Online Fixed Rate Cash ISA Range

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1 Online Fixed Rate Range This document provides you with key information about s so that you can make an informed and confident choice about saving with a Skipton. s protect your savings interest from Personal Income Tax and Capital Gains Tax. If you have a lump sum to save and like the idea of being able to save tax-free but you want the reassurance of a fixed rate of interest, our range of Online Fixed Rate s are well worth a look. It s worth bearing in mind that these accounts can be withdrawn from sale at any time and without notice. Once this happens you won t be able to transfer in or pay any money into your account. Anyone aged 16 or over can have an ISA, providing they are a UK resident. Open the account with a minimum of 500 by debit card, internal transfer from an existing Skipton Building Society account or electronic payment from another UK bank or building society. Subsequent payments can be made the same way or by cash (in branch only; photographic identification will be required in branch for the first cash payment into this account) or cheque (branch or post) until the ISA is withdrawn from sale. At application, you can choose to have your interest paid annually or monthly. In either case, interest can be added to the account or paid to an existing external bank or building society account if you prefer. Is an Online Fixed Rate the right product for you? Our Online Fixed Rate s meet your needs if You have savings which you do not need immediate access to. If you are likely to need access to your savings please contact us to discuss other savings products which may better suit your needs. You want the security of a fixed rate of interest guaranteed for the term of the ISA rather than a variable rate which can move up and down. You want to be able to consolidate previous years ISA allowances. You have a lump sum to invest and do not wish to pay in throughout the tax year. Summary Box Key Product Information for our Savings Account(s) Account Name Tiers available 1 Year Online Fixed Rate 2 Year Online Fixed Rate 3 Year Online Fixed Rate Interest rates (AERs) Tax status Annual Options Monthly Options % tax-free pa/aer 1.25% tax-free pa/aer 1.50% tax-free pa/aer 500+ Tax-free. 1.14% tax-free pa/ 1.15% AER 1.24% tax-free pa/ 1.25% AER 1.49% tax-free pa/ 1.50% AER Conditions for bonus payment Withdrawal arrangements Access No bonus payable. No partial withdrawals permitted. You can withdraw or transfer out the full balance and close your account subject to 180 days interest penalty for the 1 and 2 year, or 240 days for the 3 year. Online on maturity. AER stands for Annual Equivalent Rate and shows what the interest rate would be if interest was paid and added each year. All ISA interest is paid tax-free, which means it s exempt from income tax. Tax rules may change in future. Please make sure you read the Further terms and conditions on the following pages.

2 How much can I invest? The Government currently sets a tax-free allowance which you can save in an individual savings account (ISA) each tax year (6 April 5 April). Currently, you can invest a maximum of 15,240 in the 2016/17 tax year. Any amount not invested in a can be invested in a Stocks and Shares ISA and/or an Innovative Finance ISA, subject to the maximum overall limits. You can split your ISA allowance as you like between a, a Stocks and Shares ISA and an Innovative Finance ISA, as long as you don t subscribe to more than one of each within any given tax year. See examples of how you could invest below: Example Cash Stocks & Shares Innovative Finance 1 5,080 5,080 5, ,240 5,000 5, ,240 Nil Nil What happens on maturity of my new ISA? If you choose to take no action on maturity, our do-nothing option rolls your money into a new 1 Year Online Fixed Rate and you will have up to 21 days from maturity to change your mind. We will contact you at least 14 days prior to maturity with full details and also give you the alternative options, including how to transfer to an easy access ISA, an alternative product or how to close your account. Please see condition 10 of the Further terms and conditions. Transferring your ISA to a Skipton How do I transfer my ISA? We offer a simple, hassle free transfer service. Simply log in to Skipton Online, select the ISA you want to transfer to and choose the ISA Transfer In option (to do this you must be registered for online access, visit skipton.co.uk to register). Alternatively you can simply speak to an adviser in your local branch, or you can visit skipton.co.uk to access and complete a new application form and an ISA Transfer Authority Form. Then send these to us and we ll take care of the rest. By transferring your ISA in this way it ensures that you retain your tax efficient benefits. On receipt of your transfer instruction we will send it to your current ISA Manager, together with confirmation that we will accept the transfer, within five business days of the date of receipt. On receipt of the funds and accompanying information from your current ISA Manager, we will credit the funds to your ISA account within three business days of the date of receipt. Interest will be backdated to the date on the cheque sent from your current ISA Manager or the 15th working day, ( or Innovative Finance ISA transfer) or 26th working day (Stocks and Shares ISA transfer), whichever is the earliest. Our ISA transfer text service keeps you informed on the current status of your ISA transfer to Skipton. If you opt for this service, a text will be sent to the number provided once the transfer request has been input on our system, along with a final text to confirm once the funds have been received from your old ISA provider. Can I transfer my Skipton to another provider? We would love you to stay with us and if there s anything you re not happy about we would be delighted to discuss