Advice & Info re guarenteed reserves????

ZoeSmith

Hi,

My grandparents have had a guarenteed reserve for a number of years. They are now at that age where they want to start enjoying their money instead of it being stuck in a bank.

Ive tried to look on the internet about how they need to go about getting their money out of the guarenteed reserve account eg how much they would loose and if its possible to get it out before the allocated time is up?? But ive not been able to find any information on the net as it seems alot of banks have stopped doing this guarenteed reserve option.

So any help advice would be greatly appreciated in a way forward for my grandparents to be able to get their money with as little loss as possible.

Thank you in advance
Zoe xxx

oldvicar

Sounds lke an overdraft - i.e. not their money

ZoeSmith

????? sorry dont understand?????
When my granma retired she put her money in a guarenteed reserve which meant she would recieve a certain amount of interest on her money if it wasnt touched. I dont understand what you mean re overdraft?? it is their money x x

ses6jwg

Guaranteed Reserve is a Halifax bond type account isnt it?

Usually they charge an interest penalty which will vary depending on the term of the deposit, usually up to 245 days.

opinions4u

ZoeSmith wrote: »

My grandparents have had a guarenteed reserve for a number of years. They are now at that age where they want to start enjoying their money instead of it being stuck in a bank.

You make it sound like they want to play Monopoly with real cash!

More likely the funds are in some sort of term deposit and would be more use to them in an easy access account.

You don't say which bank the funds are with. I'm guessing you mean "Guaranteed Reserve" with Halifax or Bank of Scotland. This is a product name for a term deposit with those banks.

Ive tried to look on the internet about how they need to go about getting their money out of the guarenteed reserve account eg how much they would loose and if its possible to get it out before the allocated time is up?? But ive not been able to find any information on the net as it seems alot of banks have stopped doing this guarenteed reserve option.

If it is Halifax or BoS try calling them on 08457 26 36 46.

From memory, for Halifax or BoS, if you withdraw before the end of the term, the penalty is 6 days loss of interest for each calendar month remaining. No withdrawals are allowed in the first six months. So if you have £1,000 saved for 36 months at 5% interest a year, and you're six months in to the account, you would have a penalty of (36-6) x 6 = 180 days interest. 5% x 180/365 = 2.47% x £1,000 = £24.70.

So any help advice would be greatly appreciated in a way forward for my grandparents to be able to get their money with as little loss as possible.

I think the key is to make it clear to other poster what account this is and which bank it's with, otherwise you could get all sorts of weird and wonderful answers.

If they've got more than one Halifax Guaranteed Reserve account it would be best to list them all - amounts, maturity dates and rates and clarify how much money is wanted and when.

Hope that helps.

ZoeSmith

Yes that helps alot, it is a halifax account but unsure of how long they have left so going to take them to the bank to find out. Just wanted to find out what they would loose to see if it would be worth it.

Thank you for your help, much appreciated x