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In addition to the Savings general terms and conditions, the following terms and conditions apply to the Inheritance Cash ISA. If there is a conflict between the Savings general terms and conditions and these Inheritance Cash ISA terms and conditions, these Inheritance Cash ISA terms and conditions will take priority.
Meanings of Words and Expressions
- In these conditions the following words and expressions have the following meanings:
- “Account” means a Nationwide Inheritance Cash ISA.
- ‘Deceased’ means an individual who was your spouse or civil partner who died on or after 3 December 2014 with whom you were living at the date of the Deceased’s death and who, at the date of their death, was an ISA account holder.
- ‘Deceased’s Account’ means an ISA which the Deceased held with an ISA provider at the date of the Deceased’s death.
- ‘Inherited ISA allowance’ means the maximum amount, in aggregate, that can be paid into your Inheritance Cash ISA with us being:
- the value of the Deceased’s Account at the date of death; or
- where the Deceased held more than one Deceased’s Account, the combined value of those accounts at the date of death, in each case provided that you have not deposited funds towards the allowance with another ISA provider in respect of any such Deceased’s Account.
‘Permitted Period’ is a period of time beginning with the date of the Deceased’s death and ending either:
- 3 years thereafter; or
- 180 days after the administration of the estate is complete; whichever is the later.
For the purposes of calculating the Permitted Period, where the Deceased died in the period beginning 3 December 2014 and ending on 5 April 2015, the date of death will be taken as 6 April 2015.
“Regulations” means the Individual Savings Account Regulations 1998 as particularly amended by the Individual Savings Account (Amendment) Regulations 2015, or as otherwise amended from time to time.
‘You/your’ means the holder of the Account and who is the surviving spouse or civil partner of the Deceased.
Account holding and Ownership
An application for an Inheritance Cash ISA can only be made:
- by an individual who is the surviving spouse or civil partner of the Deceased; and
- within the Permitted Period.
- You agree that in subscribing to this Account and when making future deposits, if any, you will not exceed your Inherited ISA allowance.
- The Account is only available to individuals who are aged 16 or over.
- Proof of your identity, verification of your address and your National Insurance Number may be required on Account opening.
- The Account will be, and must remain in, your beneficial ownership and must not be used as security for a loan.
- You may only hold one Inheritance Cash ISA with Nationwide in relation to a Deceased at any given time.
Subject to the Regulations and your personal annual ISA allowance(s), you may be entitled to subscribe to another ISA in the same tax year as subscribing to this one. This is because your Inherited ISA allowance is in addition to your personal annual ISA allowance(s).
For more information about your personal annual ISA allowance(s), Inherited ISA allowance and any other permissible subscriptions please visit us in branch or visit our website www.nationwide.co.uk or HMRC’s website www.hmrc.gov.uk for further details.
- Interest is calculated daily and paid annually on 30 September and on closure.
- Interest will not accrue to the Inheritance Cash ISA following closure.
- Interest can be paid into the Account, a Nationwide current or savings account (subject to any restrictions on deposits into that account) or a current account with another bank or building society. Interest is paid tax free.
- We will calculate interest on each whole pound in the Account.
- The interest rate payable on the Account is variable.
- You may only make deposits into the Account within the Permitted Period.
- The minimum amount for any deposit is £1.
- Payments into the Account must not cause you to exceed your Inherited ISA allowance.
You can withdraw any available funds in the Account without notice or loss of interest.
- If you wish to transfer all or part of your Inheritance Cash ISA with us to another cash ISA provider we will send the funds and accompanying information to the new provider within 5 business days of the date of receipt of a transfer instruction from the new provider.
- If you wish to transfer all or part of your Inheritance Cash ISA with us to a stocks and shares ISA provider we will transfer the account within the time stipulated by you or within 30 days of receiving the request from your new provider, whichever is the longer.
- If you transfer all or part of your Inheritance Cash ISA with us to another ISA provider before you have fully used up your Inherited ISA allowance within the Permitted Period, you will only be able to make any future deposits in relation to the Inherited ISA allowance to an Account held with us, and not to the ISA provider you have transferred to. These terms and conditions will continue to apply to any such future deposits.
- Any deposit that is made into the Account counts towards your Inherited ISA allowance. So if, after the cancellation period (within 30 days of Account opening), any funds are withdrawn from the Account you cannot pay any more money into the Account if it means that you would exceed your Inherited ISA allowance.
- If you withdraw funds from the Account and wish to replace them in the same tax year, you can only replace these funds in another cash ISA product with us. The replacement will not count towards your personal annual ISA allowance. If you transfer your Inheritance Cash ISA to another ISA provider you will not be able to replace those funds.
Closing the Account and cancellation
If, after opening the Account, you do not consider it to be suitable you may transfer the balance to another Account with us, or have the money returned. In either case we must receive notification of your intention within 30 days from the date that the Account was opened. Interest will be paid tax free and the subscription will not count towards your Inherited ISA allowance which can be deposited into an Inheritance Cash ISA with us, or similar product with another ISA provider, in the Permitted Period. You can open a subsequent Inheritance Cash ISA with us or a similar product with another ISA provider within the Permitted Period up to the value of your Inherited ISA allowance.
If, after the cancellation period (within 30 days of Account opening), you close the Account any deposits made before closure count towards your Inherited ISA allowance and cannot be reinvested. If you have not reached your Inherited ISA allowance, the remaining amount can be reinvested into another Account opened with us provided this is during the Permitted Period.
Your Inheritance Cash ISA will close and tax exemption will end;
- on your death;
- upon the direct instruction of HM Revenue and Customs.
If your Inheritance Cash ISA breaches the Regulations we reserve the right to:
- convert all or part of the Account to an instant access savings account, or similar account, without prior notice. The terms and conditions and interest rate applicable to the new account will apply; or
- close the account; or,
- where a subscription is invalid, reject the subscription and return the funds.
You may not make any further deposits into the Account:
- after the end of the Permitted Period (which we will assume is 3 years from the date of the Deceased’s death unless you inform us that an extended period applies); or
- if you have reached your Inherited ISA allowance.
On your death no further deposits can be made into the Account and your Inheritance Cash ISA will close and the tax exemption end. The capital value of your Inheritance Cash ISA and the accrued tax free interest is payable to your personal representatives.
- We will notify you if, due to any failure to satisfy the provisions of the Regulations, your Inheritance Cash ISA has, or will, become void.
- If we delegate any of our functions or responsibilities under these terms and conditions we will satisfy ourselves that the person or organisation we delegate to will be competent to carry out those functions or responsibilities.
- In the case of conflict, the Regulations take priority over these terms and conditions.