your options. However, you can transfer your Skipton to another ISA provider (see terms and conditions for further details). Depending on your existing Skipton account (for example, if you hold a fixed rate product) you may be charged an interest penalty. The HM Revenue & Customs rules surrounding transfers are as follows: On receipt of a transfer instruction from your new ISA Manager, we will send your funds and accompanying information to them within five business days of the date of receipt. You can transfer previous years s into a Stocks and Shares ISA, an Innovative Finance ISA and/or another without affecting your annual ISA allowance (subject to the specific account terms and conditions of the new ISA). If you transfer your current tax year savings from a to a Stocks and Shares ISA and/or an Innovative Finance ISA, the money transferred will be treated as if you had invested that money directly in that ISA e.g. if you had saved 2,240 in a and then transferred to a Stocks and Shares ISA, you could then invest the rest of your 13,000 as you like into a, an Innovative Finance ISA and/or the Stocks and Shares ISA.

3 What if I change my mind? No problem. You have 14 days from the date you receive your acknowledgement letter to change your mind. You can cancel your investment by letting us know in writing during this period and your cancelled ISA will not count as an ISA subscription. Any interest that you have earned on your savings during this period will be paid gross. Please note that this only applies for new ISA applications, not transfers or product switches. Are you a new Skipton customer? If you are a new customer, you will need to provide some form of identification and verification of address. A full list of suitable forms of identification can be found in our Proving Your Identity leaflet. The Financial Services Compensation Scheme This product is covered by The Financial Services Compensation Scheme. For more information please call us on , ask in branch or visit Let us know what you think If you are not satisfied with our services we have an internal complaints procedure. For more information please call us on , ask in branch or visit The Financial Ombudsman Service provides a free and independent service for consumers, and can be contacted at The Financial Ombudsman Service, Exchange Tower, London E14 9SR. Telephone: For products and services bought online you can also refer to the Online Dispute Resolution platform (ODR) at consumers/odr/. As we re a UK building society, the ODR will still refer you to the Financial Ombudsman Service as the alternative dispute resolution body. The Financial Ombudsman Service will refer you back to our complaints process unless you ve already been through this. The Financial Conduct Authority is a financial services regulator. It requires us, Skipton Building Society, to give you this important information to help you decide whether our Fixed Rate s are right for you. You should read this document carefully so that you understand what you are buying, and then keep it safe for future reference. Further terms and conditions for our Online Fixed Rate s 1. What terms apply? 1.1 These Conditions must be read in conjunction with the Society s Investment Account Terms and Conditions (which apply to all the Society s savings accounts and are available on request or via our website). Before opening an account, we strongly advise for your own benefit and protection that you read all of the terms and conditions as you will be legally bound by them and we intend to rely on them. If you do not understand any point please ask for further information. 2. Operation of the account 2.1 This account may only be opened by an individual aged 16 or over who is resident in the UK for tax purposes or, if not so resident, performs duties which by virtue of Section 28 of the Income Taxes (Earnings and Pensions) Act 2003 (Crown Employees serving overseas) are treated as performed in the UK, or is married to, or in a civil partnership with, a person who performs such duties. 2.2 The account must not be a joint account or held on behalf of a person other than the account holder. 2.3 The ISA investment will be, and must remain in, the beneficial ownership of the investor and must not be used as security for a loan. 2.4 The account will be operated in accordance with prevailing rules and regulations and legislation which may, of course, be varied from time to time, by the Government. 2.5 If you breach the ISA regulations, HM Revenue and Customs will instruct us to remove the funds from the, your account will become void and we ll write to notify you. Income tax will then become payable at the appropriate rate on the gross interest that has already been paid. This will also apply if you become bankrupt. 2.6 The account holder must not subscribe to more than one in any one tax year. 2.7 We will satisfy ourselves that any person to whom we delegate any of our functions or responsibilities under the terms agreed with you is competent to carry out any of those functions and responsibilities. 2.8 In the event of death, interest due up to the date of death will be paid into the account. The account will become a non ISA instant easy access account from the date of death. In this event we will advise you of the new rate and terms of the account. 2.9 In order to guarantee the term offered, an online application form must be completed and an electronic payment, debit card payment and/or transfer from another online Skipton Building Society account must be received before the ISA is withdrawn from sale, which may be at any tme and without notice No certificate will be issued for this account. If you cease to be eligible for an online account (e.g. if it becomes necessary for an attorney or deputy to act for you) your account will automatically be changed to an offline version of this account You will only be entitled to receive an online statement.

