Got a question? Below, we’ve answered some of the most commonly asked questions regarding the Metfriendly Monthly Savings ISA.
Monthly Savings ISA
If I apply to open a Monthly Savings ISA how soon afterwards can I pay into it?
Your plan will normally be opened within a week of you completing and submitting your application. Contributions into you plan will be able to be made once opened by a range of options including salary payments, pension deduction, bank transfers or direct debits.
How does a Monthly Savings ISA from a mutual differ to that from a high street bank?
As a mutual we are owned by our members for our members, with no shareholders to satisfy. Our staff are not paid commission so, whilst we cannot give financial advice, our team and application process will make sure that the products offered to you are relevant and transparent.
Plus, our policies are protected by the Financial Service Compensation Scheme (FSCS) for Insurance products. Which means that there is no upper limit on the amount protected, unlike the FSCS Deposit and Investment schemes which are limited to £85,000 per person.
How will my fund grow?
As the Metfriendly ISA is a Stocks and Shares not a Cash ISA, we do not pay interest, but instead offer bonus payments to reflect the gains on the investment in our With Profits fund.
The MSISA will attract an annual bonus, which is payable every year on 31st December, and is also eligible for a final bonus, which you would be eligible for on encashment once that contribution has been invested for at least 3 complete tax years.
The annual bonus for the current tax year, 6th April 2023 to 5th April 2024, has a guaranteed rate of 1.5% for all investments made during the tax year. Plus, bonuses once allocated can not be taken away, therefore you receive compounded growth throughout the life of the plan.
Can Metfriendly change the guaranteed bonus rate?
The Monthly Savings ISA has a guaranteed bonus rate for all investment made in the first tax year which is set at the end of the previous tax year and cannot be changed. Our bonus rates page explains more.
How can I add money to my ISA?
The Monthly Savings ISA is a Stocks and Shares ISA which is designed for regular monthly contributions, but which also accepts ad-hoc lump sum payments, as well as transfers in from other ISA providers.
Minimum monthly contributions are £30, when selecting the Metfriendly Escalator, which will automatically increase your contributions at a sum determined by yourself each year. You can pay in currently up to £20,000 in each tax year. More information can be found on the Metfriendly Escalator at metfriendly.org.uk/escalator. Should you decide not to opt for the Metfriendly Escalator the minimum contribution you can make will be £50 per month.
Ad-hoc lump sums can also be made, with the maximum lump sum that can be accepted being limited by your remaining ISA allowance for the tax year.
How can I transfer funds unto my Metfriendly ISA from another provider?
Transfers are welcome from other ISA providers. They do not count towards the annual ISA limit unless the transfer includes an amount for the current tax year and by completing our transfer form we can take the worry away and make it even easier for you.
We also welcome transfers from Child Trust Funds into our Junior ISA for those below 18 years old, and into an adult ISA such as a Lifetime ISA, Monthly Savings ISA and Lump Sum ISA for those over 18 years old.
What is the Escalator option?
The Metfriendly Escalator allows you to automatically increase your monthly contributions, until you tell us to stop.
This increase will take the April following you opening your fund. For example, if you start your plan at £100 per month from September and set your Escalator at £30 your monthly contributions will automatically increase to £130 per month from the following April and increase by the same amount each April afterwards.
How long do I need to invest for?
The Monthly Savings ISA is a product where investment should ideally be for the medium to longer term, of at least 5 years.
Is my money at risk?
Metfriendly has been established since 1893 and though we offer no guarantee on returns, your policies are protected by the Financial Services Compensation Scheme (FSCS) for Insurance products.
This means that there is no upper limit on the amount protected, unlike the FSCS Deposit and Investment schemes which are limited to £85,000 per person per company. This in turn means Metfriendly goes beyond most High Street providers in protecting your money.
How do I open an ISA?
You can open a Monthly Saving ISA, and other Metfriendly ISAs, by applying online, downloading an application form PDF from our website to print and post back to us, or by completing a paper application form at one of the many events we attend.
If I have to withdraw my money before five years - how can I and what charges will I pay?
Whilst our Monthly Savings ISA is a medium-term investment, we understand that sometimes circumstances change and you need access to money sooner.
Charges for early redemption are based on the number of years each contribution is held for. Withdrawals after two years of investment are penalty free, unless a Market Value Reduction is in force.
How can I easily monitor what my investment is worth?
Each year we send all our members an Annual Statement, but should you wish to monitor what your investment is worth more regularly please do not hesitate to contact our Member Services Team on 01689 891454.
Sometime I have a little extra money available, how can I pay this into my account?
Payments into your account can be made direct from your salary or as a transfer into your ISA. Minimum additional payments of £500 can be accepted.
You can also increase your premiums through the Metfriendly Escalator, which is an automatic way to increase payments on a yearly basis, or through our Premium Modification form.
Who do I contact if I have further questions?
Members, non-members and family members of serving and retired police officers and staff are welcome to contact us. Our Member Services team can help – call them on 01689 891454 or email [email protected].
Take a look here for answers to more frequently asked questions regarding our Monthly Savings ISA.
