Savings account conditions and information.

Transcription

1 Savings account conditions and information.

2 Welcome to Cheltenham & Gloucester. Thank you for choosing a C&G savings account. This booklet contains the conditions that apply to your personal savings account. It is important to understand that our accounts are only available to personal customers who are resident in the UK. Please read this document carefully and keep for future reference. Contents. Product Terms and Conditions. Cheltenham Gold. 1 Reserve Account. 8 Reward Saver. 16 Cash ISA. 24 Fixed Rate Cash ISA. 31 Fixed Rate Bond. 38 Young Investor. 45 Important information. Personal information. 52 About Us and our Regulators. 53 Your right to cancel. 53 Product Terms and Conditions. Cheltenham Gold Account Conditions 2012 accounts opened from 25 June Definitions and interpretation security details 1.1 In these conditions, the words listed below have the meanings shown beside them: account Your C&G Cheltenham Gold Account. base rate The Bank of England s repo rate (commonly referred to as its base rate). branch A branch of Cheltenham & Gloucester plc, Lloyds TSB Bank plc or Lloyds TSB Scotland plc. CHAPS transfer A transfer of money using the Clearing House Automated Payment System (a charge applies for this service). C&G website correspondence address The address you have told us we may use when sending notices to you under these conditions. cut-off times Depending upon the type of transaction you are making and the channel through which you are making it (for example, in branch), there may be a cut-off time on each working day such that instructions received after that time will not be processed until the next working day. The cut-off time for all channels is usually not before 3.30pm. Please ask if you would like to know the cut-off time for a particular transaction. electronic payment A payment to or from the account made by any means other than cash or cheque or initiated by a paper-based authorisation process. identification evidence Evidence which shows that you are who you claim to be. Lloyds Banking Group The group of companies which includes us and a number of other companies using brands including Lloyds TSB, Halifax and Bank of Scotland, and their associated companies. More information on the Lloyds Banking Group can be found at Lloyds TSB account A C&G savings account or another personal current or savings account with Lloyds TSB Bank plc, or with Lloyds TSB Scotland plc or Lloyds TSB Private Banking Limited. nominated bank account Any account with another United Kingdom bank (or building society) which you nominate as the account into which you wish your interest to be paid. passbook A document issued to you which records details of all transactions on your account and which is required for the operation of your account. personal information Information which we and other Lloyds Banking Group companies hold about you and which (either on its own or with other information we hold) enables you to be identified. Processes, information or security procedures we ask you to follow or use to give us instructions. Examples include your passbook and identification evidence. transaction Any addition to, or withdrawal from, your account, and any other operation (apart from the crediting of interest to your account) which changes the balance on your account. uncleared funds Any part of the account balance which, under the terms set out in condition 5, is not available to withdraw. we and us Lloyds TSB Bank plc, operating through a division known as Cheltenham & Gloucester Savings, and its successors. working day Any day from Monday to Friday except bank holidays or public holidays. Although some payments can be made on a non-working day, the processing of these payments is not completed on our systems until the next working day as explained below in conditions 5 and 6. you The person(s) named as the account-holder(s) in the application form, their successor(s) and anyone authorised by law to operate the account. 1.2 The terms contained in these conditions are not intended to be enforceable by anyone other than you (including your successors and anyone authorised by law to operate the account) and us (including our successors). 1.3 Unless we give you specific notice to the contrary under condition 15, any general terms and conditions expressed to apply to all personal bank accounts with Lloyds TSB Bank plc will not apply to your account. 1.4 You may request a copy of these conditions and other information about your account at any time by calling the Customer Service Helpline. 2. Personal details 2.1 To help prevent fraud and money laundering, we need to be able to confirm that you are who you claim to be. We may ask you for identification evidence and a specimen signature at any time. We will refuse to carry out any transaction for you until you have complied with our request. 2.2 We are entitled to assume that we are dealing with you and that you have agreed to us acting on any instructions, without getting further confirmation from you: (a) if you ask us to carry out a transaction using your security details; and (b) otherwise, if you have signed a document containing the instructions. 2.3 You must provide a branch with prompt written confirmation (quoting the sort code and number of your account) of any change in: (a) your name; (b) your permanent home or your correspondence address; (c) your nominated bank account (if any); (d) your tax status; or (e) your residence for tax purposes. We may ask you for evidence to confirm the change. 1

3 2.4 If you notify a branch of a change of name under condition 2.3 (a), you must also arrange for your passbook to be updated. 3. Joint accounts 3.1 The account may not be held by more than two people. Conditions 3.2 to 3.9 apply where the account is held in joint names. 3.2 (a) These conditions apply to both of you together and each of you on your own. This means that each of you can be held fully responsible for complying with these conditions. (b) We will treat each of you as jointly entitled to all the money in your account and will not be concerned with any division of ownership of the money between you. (c) Either of you will be entitled to operate the account and carry out transactions (including the withdrawal of the entire balance from the account) if: the application form states that the authority of either of you will be sufficient to operate the account; or we have received unrevoked written instructions from all of you that the authority of either of you will be sufficient to operate the account. 3.3 You must notify us immediately of any dispute between you which may affect the account. 3.4 Any authority which either of you has to operate the account on your own will be treated as revoked if either of you notifies us that the authority is revoked. 3.5 We may also treat any authority which either of you has to operate the account on your own as revoked if: (a) we receive notice under condition 3.3 of a dispute between you which may affect the account; (b) we reasonably believe that there is a dispute between you which may affect the account; or (c) we reasonably believe that either of you would revoke the authority if you became aware of facts known to us. 3.6 The following terms will apply if the authority of either of you to operate the account on your own is treated as revoked: (a) We may decline to give reasons for treating the authority as revoked if we reasonably believe that to do so would involve the unauthorised disclosure of personal information or would otherwise be in breach of the law. (b) The account may only be operated on the basis of written instructions signed by both of you. 3.7 If either of you dies, the surviving account-holder must promptly produce the death certificate and the passbook at a branch. We will then change the account details in our records and update the passbook so as to show that the account is held in the name of the surviving account-holder. 3.8 (a) If each of you has the authority to operate the account on your own then any notice which you are required to give under these conditions may be given by either one of you. (b) In any other case, any notice which you are required to give under these conditions must be given in writing signed by both of you. 3.9 We will only accept one correspondence address for both of you. If we send you a notice about the account to the correspondence address, it will be addressed to you jointly. 