Do NS&I have a cooling off period for new investments?

Kernel_Sanders

On October 29, NS&I rolled over a matured investment of mine into another term account with a penalty for mid-term withdrawals. I don't want this money tied up again, so is there a 14 day cooling off period for this new account/bond that I could invoke?

Ifts

Probably do have a cooling off period - but to make sure you would need to look at the terms & conditions for the investment you hold with NS&I.

You could contact NS&I on 0500 007 007 (7am till midnight) and ask them if you can.

Kernel_Sanders

No need for your edit, I've just rung them and they are sending out a form to enable the funds to be paid into my bank a/c. Didn't expect to get this sorted this evening! I called the non-geographic no. which is 01253840007.

Ifts

Thanks for posting to say you have got it sorted.

Just edited it to make it clear that they are there from 7am till midnight, hard to believe even on a Sunday! From previous experience of having to call NS&I, their customer service is very good.

Kernel_Sanders

Ifts wrote: »

Thanks for posting to say you have got it sorted.

Not sure I have, now. I've had an email from N&SI. Person on the phone made no mention of a penalty, but this email would seem to contradict that:
I can confirm that there is no 30 day cooling off period for the
Guaranteed Growth Bonds. The reason for this is that the terms and
conditions have not changed, we do offer a 30 day cooling off period on
our Saving Certificates, but only for those where the terms and
conditions have changed at maturity.

Ifts

I was unsure what investment it was that you held with NS&I, now knowing that its the Guaranteed Growth Bond - I cant find anything in the T&Cs for them about a cooling off period (only thing under Cancellation rights it says - As Bonds are a fixed rate investment with a set term, there is no right to cancel after investment) that will be of help to you.

Kernel_Sanders wrote: »

I've just rung them and they are sending out a form to enable the funds to be paid into my bank a/c.

Thought the person you spoke to the other day said the above? Maybe they were mistaken and thought you were asking to cash them in rather than asking if they did have a cooling off period.

Did you not get the maturity instructions from NS&I:

We will write to you around 30 days before your investment matures, to explain the options. We'll include the value of your investment, together with information explaining your choices for renewing or cashing in.

If you were just cashing them in, then unfortunately there is a penalty:

You can cash in all or part of your Guaranteed Growth Bond before the end of the term, but we will deduct a penalty equivalent to 90 days’ interest on the amount you cash in. Please note that if you cash in within the first 90 days, you will get back less than you invested. If you cash in part of your Bond, you must keep at least £500 invested.

http://www.nsandi.com/savings-guaranteed-growth-bonds?select=o2i3

Only other thing I would say is give them a call and explain to them that yours were recently renewed, but you didn't want them renewed (they will probably say they gave you maturity instructions and you should have acted on them then if you wanted the funds returned) and need the money.

Worth asking again, if no joy then penalty it is I'm afraid (just cash in some of them? as penalty is 90 days’ interest on the amount you cash in). This is why its important to act on maturity instructions when you receive them before its rolled over for another term.