4 3. Payments into your account 3.1 Payments into your account can be made by: debit card; or cash (branch only, photographic identification will be required in branch for the first cash payment); or electronic payment from another UK bank or building society account; or cheque; or transfer from another online Skipton Building Society account (subject to the terms and conditions of those accounts and in particular any notice period or restrictions on withdrawals). Please contact us if you want to transfer from non-online Skipton accounts. 3.2 Subsequent payments can be made from 1 into the account until the account is withdrawn from sale which could be at any time and without notice. 4. Minimum and maximum deposits 4.1 The minimum opening deposit is Electronic payments which do not comply with the minimum or maximum deposit limits will be returned to their source automatically. 4.3 In accordance with ISA regulations, investments in any tax year are limited to the amount permitted by HM Revenue and Customs regardless of the level of withdrawals made. 4.4 The maximum overall subscription for the 2016/2017 tax year is 15,240. Any amount not invested in a can be invested in a Stocks and Shares ISA and/or an Innovative Finance ISA, subject to the maximum overall limits. You can split your ISA allowance as you like between a, a Stocks and Shares ISA and an Innovative Finance ISA, as long as you don t subscribe to more than one of each within any given tax year. 4.5 You can only invest in subsequent tax years where the ISA has not been withdrawn from sale 4.6 Where you do not invest your full allowance of 15,240 for the 2016/2017 tax year and the ISA becomes withdrawn from sale, the only way you will be able to utilise your full ISA allowance will be to transfer your to another Skipton or another ISA Manager, in which event you will incur an interest penalty as explained in the Withdrawals terms. 5. Withdrawals 5.1 Partial withdrawals are not permitted. 5.2 Full balance withdrawals require no notice and must be made by electronic payment or by transfer to another Skipton Building Society account (subject to the terms and conditions of those accounts and in particular any notice period or restrictions on payments in). Full balance withdrawals including transfers to other ISA Managers are subject to the loss of the following number of days interest according to the product terms: 180 days interest for the 1 Year Fixed Rate ISA 180 days interest for the 2 Year Fixed Rate ISA 240 days interest for the 3 Year Fixed Rate ISA 5.3 If you close your you will lose your tax free benefits for previous or current allowances, whichever are applicable, for the amount at the time of closure. This means that you will be unable to replace the amount withdrawn in the future. 5.4 On receiving your instructions and subject to any withdrawal limits and restrictions, all of the funds in your account, together with interest earned will be paid to you within the time stipulated by you or within five days of receiving your request, whichever is the longer. 5.5 If there is insufficient interest added to the account, the loss of interest will be taken from the capital deposited which means you may get back less than you invested. 6. ISA transfers in or out 6.1 Transfers in from other s, Innovative Finance ISAs and Stocks and Shares ISAs are allowed. These can be requested through Skipton Online or in writing. In either event, we will need full details of your ISA accounts to be transferred in, before the ISA is withdrawn from sale. You will be required to complete a transfer authority and we must receive the funds from the existing provider within 30 days, or 45 days for your Stocks and Shares ISA provider, of the ISA becoming withdrawn from sale. No requests for transfers in will be accepted after the ISA becomes withdrawn from sale. There is no maximum deposit for ISA transfers in. 6.2 Subject to any restrictions on withdrawal if you wish to transfer all your ISA to another ISA Manager we will transfer the account within the time stipulated by you, with all rights and obligations, in accordance with the ISA regulations relating to transfers. On receipt of your transfer instruction from your new ISA Manager, we will send your funds and accompanying information to them within five business days of the date of receipt. 6.3 Partial transfers out to another provider are not permitted. 6.4 If you close or transfer to another ISA Manager within the fixed term you are subject to an interest penalty (as mentioned in the Withdrawals section). This will be taken from the capital deposited if there is insufficient interest added to the account. This means that you may get back less than you invested. 6.5 Transfers out can be made to another, a Stocks & Shares ISA or an Innovative Finance ISA. Any current years transfers to a Stocks & Shares ISA or an Innovative Finance ISA will be treated as if that money had been invested directly in that ISA. If you wish to transfer your account to another ISA provider please contact your new provider 6.6 Transfers to and from another Skipton Building Society account are subject to the terms and conditions of those accounts and in particular any notice period or restrictions on withdrawals.