4. Opening and operating your account Introduction 4.1 In this condition 4, we deal with the opening of your account and how you can then make additions to it or withdrawals from it. We cover related points here and in other conditions, such as when we describe how long it normally takes to process payments into or out of your account (conditions 5 and 6), subject to the circumstances in which payments can be refused (condition 7), cancelled by you (condition 8) or otherwise stopped (condition 12). 4.2 To open your account: (a) You must establish that your permanent home is in the United Kingdom. (b) You must be investing money for your own benefit and not as trustee. The money you invest must not belong to a company or be held for the purposes of a business, partnership, charity or pension scheme. (c) You must make an initial deposit of at least We may refuse any application to open an account. We are not obliged to give reasons for doing so. How to make additions to your account 4.4 You must produce your passbook whenever you wish to make an addition to your account in a branch. 4.5 (a) You may make the initial deposit and any subsequent additions to your account in the following ways: by cheque or in cash at any branch; by post (cheques only); by transferring money from another Lloyds TSB account; or by electronic payment from another bank. (b) Your initial deposit and any subsequent additions to your account must be in sterling. We do not accept payments in any other currency. (c) The maximum sum which may be added to your account in cash each day is 1,000. (d) The maximum number of cheques which may be sent to us by post each day is five. (e) If you hold more than one account with us, money added by cheque cannot be divided between the accounts. (f) If you wish to make your initial deposit or any subsequent additions by transferring money from another Lloyds TSB account, you should refer to the terms and conditions of the other Lloyds TSB account for an explanation of how to make the transfer and how the transfer will be carried out. How to withdraw money from your account 4.6 You must produce your passbook, or use or follow any other security details we ask you to, whenever you wish to make a withdrawal from your account. 4.7 (a) You may withdraw money from your account: by cheque or in cash at any branch; by cheque (which we will send to your correspondence address by post), by writing to us; to another bank by electronic payment arranged in branch; to another Lloyds TSB account in your name by requesting a transfer in branch or by writing to us. (b) The maximum sum which may be withdrawn from your account in cash each day is 1,000. (c) The maximum sum which may be withdrawn by you from a branch each day by cheque is 100,000. (d) If you withdraw money to another bank by electronic payment arranged in branch, you can choose for the payment to be made on a future date. If the date you choose is not a working day, we will make the payment on the next working day. 4.8 We will refuse any request to make a withdrawal against uncleared funds. Making withdrawals by electronic payment 4.9 When you request an electronic payment to another account, you must give us the account name, the sort code, the account number and any other details we ask you for such as the name of the person you are sending the payment to, so we can make the electronic payment. You are responsible for checking that the details are correct. We will not be liable if the electronic payment goes to the wrong person because you gave us the wrong details. If it does go to the wrong person because you gave us the wrong details, we will use reasonable efforts to recover the money and, if we manage to do so, we may charge you our reasonable costs We will process any request to make an electronic payment to another bank on the working day that we receive your instructions, so long as we receive them before the cut-off time for that working day. If we receive your instructions at any other time, we will process the transactions on the next working day Any request to transfer money to another Lloyds TSB account will be processed: (a) straightaway if made in branch; or (b) within 24 hours of receiving your written instructions if made by post. Information about transactions 4.12 Your passbook will show details of all transactions on your account together with any interest paid. You can get your passbook updated at any time in branch You are responsible for checking your passbook. You must notify a branch or telephone the Customer Service Helpline as soon as possible if you notice any errors on your account. If we notice any errors, we will correct them as soon as possible. 5. Timing of payments into your account Cash 5.1 Cash paid into your account will be available for you to withdraw as soon as we receive it. 5.2 We receive cash paid in at a branch straightaway, even if it is paid in on a non-working day (for example, a Saturday). 5.3 Cash paid into your account starts to earn interest on the day we receive the cash or (if that day is not a working day) on the first working day after we receive the cash. Cheques 5.4 Money paid into your account by cheque starts to earn interest on the day we receive the cheque or (if that day is not a working day) on the first working day after we receive the cheque. 5.5 Money paid into your account by cheque that is not from a Lloyds TSB account will usually be available for you to withdraw on the fourth working day after we receive it. (For example, if we receive a cheque on Monday, the money will usually be available for you to withdraw on Friday.) 5.6 Money paid into your account by cheque from another Lloyds TSB account will usually be available for you to withdraw on the same day that we receive the cheque. 5.7 Cheques from a bank outside the United Kingdom may take longer to clear. 5.8 Subject to condition 5.9, below, if a cheque which has been credited to your account is later returned unpaid: (a) we will deduct the amount of the cheque from your account balance. (If as a result your account becomes overdrawn or the money in the account falls below 1, you must immediately pay us the amount required to ensure that the account balance is restored to at least 1.); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 5.9 If a cheque which has been credited to your account is returned unpaid more than six working days after the date on which we received it, we will not be able to deduct the amount of the cheque from your account balance without your consent unless you have acted fraudulently. (For example, if we receive a cheque on Monday, you can be certain that the money is yours by the end of the day on Tuesday in the following week.) Electronic payments 5.10 Subject to condition 5.12, an electronic payment into your account will start to earn interest and will be available for you to withdraw on the day we receive it If the payment to your account is by transfer from another Lloyds TSB account, the terms and conditions of the other Lloyds TSB account will tell you how long the payment will take to reach your account In some cases, a transfer of money under condition 5.11 can be processed on a day which is not a working day and may leave the other Lloyds TSB account and be available for you to withdraw from your account on the same day. Where this happens, the money will not be shown as having been received into your account until the next working day. Interest will continue to be paid on the money as if it remained in the other Lloyds TSB account until it is shown as having been received into your account Electronic payments into your account will normally be received on the same working day, but in any event no later than the next working day, after the money is sent to us Where we are dependant on another bank sending us the electronic payment, we cannot guarantee when it will be received If an electronic payment which has been credited to your account is later reclaimed by the paying bank: (a) we will deduct the amount of the electronic payment from your account balance. (If as a result your account becomes overdrawn or the money in the account falls below 1, you must immediately pay us the amount required to ensure that the account balance is restored to at least 1); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 6. Timing of payments from your account Cash and cheques 6.1 Money in your account will earn interest up to, but not including, the day it is withdrawn by cash or cheque. 6.2 If you ask us to make an electronic payment to a bank account which is not a Lloyds TSB account, we will use the Faster Payments Scheme if it is available and the other organisation you are sending the payments to is a member of the scheme. We will take the money from your account on the same working day that we process your request, and it will normally reach the bank holding your nominated bank account within two hours but in any event no later than the end of the next working day after the processing. You will continue to earn interest on the money being transferred for up to one working day from it leaving your account, to allow for the time it takes to reach the other bank. 2 3

