charged an amount equal to 30 calendar days' interest on the amount withdrawn on each occasion. The charge will be deducted from the balance of the account at the time when you withdraw your money or close the account. You cannot avoid the charge by giving notice of a withdrawal or closure.
8.2 You can withdraw money or close your account by:
(a) transferring your money to another account with us; or
(b) making a one-off electronic payment to your Named Bank Account.
9. Upon Anniversary Date
9.1 Unless you tell us otherwise, at midnight the day before the Anniversary Date, this account will automatically become an Easy Access Saver (Maturity) and all your money will be transferred into this account. We will contact you in writing at least 14 calendar days before the Anniversary Date with full details on how Easy Access Saver (Maturity) can be operated. We will also remind you of the Overpayment Feature and details of how to use it at least 14 calendar days before the Anniversary Date.
9.2 Unless you instruct us otherwise, the frequency of interest payments, the account to which interest is paid and the Named Bank Account that is registered on the Easy Access Saver (Maturity) account, will be the same as for this account.
9.3 If your money is transferred into an Easy Access Saver (Maturity), then we will contact you within 7 business days following the Anniversary Date to confirm this. You will be able to withdraw from or close your Easy Access Saver (Maturity) whenever you like without notice, charge or loss of interest. Any withdrawals made (including closure) before the Anniversary Date will be charged 30 calendar days' interest on the amount withdrawn.
9.4 We will contact you at least 30 calendar days before your Overpayment Feature Deadline, to remind you of what you will need to do and by when, if you wish to use the Overpayment Feature.
