My Grandchild's MoneyBuilder (ISA)

Invest for their future using your ISA allowance

Help them reach for the stars from just £10 a month

A tax-free way to invest for your grandchildren

One moment they're losing their first tooth. The next they're walking out the door; off to college or university. It's at times like this that you may want to give them a helping hand and this could be where My Grandchild's MoneyBuilder (ISA) comes in.

The table below provides all the plan detail and things you should consider. For more information on My Grandchild's MoneyBuilder (ISA) please visit the detail section.

Investment features What you need to consider
  • Invest as little as £10 per month using your tax-free Investment ISA allowance.
  • Once set up, you can stop, restart, raise or lower your payments and cash in whenever you want.
  • You can have a plan for each of your grandchildren - and cash them in at any time.
  • Provided you haven't made any withdrawals, on the 10th anniversary of the start date of your investment, you are guaranteed to get back at least 95% of the payments you make into your policy.
  • Your money will be invested in a My MoneyBuilder policy within a Scottish Friendly ISA which will invest in the Scottish Friendly Unitised With-Profits fund which may include stock market, property, cash and bond assets.
  • The value of your investments can fall as well as rise and you could get back less than you have paid in.
  • You should consider this as an investment for a period of at least five years and ideally 10.
  • If you cash in the policy before the end of 5 years there will be a £50 deduction from your cash-in value.
  • When you cash in or take a withdrawal from your investment, your unit value may either be increased by a final bonus or reduced by a market value reduction to bring it into line with the performance of the assets within the With-Profits fund.
  • Making a withdrawal will reduce your guaranteed minimum cash sum.

Tax Information

Tax Information
  • Tax treatment depends on your individual circumstances and tax law may change in the future.
  • Tax-free means the policy grows free of income and capital gains tax (other than tax on dividends from UK shares).
  • You can have one Cash ISA, one Innovative Finance ISA, plus one Investment ISA in each tax year. You can have as many policies as you like within your Investment ISA provided you do not exceed the annual ISA limit. The maximum you can invest in a Investment ISA is £15,240 in any tax year less any amounts subscribed to a Cash ISA or Innovative Finance ISA with another ISA manager.
  • To apply you must be a UK resident and aged 18 or over.

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Make sure you have read and understood the Key Features. Then you're ready to apply.

Give your grandchild a gift they'll remember

As your grandchildren grow up, you'll watch as their ambitions and dreams grow too. Wouldn't it be great to put some money away regularly that could grow with them?

You can start from as little as £10 a month to build up a lump sum that could help them start off in adult life, or anytime you feel they need it.


Use your ISA allowance to invest for them

You can save and invest up to £15,240 in the current tax year, split as you like between an Investment ISA, Cash ISA or Innovative Finance ISA. So if you already have a different type of ISA with another provider, you can still take out a Investment ISA with Scottish Friendly.

My Grandchild's MoneyBuilder (ISA) is an Investment ISA that lets you start using your ISA allowance. As you're using your own annual ISA allowance, it's in your name, so you choose how and when they spend it - just in case they need a little guidance from Gran and Grandpa.

Tax treatment depends on your individual circumstances and tax law may change in the future.


You decide how much to invest… and when

With a choice of flexible payment options available, My Grandchild's MoneyBuilder (ISA) puts you in control of your money:

  • Regular payments starting from £10 a month.

  • Stop, restart, increase or decrease your payments whenever you like.

  • Access your money instantly, should you ever need it.

  • Choose if you want to automatically increase your premium each year (more on this below).

Please remember, if you cash in the plan before the end of 5 years there will be a £50 deduction from your cash-in value.


Added option to automatically increase your payments

You can choose to increase your regular payments each year if you wish, by a rate to suit you – either 2.5%, 5% or 10% a year. This is known as your yearly payment increase rate.

Remember your monthly payment will continue to increase every year, however you have the option to change the yearly payment increase rate at any time.


An investment with a guarantee

My Grandchild's MoneyBuilder (ISA) is an Investment ISA that uses the long-term potential of the stock market to help your money grow. As a stock market investment there's an element of risk. The value of your investments can fall as well as rise and you could get back less than you have paid in.

With My Grandchild's MoneyBuilder (ISA) you get the piece of mind of a guaranteed cash sum if you cash in exactly 10 years after starting it (and each 5-year thereafter, so the 15th anniversary, 20th anniversary etc.). Provided you haven't made any withdrawals, you will qualify to receive at least 95% of the money you have paid into the My Grandchild's MoneyBuilder (ISA).


Got more than one grandchild?

Keeping track of each policy can be quite difficult especially if you have a few grandchildren.

That’s why Scottish Friendly allows you to split your ISA into different ‘pots’. You can name each ‘pot’ by your grandchild's first name so you can easily keep track of your progress towards investing for your grandchildren's future.


Manage and view all of your investments online

Once you have taken out a My Grandchild's MoneyBuilder (ISA), you can register with Scottish Friendly’s My Plans online service.

With My Plans, you’ll be able to manage and view your Scottish Friendly investments online quickly and safely, when it suits you, from the comfort of your home, work or wherever you have access to the internet.

We’ll send you more details on My Plans after you’ve invested in your My Grandchild's MoneyBuilder (ISA) or you can find out more right now if you set up online.


Open a Scottish Friendly My Grandchild's MoneyBuilder (ISA)

Opening a My Grandchild's MoneyBuilder (ISA) with Scottish Friendly is simple. First, please make sure you have read and understood the Key Features. Then you're ready to apply online.

If you apply, we suggest printing or saving a copy of this page, other relevant web pages and the Key Features.

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Scottish Friendly Unitised With-Profits fund

My Grandchild's MoneyBuilder (ISA) invests solely in our Unitised With-Profits fund, for further information on the fund, please see the table below.

Remember though, the value of the My Grandchild's MoneyBuilder (ISA) can go down as well as up and you could get back less than you have paid in.

Unitised With-Profits fund features What you need to consider
  • The Unitised With-Profits fund is linked to a cautiously managed portfolio of stock market, property, cash and bond assets.
  • Provided you haven't made any withdrawals or switched out of the fund, if you cash in only on the 10th anniversary of your continuous investment in the Unitised With-Profits fund you will receive a guaranteed cash sum of at least as much as you have invested less your policy charges.
  • When you cash in, switch out or take a withdrawal from the Unitised With-Profits fund you will receive a value which is in line with the performance of the assets within the fund. This is done by adding a final bonus or deducting a market value reduction.
  • No market value reduction can apply on the 10 year anniversary of your continuous investment in the Unitised With-Profits fund which provides your guaranteed value.
  • Continuous investment means you have maintained at least one full unit in the Unitised With-Profits fund and is measured from the first day you invest.

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What might I get back from my policy?

When you start a My Grandchild's MoneyBuilder (ISA), your money will be invested in a My MoneyBuilder policy within a Scottish Friendly ISA, which will invest in our Unitised With-Profits fund.

Because your investment is linked to the stock market, it’s impossible to tell you the exact return you may get in the future — but we can give you a rough idea.

Use the sliders and click Calculate to see what you might get back within a My Grandchild's MoneyBuilder (ISA).

 

Start now from just £10 a month

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