4 The other bank is required by law to pay the money into the account held with them when it receives it from us. 6.3 Subject to condition 6.4 below, if you ask: (a) to transfer money to another Lloyds TSB account in branch or by writing to us; or (b) to transfer interest to a nominated bank account which is a Lloyds TSB account, or to another C&G savings account under condition 11.11, the payment will be available for withdrawal and start to earn interest in the other account as soon as we process your request. 6.4 If the transfer of money under condition 6.3 is processed on a day which is not a working day it will leave your account and be available for you to withdraw from the other Lloyds TSB account on the same day. Where this happens, the money will not be shown as having been received into the other Lloyds TSB account until the next working day. Interest will continue to be paid on the money as if it remained in your account until it is shown as having been received into the other Lloyds TSB account. 6.5 If we cannot make the payment using the Faster Payments Scheme you can contact us to ask if there is any other method available to make payment. We are not liable for failing to make a payment if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 7. When we may refuse to carry out a transaction 7.1 We may refuse to carry out a transaction on your account for one or more of the following reasons: (a) the balance in your account (ignoring any uncleared funds) is insufficient to meet the transaction; (b) you fail to follow or use your security details as appropriate; (c) you fail to produce identification evidence when asked; (d) your instructions are not clear or you have not provided us with the correct details in the instructions; (e) we are served with a court order which prevents us carrying out the transaction; (f) we reasonably believe that someone else may have rights over the money in your account (in this case we can also ask (or require you to ask) a court what to do, or do anything else we reasonably need to do to protect ourselves); (g) our regulator, or a body acting under statutory authority, has requested us to stop transactions of the relevant kind being carried out on your account and we reasonably believe that the request is valid; (h) the transaction would prejudice any rights that have arisen under condition 10; (i) we reasonably believe that you are acting under coercion, or have not given your free and informed consent to the transaction; (j) we receive instructions to carry out the transaction at a time when you (or either of you) are under the age of 18 and we reasonably believe that the transaction would be imprudent or improper; (k) the transaction would result in your total investment in C&G savings accounts exceeding 3 million; (l) any other reason set out separately in these conditions applies; or (m) if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 7.2 We may also refuse a transaction if we reasonably believe that it might cause us (or another company in the Lloyds Banking Group) to breach a legal requirement or might expose us (or another company in the Lloyds Banking Group) to action from any government or regulator. 7.3 Where we are not able to inform you immediately in branch, we will try to contact you by telephone or in writing to tell you that we are refusing a transaction. We will do this at the earliest opportunity. 7.4 We may decline to give our reasons for refusing to carry out a transaction if we reasonably believe that to do so would be in breach of the law, for example if it would involve: (a) the unauthorised disclosure of information which we hold about another person (being information which would enable that person to be identified); or (b) (where the account is in joint names) the unauthorised disclosure to one or both of you of personal information which we hold about the other. 8. Cancelling electronic payments 8.1 If you ask us to make an electronic payment from your account, we will normally be unable to change or cancel your request, unless: (a) you have asked for interest to be paid to another account under condition 11.11; (b) you have asked for a payment to be made on a future date under condition 4.7(d); or (c) you have arranged for us to transfer a sum equal to the annual cash ISA subscription limit to your C&G cash ISA on the first working day of each tax year, in which case we can cancel the payment if you tell us in branch by the end of the last working day before it is due to be made. 9. Refunds for electronic payments from your account 9.1 Except in the circumstances set out in condition 9.2, below, if you ask to make a withdrawal from your account by electronic payment and it was not made correctly or never arrived, we will: (a) refund the amount withdrawn, together with any charges you paid as a result; (b) pay you any interest you would have earned on that amount had it remained in your account; and (c) if you ask us to, make immediate efforts to trace the payment and notify you in writing or by telephone of the outcome. 9.2 The circumstances in which we will not refund you under condition 9.1 are where: (a) you gave us the wrong payment details (see condition 4.9); (b) we can show that the electronic payment was received by the other bank (in this case, the other bank must immediately put the money into the account to which you asked the payment to be made and refund any charges paid as a result of the payment not being made correctly); or (c) you tell us about the problem more than 13 months after the payment was taken from your account. 10. Set-off 10.1 If you (or either of you) have failed to pay a debt which you are liable to pay us, we may retain some or all of the balance in your account and use it to reduce or pay off the debt which you have failed to pay. We will give you at least seven days notice before exercising our rights under this condition. 11. Interest and charges The interest rates we pay 11.1 We may pay interest at different rates on balances falling within different tiers. Our power under condition 15 to vary these conditions includes power: (a) to change the tiers; (b) to add new tiers; or (c) to remove all or any existing tiers We pay interest at the appropriate C&G Cheltenham Gold Account rates. You can find out details of the current C&G Cheltenham Gold Account rates by calling our Customer Service Helpline or by visiting the C&G website We pay a bonus rate of interest in addition to the standard C&G Cheltenham Gold Account rates mentioned above. The amount of the bonus and the period for which it applies will be as set out in our literature at the time you opened your account. Changing our interest rates 11.4 We will not change the bonus rate of interest or the period for which it applies We may change the interest rates applicable to all or any of the tiers of your account without giving you advance notice if the change is: (a) to your advantage; and (b) to respond proportionately to actual or reasonably expected changes in regulatory requirements affecting us or the costs of running our accounts, including changes in our funding costs (for example, changes to the base rate). (A regulatory requirement is any law, regulation, code or industry guidance that applies to us.) 11.6 We may also change the interest rates to your advantage, without giving you advance notice, for a valid reason not stated in this condition Where we change the interest rates without giving you advance notice, we will tell you about the change personally within 30 days of the change, or by publishing it Alternatively, we can change the interest rates by giving you advance notice under condition 15. Calculating and paying you interest 11.9 We calculate interest on the balance in your account on a daily basis. This means that, where you choose to have your interest paid monthly under condition 11.10, the interest we pay each month will vary according to the number of days in the month (a) You may choose to have interest paid either monthly or annually. (b) If interest is payable monthly, then we will pay the interest by crediting it to your account at the end of the first day of each month or (if that is not a working day) at the end of the preceding working day. (c) If interest is payable annually, then (unless paragraph (d), below, applies), we will pay the interest by crediting it to your account at the end of the day on the anniversary of the day on which your account was opened