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1. Introduction

1.1These terms and conditions (referred to as the “Conditions”) apply to all savings accounts with the Society, except if they are inconsistent with special conditions for particular accounts (in which case, those special conditions will apply). The Conditions apply to successive operations or a series of operations of the same nature to be performed over time in respect of your accounts.

1.2In the Conditions:

• “the Society”, “we”, “us” and “our” refer to Holmesdale Building Society;
• “you” and “your” refer to holders of savings accounts;
• “our office” refers to our sole branch/office at 43 Church Street, Reigate, Surrey, RH2 0AE

1.3If you are a company, partnership, sole trader or unincorporated body e.g. club, association or charity, please see our Deposit Accounts information leaflet for additional conditions.

2. Membership

Please see our Rules: rules 4, 5 and 6, for details of membership. A copy of our Rules will be given or sent to every new customer. Additional copies are available on request from our office.

3. Opening an Account

3.1Application You agree to provide full details required in our application form and also to sign a specimen signature card.

3.2Identification We require evidence of identity and address before an account is opened. If we receive money and are unable to obtain satisfactory evidence of identity, the money will be returned to you, subject to cheque clearance. See our leaflet Identification Requirements for further details.

3.3Your Right to Cancel If you are unhappy about your choice of account within 15 days of opening it, you must tell us in writing. We will help you switch accounts or give you your money back (subject to cheque clearance) with interest and ignore any notice period or initial charges. The 15 day period commences on the day you open the account or when you receive these terms and conditions, whichever is later. This condition does not apply to our fixed rate products.

3.4Help Us to Help You by letting us know in writing, or in person, if you change your name, address, phone number or e-mail address. Delays may occur if you do not and may result in the account becoming dormant, see rule 12.

4. Minimum and Maximum Balances

4.1The minimum amounts that can be held in any particular accounts are detailed in the Summary Box – Key Product Information for each account.

4.2The maximum holding by any one person in respect of all savings accounts is subject to change and defined by the Society. Please contact the office for up to date information.

5. Paying Money Into Your Account

5.1Unless special conditions apply to your account you can pay into your account:

• at our office in person or by post (we do not recommend sending cash via the post);
• from your bank or building society account to our bank account number 27584798 sort code 60-17-27 by standing order, BACS, CHAPS or bank transfer. Please also quote your Holmesdale account number as a reference;
• via the Post Office to the Society’s account number 3051714 (see 6.2).

5.2For security reasons, we reserve the right to refuse to accept large sums of cash in notes (£10,000 or more), or coins (10 bags or more).

5.3Cleared Funds The central cheque clearing cycle normally takes 3 working days (Monday to Friday excluding bank holidays). However, as the Society is not a clearing bank, please allow six working days to elapse before withdrawing against any cheques paid into your account, e.g. cheques paid in on a Monday will be cleared for withdrawal on the Tuesday of the following week.
Where cheques are paid in on a Saturday, interest will accrue from the Sunday; however, they are treated as if they were paid in on the following working day for clearance purposes.
Payments other than by cheque paid into our bank account by you are treated as cleared funds from the day of receipt.
Payments paid via the Post Office by you (see 5) are credited to your account on the 14th or last day of each month and treated as cleared funds.

5.4Unpaid Cheques A fee will be charged if a cheque is unpaid. No interest will be earned and any interest so credited on the assumption that your cheque would be met will be taken from the account.

6. Withdrawals

6.1Withdrawals are subject to cleared funds (see 5.3) and the terms of the account. No withdrawal will be allowed without the passbook and the account holder(s) signed instructions (N.B. instructions by fax or e-mail are not acceptable), or where withdrawal would cause the account to be overdrawn. Unless otherwise stated for your account, withdrawals can be made by:

• Cheque up to £100,000; for larger withdrawals we require one day’s written notice. Cheques issued by the Society must be presented within six months or they become out of date.
• Cash, up to £300 is permitted each working day. For larger amounts of cash a ‘cash cheque’ can be drawn and cashed at our specified bank in Reigate during their opening hours.
• CHAPS withdrawals are permitted, but must be received by us before 3:00 p.m. for payment the same day. A fee applies for this service (see 22).

6.2Notice Periods Where the terms of the account require notice for withdrawal, that notice must be given in writing and state the date on which the withdrawal is to be made and, unless the account is to be closed, the amount to be withdrawn. If within 14 days after the notice expires we have not received the passbook or other information in order to make the withdrawal, the notice will lapse.

