IMPORTANT: To help you make the most of your 2019/20 ISA allowance, our telephone lines will be open this Saturday, 4 April 2020 from 09:00 to 12:30 in addition to our normal hours. If you need help around investing or topping up your ISA, call us on 01689 891454.

Monthly Savings ISA

A Stocks and Shares ISA specifically designed to give you tax-free benefits and competitive returns

Monthly Savings ISA, where YOUR money is working hard for you AND you’re in control!

Like all our ISAs the Monthly Savings ISA is a Stocks and Shares ISA, allowing you to shelter up to £20,000 from the taxman every year. With easy regular saving and ad-hoc lump sum contributions, straight from your salary or direct debit, put directly into your fund.

You told us you wanted a simpler product, and we listened

From the new tax year, 6th April 2020, the Monthly Savings ISA is being updated. Whilst the potential of an annual bonus remains, after investment for three complete tax years a final bonus would typically be added to the value when you cash it in.

Helping you reach your saving ambitions faster

Plus the Monthly Savings ISA now comes with a new option – the Metfriendly Escalator – where monthly payments can start from just £30 in the first year, and will automatically increase each year by a minimum of £10 a year, from the following April, until you tell us to stop. Up to £1,666 per month, the maximum monthly ISA limit of £20K/12 months.

How have we updated the Monthly Saving ISA?

  Monthly Savings ISA
(1/1/2016 to 5/4/2020)
Monthly Savings ISA
(from 6/4/2020)

Annual bonus

Annual bonus guaranteed for first two years, with each subsequent year attracting a variable annual bonus

Annual bonus guaranteed for first year, with variable bonus for each following year

Ability to vary premiums and accept lump sums
Eligible for final bonus, after three tax years investment

Plan eligible, after three complete tax years, for a final bonus which is added at point of withdrawal or transfer

Metfriendly Escalator

Enabling contributions to automatically increase each year, from the following April, until you tell us to stop

Early redemption charges

Charges for year of investment (one month’s premium) and tax year following (3%)

Based on number of years the fund is held since first inception

 

Competitive Returns

  • Premiums received during tax year 6/4/2020 – 5/4/2021 will receive a guaranteed annual bonus rate of 1.5% per annum for the first tax year of the plan
  • The annual bonus rate for every subsequent tax year will be set by the Board before the end of the calendar year.   
  • The plan will be eligible, after three complete tax years, for a Final Bonus on encashment.

Flexibility

  • you can vary your premiums, add a lump sum (up to your own Personal ISA allowance), or move an ISA across from another provider using our transfer forms at any time
  • you can stop and restart your premiums at any time
  • all funds invested can be withdrawn penalty free once three complete calendar years have elapsed from when the ISA was opened.

Metfriendly Escalator and low start premiums

  • Metfriendly Escalator allows you to build up your savings, with contributions automatically increasing each year, until you tell us to stop.
  • The increase will take place each April starting in the following calendar year. For example if you start your plan at £50 per month from September, and set the escalator at £20, your monthly contributions will automatically increase to £70 per month the next April, and by the same amount each year afterwards.
  • You can still vary, add a lump sum, stop or restart your monthly contributions at any time.
What returns might I expect from this plan?

This plan has only been offered since 2016 and therefore has no ‘past performance’ to show.

However, an indication of future returns can be guided by the annual bonus rates and the eligibility of a final annual bonus at the end of the third complete tax year.

Where is my premium invested?

The premiums are invested in the Metfriendly With-Profits Fund. For information on what that is and how it works, including a diagram to show the approximate investment mix, please refer to the With-Profits Fund page.

Can I transfer funds held with another ISA provider, or bring my Child Trust Fund across?

Yes. Funds from both ISAs and matured Child Trust Funds can be brought across from other providers to Metfriendly, and added to the Monthly Saving ISA fund, providing the fund owner is over 18 years old. 

Payments from other providers are treated as a lump sum deposit into your account and will need to be at least £500 in value.  To enable you to make transfer into your account a transfer form will need to be completed.

What are the early redemption charges?

We aim to keep all our charges to a minimum with surrender penalties dependent upon how long the plan has been in force.  From the 6th April 2020 the updated Monthly Savings ISA has new redemption charges. Penalty free withdrawals can be made once three complete calendar years have elapsed from the start of the plan.  

Charges for early redemption are based on how long the ISA has been held.

Where:

  • Withdrawal or transfer of plan during its first 12 months = 5% penalty as a percentage of value
  • Withdrawal or transfer of plan between first and second anniversary = 3% penalty as a percentage of its value
  • Withdrawal or transfer of plan after second anniversary: there is no penalty
Number of years since plan started Penalty as % of cash in value
0-1 5%
1-2 3%
3+ 0%

Partial withdrawals

Rather than surrendering your whole plan, the Monthly Savings ISA allows you to access part of your money, without having to close the plan itself. These withdrawals must be for a minimum of £500 and at least £1,000 must remain invested within the ISA after the partial withdrawal. Otherwise the plan may only be surrendered in full.

Metfriendly reserves the right to also apply a Market Value Reduction (MVR) so that the value when you cash in more fairly reflects our performance over the period of investment.

What if I change my mind?

We will send you a certificate showing your benefits and a cancellation notice. If you change your mind, you can return the notice within 30 days for a full refund.

How much will it cost for advice?
  • We do not offer or give financial advice.
  • We do not make any form of commission.
  • The cost of providing verbal or written information about this product is included in our overall expenses.
How do I contact you?

Metfriendly, Central Court, Knoll Rise, Orpington, BR6 0JA

Phone: 01689 891454 

Email: [email protected]

‘Very pleased with the service I’ve received to help me save money direct from my salary.’

DC Chris W, SO15

‘I have always been pleased with the returns from my Metfriendly policies.’

Mr P Payne, Bordon

Very happy with the service. I have a number of policies for myself and my children.

Police Sergeant S Drysdale, DPS Borough Support

Great opportunity for family members to be offered the same offers as members.

Miss A McLeary, ESB

‘I’ve used Metfriendly for the last 5 years and recently the money has gone towards a deposit for our house which we are moving into next month. I will be signing back up next month to help save towards my kids future.’

 

Amanda Cooper (Met CC, Bow)

‘I’ve used Metfriendly for the last 5 years and recently the money has gone towards a deposit for our house. I will be signing back up next year to help save towards my kids future.’

Mrs A Cooper, Met CC, Bow

‘I would recommend Metfriendly to everyone.’

Mrs V Thompson, Dagenham

Good service – always very helpful and informative.

Miss J Coward, South Norwood, London

‘Hassle-free savings that are started every year on my behalf, without me having to call up.’

 

D.C. R McLaren, Hackney Borough Stations