or (if that day is not a working day) at the end of the preceding working day. (d) If you have chosen to have interest paid monthly and you notify us that you wish to have it paid annually instead, we will pay the interest by crediting it to your account on the anniversary of the day of the account being changed to annual interest or (if that day is not a working day) on the last working day before that date. (e) If you have chosen to have interest paid annually and you notify us that you wish to have it paid monthly instead, we will pay the interest as stated in paragraph (b), above. The first payment of monthly interest will include all the interest which has been earned on your account since the end of the period covered by the last interest payment we made You may choose to leave the interest paid under condition 11.10, above, credited to your account or you may choose to have it transferred to your nominated bank account or to another C&G savings account by electronic payment. (A CHAPS transfer is not available for transferring interest.) If you choose to have the interest transferred, we will process the transfer the working day after we credit the interest to your account under condition 11.10(b), (c), (d) or (e), above and the interest will normally reach the other bank account within two hours of the processing but in any event no later than the end of the next working day after the processing Where required by legislation, interest will be paid after deduction of income tax at the appropriate rate If, by mistake, we pay you more interest than you are entitled to you must repay us the amount we have overpaid. This does not affect any right you have to pursue any claim you have against us if you suffer loss as a result of our mistake. Charges Charges for providing standard services in connection with your account are set out in our tariff. You will have received a copy of the tariff before you opened your account. Our power under condition 15 to vary these conditions includes power to vary the charges in our tariff and to introduce new charges for standard services We may make a reasonable charge for providing you with any non-standard service which you request in connection with your account. We will inform you of the charge before we provide the service You may have to pay other taxes or costs, which are not paid through us or imposed by us. 12. Safeguarding your security details 12.1 We retain ownership of any passbook We may retain or request the immediate return of your passbook if we stop or suspend your ability to use it under this condition You must only use or follow your security details for the purposes set out in these conditions and do all you reasonably can to keep your passbook safe and to make sure that no-one finds out your other security details. For example, you should: (a) follow instructions we give you, which we reasonably consider are needed to protect you and us from unauthorised access to your account; (b) not allow anyone else to use your security details; (c) not keep your security details with your account documentation; and (d) not allow anyone to listen in to your conversations with us or watch you entering or making use of your security details You must notify a branch or telephone the Customer Service Helpline as soon as possible if you discover or suspect that: (a) your passbook has been lost or stolen; (b) someone else knows your other security details; or 4 5

5 (c) someone may be accessing your account without your authority. We will keep a record of your notification and may monitor or record calls to the Customer Service Helpline. In any case where you suspect that a theft or fraud has been, or may be, committed, we may ask you to report your suspicions to the police and to provide us with any crime reference number which the police give you If you give us notice under condition 12.4, we will freeze your account. On receipt of written instructions signed by you (or by all of you where the account is held by you jointly), we may close your account and transfer the balance to a new account You will not be able to give a payment instruction using your security details if we have stopped, or suspended, your ability to use them. If we haven t done so already under condition 12.5, we can do this if we reasonably consider it necessary for reasons relating to: (a) their security; or (b) their suspected unauthorised or fraudulent use. Unless the law prevents us from doing so or we believe it would undermine our security measures, we will try to contact you, by telephone or in writing, in advance to tell you that we will stop or suspend the use of your security details and our reason for doing so. If we are unable to tell you in advance we will tell you as soon as possible afterwards. You can ask us in branch or by calling the Customer Service Helpline to lift the freeze on your security details or to replace them as soon as the reason for the freeze has ended You will not be liable for any transactions you did not authorise yourself, even if they were made using your security details, unless we can prove either: (a) that you have acted fraudulently, in which case you will be liable for all payments from the account that we have been unable to stop; or (b) that you have been very careless with your security details (for example, if you do not tell us as soon as you discover your passbook has been stolen or you think someone has discovered your other security details or is accessing your account without your authority or you break your obligations in condition 12.3), in which case (depending on the facts of the case and any legal requirements that apply) you may be liable for payments from your account but only until you have told us that your security details have been liable to misuse If you tell us that a withdrawal from your account was unauthorised, we will investigate. Once we are reasonably satisfied that the withdrawal was not authorised and that you are not liable, we will refund the amount withdrawn, together with any charges you paid as a result of the withdrawal and will pay you any interest you would have earned on that amount (we will have no further liability to you). However, we will not do this if you tell us that the payment was unauthorised more than 13 months after it was taken from your account. 13. Closure 13.1 We may close your account at any time. We will give you not less than two months written notice of our intention to close your account unless: (a) we are transferring the balance to a new account under condition 12.5; (b) you are, or we reasonably consider you may be: using or obtaining, or allowing someone else to use or obtain, a service or money illegally; acting fraudulently; behaving improperly (for example, in a threatening or abusive manner); (c) we reasonably consider that by continuing to allow you to run your account: we may break a legal requirement or a court order or other authority; we (or another company in the Lloyds Banking Group) may be exposed to action from any government or regulator; or (d) you have seriously or persistently breached these conditions in any other way. If we close your account without giving you the notice beforehand, we will do so as soon as possible afterwards Unless we are transferring the balance to a new account under condition 12.5, we will repay the balance in your account to you with interest until the date of closure You may close your account at any time without prior notice by visiting any branch or writing to us. The balance in the account must be withdrawn in one of the ways specified in condition 4.7(a) Within a period of 14 days after we receive your initial deposit or (if later) after you have received a copy of these conditions, you can choose to cancel this agreement. The right to cancel the agreement can be exercised by posting or delivering a notice to us in accordance with condition Dormancy 14.1 We may treat your account as dormant if: (a) you have not asked us to carry out any transactions on the account or any other account with us for a continuous period of three years; and (b) you do not respond to a notice or communication asking if you wish your account to remain active For so long as we treat your account as dormant under condition 14.1, then: (a) we will refuse to carry out any transactions on the account; and (b) we will no longer send you any notices or communications in connection with the account If you later come forward to claim the account and produce any identification evidence which we reasonably request, then we will reactivate the account We participate in the Unclaimed Asset Scheme under the Dormant Bank and Building Society Accounts Act Under the Scheme, if you have