6.3Stopped Cheques We must be informed in person or in writing of a stopped cheque request and a fee is payable (see 22). Cheques made payable to third parties will not normally be stopped unless there are exceptional circumstances.

6.4In exceptional circumstances, we may impose a limit on withdrawals if we reasonably consider it necessary in order to protect the interests of our members. We may also limit a withdrawal in circumstances where you owe us money which is due for payment but which has not been paid.

6.5Unauthorised Payments If you advise us of a payment that has been taken from your account without your authority, we will immediately refund the money to your account, unless we have evidence that you have acted fraudulently or negligently.

7. Interest

7.1When you open an account, we will tell you the interest rate that applies and when interest will be paid and credited to the account. Up to date interest information is also available:

• in our Interest Rates leaflet;
• on our website; or
• by contacting our office staff in person or by telephone.

7.2We generally calculate interest and it is accrued on:

• an amount paid in from the day we receive it;
• any amount withdrawn up until the day prior to withdrawal;
• cheques from the day after their receipt.

7.3Interest Rate Changes We will post a letter or notice to you or send an e-mail before the interest rate is varied on your account whether the rate goes up or down. If the interest rate reduces, and that reduction is materially disadvantageous (see 7.4), we will give you at least 14 days prior notification of the change and a period of 30 days from the date of notification (see 17) to close or switch your account without notice or penalty.

7.4In line with industry guidance, a materially disadvantageous reduction in interest rates is either when:

• the interest rate falls by more than 0.25% in a single movement, or
• a single interest rate fall of 0.25% or less results in a cumulative fall of 0.50% over the preceding 12 months.

This only applies to accounts with a balance of £500 or more at the time the decision is made to change our interest rates.

7.5We will amend the interest rates on our website within 3 working days of any changes coming into effect.

7.6We will normally amend our interest rates within 30 days of changes to the Bank of England Base Rate (Base Rate). However, we will not necessarily follow changes to the Base Rate and we reserve the right to amend interest rates at any time.

7.7We may change the interest rates or interest rate bandings (tiers) if we reasonably believe that the change is needed for any of the following reasons (which may relate to circumstances existing at the time, or those which are expected to apply in the near future):

• to reflect market conditions – including interest rates payable by other institutions;
• so that we can compete more effectively with other financial institutions;
• our costs have increased or are expected to increase;
• to maintain our financial strength for the benefit of all our customers;
• to take account of changes in the law or the decisions of a regulator, Ombudsman or similar.

7.8We will give you the choice of having interest added to your account, paid to another account with us, or paid into your bank account if the interest to be paid is £10 or more. If the interest to be paid is less than £10, it will be credited to your account.

7.9We will send you, at least once every year, our Interest Rates and Summary Box – Key Product Information leaflet for all of our savings accounts. This will enable you to compare your account with the others on offer and, if required, we will assist you in transferring your money to another account.

7.10Tax Where required by legislation, interest will be paid or credited after deduction of income tax at the appropriate rate. If you are eligible to receive gross interest, please contact the Society.

8. Account Charges

8.1We do not make any charges for the day-to-day running of our savings accounts. However, we may charge you for additional services relating to your account and we may deduct those charges from your account with your approval. In respect of an unpaid cheque, we may deduct charges from your account without your approval as we need to make these charges to cover the costs incurred from our bankers.

8.2 Our charges are detailed in our Tariff of Charges, see 22. Further copies are available on request from our office, or our website.

8.3 Changes may also be made in relation to the operation of an account and will reflect expenses we incur and include staff costs.

8.4 Changes to these charges may be made if we reasonably believe that the change is needed for any of the reasons quoted in 7.7 and may include the abolition or alteration of existing charges or the introduction of new charges.

8.5A change that is to your disadvantage will be effective after at least 30 days' notice is given. During the 30 days from the date of notification (see 17), you may switch or close your account without having to give any period of notice or pay a penalty.

8.6If you do not tell us that you object to a change before the date on which it comes into effect, you will be deemed to have accepted it.

8.7A change to your advantage which abolishes a charge, or reduces one, may be introduced with immediate effect.

9. Closing Your Account

9.1You can close your account at any time, subject to any special conditions that apply to particular accounts and to normal administration requirements.

9.2We may choose to repay your investment at any time, without you having to pay a charge or losing interest, after giving at least 30 days? notice without giving a reason. We will not use this right to close fixed rate term savings account, or (subject to 9.3) if you are making a complaint.

9.3We may close your account immediately if at any time we reasonably think that:

• you are not eligible for the account in question;
• you have given false information on your application;
• your account is being used illegally by you or someone else;
• by keeping the account open we might break a law or regulation that applies to us.

