Terms & Conditions relating to the HBFS offer on up to 8% interest
in the first year of an Offshore Bond Investment.
As Advertised w/c 7 January 2008
Terms and Conditions of the actual Offshore Bond are as stated in the Royal Skandia literature.
Terms and Conditions of the Offer by HBFS…
• This offer is based on HBFS giving up a proportion of the commission earned, to be rebated directly into the investment.
• Part of the commission given up goes to increase the Bradford & Bingley rate from 6.8% to 8%, whilst a further tranche of commission goes to offset the Bond’s Annual Management Charge, thereby providing the “no-loss guarantee of at least a full return of capital”.
• This should not be seen as a one-year investment. It is a guarantee that lasts one year, but is part and parcel of a Bond, where Royal Skandia provides the offshore “wrapper” and your money is invested a particular cash deposit fund for one year. It should therefore be seen as a medium to long term investment and should be held for a minimum of 5 years.
• Once the guaranteed rate has expired (after 12 months), HBFS will be happy to advise investors on which funds or deposit accounts to switch into for the following term of investment (… there is no fee for this service – nor does Royal Skandia currently charge a switching fee).
• Due to the nature of the guarantee, there can be no withdrawals during the first year, be it by way of ad-hoc lump sums or regular income. After such time, charges could apply.
• The Offer applies only to “new money” to HBFS.
• The HBFS “no-loss guarantee” does not cover bank or institutional insolvency, which is separately addressed by the Financial Services Compensation Scheme.
• These Terms & Conditions should be read in conjunction Terms & Conditions issued by Royal Skandia in reference to their “Collective Redemption Bond”.