not asked us to carry out any transactions on the account for a continuous period of 15 years (or other period specified by law) and we have lost touch with you, we may transfer any money in the account to the reclaim fund (which is a body set up to deal with unclaimed assets in dormant accounts). You will be entitled to reclaim any money transferred and any interest payable from the reclaim fund and if you ask us we can help you do this We are committed to reuniting customers with their money and we will try to contact you if we think your account is becoming dormant. If you think you have money in our accounts which you have forgotten about, you can also contact us and we will do our best to try to find it for you. For more information, please ask in branch or call the Customer Service Helpline. If you think you have dormant accounts with other banks you can visit Changes to these conditions 15.1 We may vary these conditions at any time We will give you not less than two months prior written notice of the variation and you can end this agreement or close or change the account without charge within the notice period we give you. If you do not do so, we will be entitled to assume that you have accepted the variation on the date the change comes into force When we say we will publish a change, we will put notices in at least three national newspapers and make the change available in our branches, on our website and through the appropriate telephone C&G Savings Rateline by the time of making the change or within three days after it If we can notify you about a change in a different way we will do so in a way we think is reasonable and which satisfies our legal and regulatory requirements. 16. Notices 16.1 Any written notice or communication we give you under these conditions will be given either: (a) by posting or delivering it to your correspondence address; (b) by or text message; or (c) in any other way which is sent to you individually Where these conditions provide that a notice from you to us must be given in writing, the notice must be given by posting it to: C&G Savings, PO Box 1888, Andover, SP10 9BF. 17. Exclusion of liability 17.1 If we are in breach of these conditions, we will not be liable: (a) for losses or costs caused by abnormal and unforeseeable circumstances outside our reasonable control, which would have been unavoidable despite all efforts to the contrary, for example delays or failures caused by industrial action, problems with another system or network, mechanical breakdown or dataprocessing failures; or (b) as our agreement is made with you as a personal customer, for any business losses or costs you suffer (such as loss of profits or opportunities) Nothing in these conditions limits our liability for acting fraudulently or very carelessly or otherwise excludes or limits our liability to the extent we are unable to exclude or limit it by law. 18. Governing Law and Language 18.1 If you are not resident in Scotland when the conditions in this document first apply to you, English law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The courts of England and Wales will also be able to deal with any legal questions connected with this agreement If you are resident in Scotland when the conditions in this document first apply to you, Scots law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The Scottish courts will also be able to deal with any legal questions connected with this agreement The contract between you and us is in English and all future communications with you will be in English. 6 7

6 Reserve Account Conditions 2012 accounts opened from 25 June Definitions and interpretation 1.1 In these conditions, the words listed below have the meanings shown beside them: account Your C&G Reserve Account. base rate The Bank of England s repo rate (commonly referred to as its base rate). branch A branch of Cheltenham & Gloucester plc, Lloyds TSB Bank plc or Lloyds TSB Scotland plc. C&G website CHAPS transfer A transfer of money using the Clearing House Automated Payment System (a charge applies for this service). correspondence address The address you have told us we may use when sending notices to you under these conditions. cut-off times Depending upon the type of transaction you are making and the channel through which you are making it (for example, through the telephone transaction service), there may be a cut-off time on each working day such that instructions received after that time will not be processed until the next working day. The cut-off time for all channels is usually not before 3.30pm, although the cut-off time for CHAPS transfers is 2.30pm. Please ask if you would like to know the cut-off time for a particular transaction. electronic payment A payment to or from the account made by any means other than cash or cheque, or initiated by a paper-based authorisation process. identification evidence Evidence which shows that you are who you claim to be. Lloyds Banking Group The group of companies which includes us and a number of other companies using brands including Lloyds TSB, Halifax and Bank of Scotland, and their associated companies. More information on the Lloyds Banking Group can be found at Lloyds TSB account A C&G savings account or another personal current or savings account with Lloyds TSB Bank plc, or with Lloyds TSB Scotland plc or Lloyds TSB Private Banking Limited. nominated bank account The United Kingdom bank (or building society) account in your name(s) which you nominate as the account: from which money you wish to add to your account may be transferred by direct debit; and to which money you wish to withdraw from your account may be transferred by electronic payment. personal information Information which we and other Lloyds Banking Group companies hold about you and which (either on its own or with other information we hold) enables you to be identified. security details Processes, information or security procedures we ask you to follow or use to give us instructions. Examples include your security number and identification evidence. security number The confidential six digit number chosen by you. telephone transaction service The telephone service which lets you transfer money: between your account and your nominated bank account; or from your account to another C&G savings account in your name(s). transaction Any addition to, or withdrawal from, your account, and any other operation (apart from the crediting of interest to your account) which changes the balance on your account. uncleared funds Any part of the account balance which, under the terms set out in condition 5, is not available to withdraw. we and us Lloyds TSB Bank plc, operating through a division known as Cheltenham & Gloucester Savings, and its successors. working day Any day from Monday to Friday except bank holidays or public holidays. Although some payments can be made on a non-working day, the processing of these payments is not completed on our systems until the next working day as explained below in conditions 5 and 6. you The person(s) named as the account-holder(s) in the application form, their successor(s) and anyone authorised by law to operate the account. 1.2 The terms contained in these conditions are not intended to be enforceable by anyone other than you (including your successors and anyone authorised by law to operate the account) and us (including our successors). 1.3 Unless we give you specific notice to the contrary under condition 16, any general terms and conditions expressed to apply to all personal bank accounts with Lloyds TSB Bank plc will not apply to your account. 1.4 You may request a copy of these conditions and other information about your account at any time by calling the Customer Service Helpline. 2. Personal details 2.1 To help prevent fraud and money laundering, we need to be able to confirm that you are who you claim to be. We may ask you for identification evidence and a specimen signature at any time. We will refuse to carry out any transaction for you until you have complied with our request. 2.2 We are entitled to assume that we are dealing with you and that you have agreed to us acting on any instructions, without getting further confirmation from you: (a) if you ask us to carry out a transaction using your security details; and (b) otherwise, if you have signed a document containing the instructions. 2.3 You must write to us promptly (quoting the sort code and number of your account) to tell us if you change: (a) your name; (b) your permanent home or your correspondence address; (c) your nominated bank account or direct debit mandate; (d) your tax status; or (e) your residence for tax purposes. We may ask you for evidence to confirm the change. 