10. Joint Accounts

10.1If an account is held in more than one name, then only the holder whose name appears first in our records will be entitled to membership rights such as the right to receive notices of Annual General Meetings or other meetings, or to vote at meetings. Also, the address of the first named will be the address that we send all other correspondence to unless you instruct us otherwise.

10.2You may change the order in which the names appear by requesting this in writing signed by all account holders.

10.3For tax purposes only, we will treat joint account holders as being entitled to the money in the account in equal shares.

10.4Authority to Operate Joint account holders may authorise in writing one, both or all of them to be able to operate, make withdrawals and other transactions on, the account. Any account holder can stop this authorisation by giving notice in writing.

10.5Disputes Between Account Holders If we become aware of a dispute between the account holders then both or all signatures will be required despite any authorisation previously given under condition 10.4.

10.6Relationship Ceases If a relationship between the account holders ceases, you will need to tell us about this. We will require the signatures of both/all account holders if you want the account closed or your name removed from it. If you do not inform us, we will continue to operate the account in accordance with the instructions you have given to us.

10.7Joint Liability The joint account holders are separately responsible for the full performance of obligations of the account holders and not just a share of them.

10.8We do not have to recognise the interest or claim of any person other than the account holders in respect of money held in the account, nor will we be liable in any way for failing to recognise such interest or claim, except as required by law.

10.9Death of an Account Holder On proof of death of any joint account holder, we will recognise only the survivor(s) as having any ownership of or interest in the account and the survivor(s) shall be entitled to operate the account.

11. Transfers

Unless special conditions apply for a particular account you can transfer your investment subject to our approval and the payment of any necessary fee. We do not have to agree to the transfer and may instead request that the account is closed and a new account opened in the new name(s).

12. Dormant Accounts or Unclaimed Balances

12.1If either, for a period of 5 years you have made no payment into or withdrawn from your account(s), and/or you cannot be traced after reasonable enquiry, we will make dormant or close your account. If you have money in a dormant or closed account, it will remain your property (or if you die it will become part of your estate).

12.2To reopen a dormant or closed account, evidence of your identity, in accordance with the Society?s procedures at that time plus a nominal (minimum £1) monetary transaction will be required.

12.3A record of dormant accounts and unclaimed balances will be retained in perpetuity and the funds in the accounts will continue to attract interest on the same basis as the preceding live account (subject to 12.5).

12.4We will respond to enquiries received via the website http://www.mylostaccount.org.uk/ promptly and, in any event, within three months.

12.5We will comply with the Dormant Bank and Building Societies Accounts Act 2008 for the transfer of accounts that are dormant for 15 years, or more, to a central reclaim fund. We will write to you, at your last known address, before transferring your account funds. The money will remain your property (or if you die it will become part of your estate). Please contact the Society for details of the fund and how to make a claim for funds that are transferred by us.

13. Account Documents and Security

13.1An Account Document is a passbook, certificate, or any similar item, which relates to your account. It will remain our property and must be returned to us whenever we ask, to be brought up to date or for such other purposes as we may reasonably require.

13.2You must produce the relevant Account Document before making a withdrawal.

13.3You must immediately notify us at our office if you discover that any Account Document is missing. After you have provided such evidence regarding the loss, given any indemnity, and paid any fee, which we may reasonably require, we will transfer the amount in the account to a new account and issue you with a new Account Document.

13.4If someone other than you produces your Account Document to us and pretends to be you or to be authorised by you, and is therefore able to withdraw money from your account, you will be liable for the first £50 of the unauthorised withdrawals. If you have acted fraudulently or have negligently failed to comply with your obligations under these terms and conditions, you are liable for the full amount of the withdrawals.

13.5You will not be liable for any withdrawals after you have told us of the loss, theft or unauthorised use of your Account Document, unless you have acted fraudulently.

13.6You should check your passbook regularly. If there is an entry which seems wrong you should tell us as soon as possible, so that we can resolve the matter.

14. Running Your Account

14.1Complaints Should our service not meet you expectations, we will do all that we can to deal with your complaint within our procedure for the handling of complaints. We are members of the Financial Ombudsman Service scheme and a copy of the leaflet Your Complaint and the Ombudsman is available on request.

14.2Moving Your Account If you decide to move your account to another bank or building society we will co-operate with them and give them information about your account so that the transfer is made as efficiently as possible.