5 7. Interest rate and payment of interest 7.1 The interest rate is fixed for the term of this account. 7.2 Interest is accrued daily. 7.3 If you choose the annual interest option, interest is added to your account at midnight on the anniversary of the opening date. The opening date is the day funds are received into your account. Alternatively, interest can be paid into another suitable Skipton Building Society account or any other UK building society or bank account. In that case, interest will be paid on the first working day following the date interest is due. Note: working days exclude Saturdays, Sundays and Bank Holidays. 7.4 If you choose the monthly interest option, interest accrued during the preceding month is added to your account at midnight on the last day of each month. Alternatively, interest can be paid into another suitable Skipton Building Society account or any other UK building society or bank account. In that case, interest will be paid on the first working day following the anniversary date of the opening of the account. For example; if the account is opened on 15 January interest would be sent to your bank account on the 16th of each month thereafter. 8. Non Payment Account 8.1 This account is intended to be used as a savings account and thus is not intended to be used for multiple monthly transactions like a current account. It is not a Payment Account for the purposes of the Payment Services Regulations Membership rights and the Society s Rules 9.1 This account is a share account which confers membership rights and is subject to the Rules of the Society. Copies of the Rules can be obtained from our website or any branch or from our Principal Office. 10. Maturity of your 10.1 When your current fixed rate matures, or any further fixed rate you continue your investment in, we will follow the maturity process outlined in the next section entitled What happens on maturity of my new Online Fixed Rate?. What happens on maturity of my new Online Fixed Rate? We will contact you with your maturity notice at least 14 days prior to the maturity date of your ISA to explain the options open to you. These will include: Continue your investment in a 1 Year Online Fixed Rate ^ (the do-nothing option); Transfer your investment into an alternative ISA; Transfer to an easy access ISA; Add extra funds to the above three options; Withdraw your funds (in full or in part) or transfer in full to another ISA Manager. If you do-nothing, we will add any interest due to your account and we will contact you within seven days of your ISA maturity to confirm your investment. You will have 21 days from maturity to cancel this investment. Where our do-nothing option applies your investment will continue in a 1 Year Online Fixed Rate. No partial withdrawals are permitted. You can withdraw or transfer out the full balance and close your account subject to 180 days loss of interest. If you decide to close your ISA you will lose your ISA allowance on the funds invested. If you do require access to your savings during the fixed rate term please contact us to discuss other ISAs and savings products which may better suit your needs. If the do-nothing option applies, the Further terms and conditions shall continue to apply, as well as the Investment Account Terms and Conditions except that the rate of interest, the date that interest will be applied to your account and the minimum and maximum investment limits may differ. Should your investment balance on maturity fall outside the minimum or maximum investment limits, you will be able to continue your existing investment. Any new transactions will be subject to these limits. Skipton Building Society is a member of the Building Societies Association and Financial Ombudsman Service. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority under registration number for accepting deposits, advising on and arranging mortgages and insurance. Principal Office, The Bailey, Skipton, North Yorkshire BD23 1DN. Stock Code: _24/06/16