2.4 If you are the sole account-holder and are able to produce any identification evidence we reasonably request, you may also notify us of a change to your correspondence address by calling the telephone transaction service. 3. Joint accounts 3.1 The account may not be held by more than two people. Conditions 3.2 to 3.8 apply where the account is held in joint names. 3.2 (a) These conditions apply to both of you together and each of you on your own. This means that each of you can be held fully responsible for complying with these conditions. (b) We will treat each of you as jointly entitled to all the money in your account and will not be concerned with any division of ownership of the money between you. (c) Except where condition 3.4 applies, either one of you will be entitled to operate the account and carry out transactions (including the withdrawal of the entire balance from the account). 3.3 You must notify us immediately of any dispute between you which may affect the account. 3.4 We may treat the authority which each of you has to operate the account on your own as revoked if: (a) we receive notice under condition 3.3 of a dispute between you which may affect the account; or (b) we reasonably believe that there is a dispute between you which may affect the account. 3.5 The following terms will apply if the authority of either of you to operate the account on your own is treated as revoked: (a) We may decline to give reasons for treating the authority as revoked if we reasonably believe that to do so would involve the unauthorised disclosure of personal information or would otherwise be in breach of the law. (b) The account may only be operated on the basis of written instructions signed by both of you. However, if you have previously arranged for regular additions to be made to the account, these additions will continue until we receive written instructions signed by either of you to cancel them. (c) Where you jointly give instructions for money to be withdrawn from the account, we will issue a cheque for the amount of the withdrawal and send it by first class post to your correspondence address. 3.6 If either of you dies, the surviving account-holder must promptly write to us with the death certificate. We will then change the account details in our records so as to show that it is held in the name of the surviving account-holder. 3.7 Except where condition 3.5 applies, any notice which you are required to give under these conditions may be given by either one of you. 3.8 We will only accept one correspondence address for both of you. If we send you a notice about the account to the correspondence address, it will be addressed to you jointly. 4. Opening and operating your account Introduction 4.1 In this condition 4, we deal with the opening of your account and how you can then make additions to it or withdrawals from it. We cover related points here and in other conditions, such as when we describe how long it normally takes to process payments into or out of your account (conditions 5 and 6), subject to the circumstances in which payments can be refused (condition 7), cancelled by you (condition 8) or otherwise stopped (condition 13). Opening your account 4.2 To open your account: (a) You must be at least 18 years of age. (b) You must establish that your permanent home is in the United Kingdom. (c) You must be investing money for your own benefit and not as trustee. The money you invest must not belong to a company or be held for the purposes of a business, partnership, charity or pension scheme. (d) You or (where the account is to be held in joint names) either of you, must have another C&G savings account which you have held for at least six months. (e) You must make an initial deposit of at least 10, We may refuse any application to open an account. We are not obliged to give reasons for doing so. How to make additions to your account 4.4 You may make the initial deposit and any subsequent additions to your account in the following ways: (a) by direct debit from your nominated bank account using the telephone transaction service (see condition 4.10); (b) by cheque or in cash at any branch; (c) by post (cheques only); (d) by transferring money from another Lloyds TSB account; or (e) by electronic payment from another bank. 4.5 Your initial deposit and any subsequent additions to your account must be in sterling. We do not accept payments in any other currency. 4.6 The maximum sum which may be added to your account in cash each day is 1, The maximum number of cheques which may be sent to us by post each day is five. 4.8 If you hold more than one account with us, money added by cheque cannot be divided between the accounts. 4.9 If you wish to make your initial deposit or any subsequent additions by transferring money from another Lloyds TSB account, you should refer to the terms and conditions of the other Lloyds TSB account for an explanation of how to make the transfer and how the transfer will be carried out The following terms explain how you may use the telephone transaction service to make additions to your account by direct debit: (a) You must first provide us with a properly completed direct debit mandate which authorises us to transfer money to the account from your nominated bank account. It will take up to 14 days to set up the direct debit. Until then, you will not be able to make additions to your account by direct debit. (b) You can choose to make a one-off addition to your account, or a regular addition on the same day each month. (If a regular addition would not be on 8 9

7 a working day, we will arrange to receive it on the next working day.) (c) You may only make one addition to your account by direct debit each working day. If you have arranged for regular additions to be made to your account, you will not be able to make another addition to your account on the day on which any regular addition is made. (d) You must complete a new direct debit mandate if your existing mandate has not been used in any 36 month period. How to withdraw money from your account 4.11 Except where condition 3.5 applies and subject to conditions 4.14 to 4.16, you may only withdraw money from your account: (a) to your nominated bank account, by electronic payment using the telephone transaction service; (b) to another C&G savings account in your name(s) by requesting a transfer through the telephone transaction service (This service will require you to speak to a telephony agent.); or (c) to another Lloyds TSB account in your name(s) by requesting a transfer in branch or by writing to us From time to time we may introduce or change the limits on the amount and frequency of any withdrawals. If we do so we will tell you about the changes under condition If you use the telephone transaction service to request the withdrawal of money from your account, it will be made by electronic payment. (If you choose to make the withdrawal by CHAPS transfer, a charge will apply.) 4.14 You may withdraw money from your account up to three times each year without charge. (For the purposes of this paragraph and condition 4.15, below, a year is based on the anniversary of the day on which your account is opened.) 4.15 Except where condition 14.6 or 16.3 provides otherwise, once you have made three withdrawals in a year, each time you request a further withdrawal of money from your account in that year, we will make a charge equivalent to 45 days gross interest on the amount withdrawn. The charge will be calculated using the interest rate applicable at the date of withdrawal and we will deduct the charge from the balance in your account before the withdrawal is made We will refuse any request to make a withdrawal against uncleared funds. Making additions and withdrawals by electronic payment 4.17 When you request an electronic payment to or from another account, you must give us the account name, the sort code, the account number and any other details we ask you for such as the name of the person you are sending the payment to, so we can make the electronic payment. You are responsible for checking that the details are correct. We will not be liable if the electronic payment goes to the wrong person because you gave us the wrong details. If it does go to the wrong person because you gave us the wrong details, we will use reasonable efforts to recover the money and, if we manage to do so, we may charge you our reasonable costs We will process any transactions made through the telephone transaction service on the working day that we receive your instructions, so long as we receive them before the cut-off time for that working day. If we receive your instructions at any other time, we will process the transactions on the next working day Any request to transfer money to another Lloyds TSB account will be processed: (a) straightaway if made in branch; or (b) within 24 hours of receiving your written instructions if made by post. 5. Timing of payments into your account Cash 5.1 Cash paid into your account will be available for you to withdraw as soon as we receive it. 5.2 We receive cash paid in at a branch straightaway, even if it is paid in on a non-working day (for example, a Saturday). 