14.3Matters Beyond Our Control We will not be liable to you if we are unable to provide any service in connection with your account because of the effect of strikes, power failures or other causes beyond our reasonable control. We will however do our best to resume the service as soon as possible by all reasonable means.

14.4StatementsAccounts operated with a passbook will not be issued with a separate statement as the passbook provides a full record of the transactions when updated. However, an HM Revenue & Customs tax statement will be issued for all relevant accounts after the Society?s tax year-end of 31st March each year.

15. Financial Services Compensation Scheme (FSCS)

15.1As a customer of the Holmesdale Building Society your account(s) with us are covered by the FSCS up to the maximum of £50,000 per person.

15.2All individuals and small firms are covered; however, there are a small number of customers who are not covered. Details of exclusions from the FSCS cover can be found on the Financial Services Authority’s website at: http://fsahandbook.info/FSA/html/handbook/COMP/4/2.

15.3Further details of the scheme in general are also available on request from the Society or via the FSCS website at: http://www.fscs.org.uk/.

16. Agreement to Assign Windfalls to Charity

16.1If you had an account with the Society on 1st May 2000 and have kept a savings account with us ever since then, paragraphs 16.2 to 16.3 do not apply to you.

16.2By applying to open a share account on or after 2nd May 2000 you agree with the Society and the Charities Aid Foundation (“the CAF”) that you will assign to the CAF (or to any charity(ies) nominated by it or by the Society under the provisions of a deed dated 28th April 2000 between the Society and the CAF, in which case references to the CAF shall include references to any other charity(ies), but to no other person) the rights to any relevant conversion benefits (defined below). This obligation will not apply to you if you fall within any class of persons which the Society wishes to be excluded from such obligation. This agreement is irrevocable and authorises the Society to transfer to the CAF any such benefits without further notice to you. You understand that neither the Society nor the CAF will release you from this agreement or vary its terms and (except as set out in 16.3) you will continue to be bound by the above condition even if the Society decides at some time in the future (and announces any such decision by press release or otherwise) that it is no longer in the best interests of the Society to continue with the above assignment condition generally in respect of new members.

16.3Relevant conversion benefits means any benefits to which you might become entitled as a share holding member of the Society under the terms of any future transfer of the Society's business to a company (i.e. on a conversion or takeover) which is completed at any time within the five years immediately following the date on which your share account is opened (or, if applicable, the shorter period as set out in the list available from the Society’s Secretary). Relevant conversion benefits does not include the statutory right to have shares in the Society (including any balances on share accounts) converted into deposits with the company on a conversion or takeover.

If the Society merges with any other society, after the date of such merger the Society includes such other society.

A list of the classes of persons which the Society currently wishes to be excluded from the obligation to assign or in respect of which a shorter period applies (which list may change from time to time but not with retrospective effect) is available on request from the Society’s Secretary at its principal office.

17. Service of Notices

17.1It will be taken that you have received any letter or e-mail or other personal notice 72 hours after we sent it to you.

17.2If we accidentally fail to send you a letter/notice intended for all our savers, or a section of our savers of which you are one, or display a notice at our office, this will not make the content of the letter/notice invalid.

18. Retention and Set-Off

We may use the money in your account towards payment of any money that you owe us which is due for payment but has not been paid. We will notify you in writing before we do this (see 17). No interest or bonuses will be paid on any money used in this way.

19. Changes to These Terms & Conditions

19.1We can change these Terms & Conditions if we reasonably believe that the change is needed for any of the following reasons:

• to reflect general market conditions and standards including the terms on which similar accounts are offered by other institutions;
• so that we can compete more effectively with other financial institutions and maintain our financial strength;
• to improve efficiency and/or reduce costs;
• to give extra benefit to savers (including making the terms of accounts easier to understand);
• to take account of changes in the law, decisions of a regulator, Ombudsman or similar;
• to correct any errors.

19.2We may also change these conditions and any special conditions applying to particular accounts for any other valid reason where we reasonably believe change is appropriate.

19.3A change that is to your disadvantage will be effective after at least 30 days’ notice is given. However, during that 30 days and for a further 30 days (totalling 60 days) from the date of notification, you may switch your account or close it without having to give any period of notice or pay additional charges.

19.4A change that is not to your disadvantage will be made immediately and without prior notice. However, we will tell you about it by personal notice within 30 days of the change.

20. Law

The laws of England and Wales govern these Terms & Conditions.

21. Language

All communications between you and us will be in English (unless we specifically agree otherwise, for which a fee may be charged).

22. Tariff of Charges

The following charges apply to our savings accounts: