Terms and Conditions

a.    The Society agrees to pay gross interest on the Principal Amount at the Interest Rate for the Term, subject to the Society’s rules and the availability of distributable reserves, in consideration for the Member's agreement not to request withdrawal of the Fixed Term Withdrawable Shares during the Term.  

b.    Maturity interest is paid on the Fixed Term Withdrawable Shares at the end of the Term. Interest is paid gross and is liable to tax.  

c.    At the end of the Term, unless the Member instructs otherwise, the Principal Amount shall be treated as part of the ordinary withdrawable share capital of the Society with interest payable at the rate applicable to such withdrawable share capital.  

d.    Maturity interest shall be forfeited on early termination of any Fixed Term Withdrawable Shares.  

e.    The minimum amount a Member can hold in a Fixed Term Withdrawable Shares is £1,000. The maximum amount which a Member may have in Share Accounts which includes Fixed Term Withdrawable Shares is limited by law to £100,000.  

f.    The Member will be regarded as exclusively entitled to the benefit of the Fixed Term Withdrawable Shares. No notice of any trust shall be entered into the register against the title of the Member, and the Society shall not be affected by notice of any right, title or claim of any person to these Fixed Term Withdrawable Shares other than the Member.  

g.    Fixed Term Withdrawable Shares form part of the share capital of the Society.  

h.    Fixed Term Withdrawable Shares are not transferable.  

i.    On the death of the Member their personal representative(s) shall be the only person(s) recognised by the Society as having title to their Fixed Term Withdrawable Shares.  The Principal Amount will be paid to the personal representative(s) together with interest calculated at the standard rate from the Date of Issue up to the date of such payment.  

j.    Any person entitled to these Fixed Term Withdrawable Shares by operation of law may be registered as its holder upon such evidence being produced as the Society may reasonably require and in accordance with the Rules of the Society.  

k.    The Society shall be entitled to terminate some or all of these Fixed Term Withdrawable Shares at any time on the expiry of 30 days’ notice given in writing to the Member. On such early termination the Principal Amount together with all maturity interest from the Date of Issue up to the date of such early termination will be repaid to the Member.   

l.    A notice sent by post to the Member at their last known address shall be deemed to have been duly served upon the Member at the expiration of 48 hours from the time of posting. Notices shall be served upon the Society at its registered office.  

m.    Changes to these Terms and Conditions can only be made on 30 days’ notice provided by the Society.  Changes will be publicised by notice displayed in the Society's registered office and all other places of business of the Society to which members have access and by such other means as the Board shall determine from time to time.  

n.    The Society reserves the right to decline an application for Fixed Term Withdrawable Shares at its sole discretion and without further explanation.  

o.    The Fixed Term Withdrawable Shares the members hold are part of the withdrawable share capital (WSC) of the Society. If the Society is unable to meet its debts and other liabilities, members risk losing the amount they hold in shares in the Society.  Hence the Society’s shares are known as risk capital. This may make it inappropriate for members as a place to keep their savings.  

p.    Owning Fixed Term Withdrawable Shares is not the same as investing in the shares of a company. It is primarily for the purpose of supporting the Society in furthering its purpose and objects. There are various important differences between WSC and company shares and these are set out in the Explanation of Withdrawable Share Capital in a Consumer Retail Society which can be found here. For example, WSC held in your Share Account may receive interest but will not increase in value.  

q.    The Financial Services Compensation Scheme, which covers bank, building society and credit union accounts, does not apply to your Share Account with the Society, so you cannot claim compensation under the Scheme in the event of the Society not being able to meet requests for withdrawal of shares. This is because the Society does not require authorisation under the Financial Services and Markets Act 2000 to operate WSC. Societies are therefore not subject to supervision either by the Prudential Regulation Authority or by the Financial Conduct Authority in relation to WSC.  

r.    The East of England Co-operative Society follows a Code of Best Practice on Withdrawable Share Capital. A copy of the Code and further information regarding Fixed Term Withdrawable Shares can be found here. Alternatively, you can request this by post, addressed to: The Society Secretary, East of England Co-op, Wherstead Park, Wherstead, Ipswich, IP9 2BJ.