5.3 Cash paid into your account starts to earn interest on the day we receive the cash or (if that day is not a working day) on the first working day after we receive the cash. Cheques 5.4 Money paid into your account by cheque starts to earn interest on the day we receive the cheque or (if that day is not a working day) on the first working day after we receive the cheque. 5.5 Money paid into your account by cheque that is not from a Lloyds TSB account will usually be available for you to withdraw on the fourth working day after we receive it. (For example, if we receive a cheque on Monday, the money will usually be available for you to withdraw on Friday.) 5.6 Money paid into your account by cheque from another Lloyds TSB account will usually be available for you to withdraw on the same day that we receive the cheque. 5.7 Cheques from a bank outside the United Kingdom may take longer to clear. 5.8 Subject to condition 5.9, below, if a cheque which has been credited to your account is later returned unpaid: (a) we will deduct the amount of the cheque from your account balance. (If as a result your account becomes overdrawn or the money in the account falls below 1, you must immediately pay us the amount required to ensure that the account balance is restored to at least 1.); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 5.9 If a cheque which has been credited to your account is returned unpaid more than six working days after the date on which we received it, we will not be able to deduct the amount of the cheque from your account balance without your consent unless you have acted fraudulently. (For example, if we receive a cheque on Monday, you can be certain that the money is yours by the end of the day on Tuesday in the following week.) Electronic payments 5.10 Subject to conditions 5.13 and 7.2, an electronic payment into your account will start to earn interest and will be available for you to withdraw on the day we receive it If the payment to your account is by direct debit (including where your nominated bank account is a Lloyds TSB account), we will usually receive the payment two working days after you ask us to collect it. (For example, if you ask us to collect the payment on Monday, it will usually reach your account by Wednesday If the payment to your account is by transfer from another Lloyds TSB account, the terms and conditions of the other Lloyds TSB account will tell you how long the payment will take to reach your account In some cases, a transfer of money under condition 5.12 can be processed on a day which is not a working day and may leave the other Lloyds TSB account and be available for you to withdraw from your account on the same day. Where this happens, the money will not be shown as having been received into your account until the next working day. Interest will continue to be paid on the money as if it remained in the other Lloyds TSB account until it is shown as having been received into your account Electronic payments into your account will normally be received on the same working day, but in any event no later than the next working day, after the money is sent to us Where we are dependant on another bank sending us the electronic payment, we cannot guarantee when it will be received If an electronic payment which has been credited to your account is later reclaimed by the paying bank: (a) we will deduct the amount of the electronic payment from your account balance. (If as a result your account becomes overdrawn or the money in the account falls below 1, you must immediately pay us the amount required to ensure that the account balance is restored to at least 1); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 6. Timing of payments from your account Cheques 6.1 Money in your account will earn interest up to, but not including, the day it is withdrawn by cheque. Electronic payments 6.2 If your nominated account is not a Lloyds TSB account, and you ask us to send money to it: (a) We will use the Faster Payments Scheme if it is available and the organisation you are sending the payment to is a member of the scheme. We will take the money from your account on the same working day that we process your request, and it will normally reach the bank holding your nominated bank account within two hours but in any event no later than the end of the next working day after the processing. You will continue to earn interest on the money being transferred for up to one working day from it leaving your account, to allow for the time it takes to reach your nominated bank account. (b) Alternatively, you can ask us to make a CHAPS transfer. We will then take the money from your account on the day we process your request, and the other bank will receive the money on the same day. There is a charge for this service. The other bank is required by law to pay the money into your nominated bank account when it receives it from us. 6.3 If your nominated bank account is a Lloyds TSB account and you ask us to send money to it using the telephone transaction service, we will take the money from your account and it will reach your nominated bank account on the working day after your request is processed. 6.4 Subject to condition 6.5 below, if you ask: (a) to transfer money to another C&G savings account by speaking to a telephony agent through the telephone transaction service; (b) to transfer money to another Lloyds TSB account in branch or by writing to us; or (c) to transfer interest to a nominated bank account which is a Lloyds TSB account or to another C&G savings account under condition 12.12, the payment will be available for withdrawal and start to earn interest in the other account as soon as we process your request. 6.5 If the transfer of money under condition 6.4 is processed on a day which is not a working day it will leave your account and be available for you to withdraw from the other Lloyds TSB account on the same day. Where this happens, the money will not be shown as having been received into the other Lloyds TSB account until the next working day. Interest will continue to be paid on the money as if it remained in your account until it is shown as having been received into the other Lloyds TSB account. 6.6 If we cannot make the payment using the Faster Payments Scheme you can contact us to ask if there is any other method available to make payment. We are not liable for failing to make a payment if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 7. When we may refuse to carry out a transaction 7.1 We may refuse to carry out a transaction on your account for one or more of the following reasons: (a) the balance in your account (ignoring any uncleared funds) is insufficient to meet the transaction; (b) you fail to follow or use your security details as appropriate; (c) you fail to produce identification evidence when asked; (d) your instructions are not clear or you have not provided us with the correct details in the instructions; (e) we are served with a court order which prevents us carrying out the transaction; (f) we reasonably believe that someone else may have rights over the money in your account (in this case we can also ask (or require you to ask) a court what to do, or do anything else we reasonably need to do to protect ourselves); (g) our regulator, or a body acting under statutory authority, has requested us to stop transactions of the relevant kind being carried out on your account and we reasonably believe that the request is valid; (h) the transactions would prejudice any rights that have arisen under condition 11; (i) we reasonably believe that you are acting under coercion, or have not given your free and informed consent to the transaction; (j) we receive instructions to carry out the transactions at a time when you (or any one of you) are under the age of 18 and we reasonably suspect that the transactions would be imprudent or improper; (k) the transactions would result in your total investment in C&G savings accounts exceeding 3 million; (l) any other reason set out separately in these conditions applies; or (m) if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 7.2 For direct debit payments to your account, the bank that sent the money may require us to return it as unpaid up to three working days after we receive it. We will accordingly refuse any request for a withdrawal from your 10 11

8 account that would use that money for as long as it can be recalled. (For example, if we receive a payment by direct debit on Monday, you will not be able to withdraw the money until Friday.) 7.3 We may also refuse a transaction if we reasonably believe that it might cause us (or another company in the Lloyds Banking Group) to breach a legal requirement or might expose us (or another company in the Lloyds Banking Group) to action from any government or regulator. 7.4 We will try to contact you by telephone or in writing to tell you that we are refusing a transaction. We will do this at the earliest opportunity. 7.5 We may decline to give our reasons for refusing to carry out a transaction if we reasonably believe that to do so would be in breach of the law, for example if it would involve: (a) the unauthorised disclosure of information which we hold about another person (being information which would enable that person to be identified); or (b) (where the account is in joint names) the unauthorised disclosure to one of you of personal information which we hold about the other. 8. Cancelling electronic payments 8.1 If you ask us to make an electronic payment to or from your account, we will normally be unable to change or cancel your request, unless: (a) you have asked for interest to be paid to another account under condition 12.12; (b) you have arranged for regular additions to be made to your account by direct debit; or (c) you have arranged for us to transfer a sum equal to the annual cash ISA subscription limit to your C&G cash ISA on the first working day of each tax year, in which case we can cancel the payment if you tell us by calling the telephone transaction service by the end of the last working day before it is due to be made. 8.2 Where you wish to cancel a payment into your account by direct debit, you should also notify the bank with which you hold your nominated bank account. 9. Refunds for electronic payments to or from your account 9.1 Except in the circumstances set out in condition 9.2, below, if you ask to make a withdrawal from your account by electronic payment and it was not made correctly or never arrived, we will: (a) refund the amount withdrawn, together with any charges you paid as a result; (b) pay you any interest you would have earned on that amount had it remained in your account; and (c) if you ask us to, make immediate efforts to trace the payment and notify you in writing or by telephone of the outcome. 9.2 The circumstances in which we will not refund you under condition 9.1 are where: (a) you gave us the wrong payment details (see condition 4.17); (b) we can show that the electronic payment was received by the other bank (in this case, the other bank must immediately put the money into the account to which you asked the payment to be made and refund any charges paid as a result of the payment not being made correctly); or (c) you tell us about the problem more than 13 months after the payment was taken from your account. 9.3 If you ask us to transfer money to your account by direct debit from your nominated bank account and the payment is not made correctly or never arrived we will: (a) (unless we can show it was the fault of the paying bank, or you gave us the wrong payment details - see condition 4.17) immediately ask the paying bank to make the payment to us again; (b) if you ask us to, make immediate efforts to trace the payment and notify you in writing or by telephone of the outcome; and (c) refund you any charges you paid as a result. 9.4 If we can show that it was the paying bank s fault they will be responsible for: (a) putting the amount of the payment back into your nominated bank account; (b) paying you any interest you would have earned on the amount had it not been taken from your nominated bank account; and (c) refunding you any charges you paid as a result of the payment not being made correctly or at all. 9.5 If your nominated bank account is with Lloyds TSB Bank plc, then we will always be responsible for making sure that the payment is made correctly. 10. Statements 10.1 You may request a written statement by speaking to a telephony agent through the telephone transaction service. The statement will show details of all transactions on your account, together with any interest paid, during the period covered by the statement Except where condition 10.3 applies, we will automatically send you a statement if our records show that you have not received one during the preceding three months If there have been no transactions on your account during the period that would be covered by a statement sent under condition 10.2, we will not send you a statement under that condition but will instead send you one three months after the next transaction on your account You can ask us to provide you with a copy of a statement we have already provided but we may make a reasonable charge for this You are responsible for checking your statements. You must tell us as soon as you can by calling the Customer Service Helpline if you notice any errors on your account. If we notice any errors, we will correct them as soon as reasonably possible. 11. Set-off 11.1 If you (or either one of you) have failed to pay a debt which you are liable to pay us, we may retain some or all of the balance in your account and use it to reduce or pay off the debt which you have failed to pay. We will give you at least seven days notice before exercising our rights under this condition. 12. Interest and charges The interest rates we pay 12.1 We pay interest on balances of 10,000 or more at the appropriate C&G Reserve Account rates. You can find out details of the current C&G Reserve Account rates by calling our Customer Service Helpline or by visiting the C&G website We pay interest on balances of 100 or more, but not exceeding 10,000, at the fixed rate of 0.5% We do not pay interest on balances of less than We pay a bonus rate of interest in addition to the standard C&G Reserve Account rates described above. The amount of the bonus and the period for which it applies will be as set out in our literature at the time you opened your account. No bonus rate is paid when the default rate of interest described in condition 12.2 applies. Changing our interest rates 12.5 We will not change: (a) the bonus rate of interest or the period for which it applies; or (b) the fixed default rate of interest described in condition 12.2, but we may change our other interest rates as described below We may change either the annual or the monthly interest rate applicable to your account without giving you advance notice if the change is: (a) to your advantage; and (b) to respond proportionately to actual or reasonably expected changes in regulatory requirements affecting us or the costs of running our accounts, including changes in our funding costs (for example, changes to the base rate). (A regulatory requirement is any law, regulation, code or industry guidance that applies to us.) 12.7 We may also change the interest rates to your advantage, without giving you advance notice, for a valid reason not stated in this condition Where we change the interest rates without giving you advance notice, we will tell you about the change personally within 30 days of the change, or by publishing it Alternatively, we can change the interest rates by giving you advance notice under condition 16. Calculating and paying you interest We calculate interest on the balance in your account on a daily basis. This means that, where you choose to have your interest paid monthly under condition 12.11, the interest we pay each month will vary according to the number of days in the month (a) You may choose to have interest paid either monthly or annually. (b) If interest is payable monthly, then we will pay the interest by crediting it to your account at the end of the first day of each month or (if that is not a working day) at the end of the preceding working day. (c) If interest is payable annually, then (unless paragraph (d), below, applies), we will pay the interest by crediting it to your account at the end of the day on the anniversary of the day on which your account was opened or (if that day is not a working day) at the end of the preceding working day. (d) If you have chosen to have interest paid monthly and you notify us that you wish to have it paid annually instead, we will pay the interest by crediting it to your account on the anniversary of the day of the account being changed to annual interest or (if that day is not a working day) at the end of the last working day before that date. (e) If you have chosen to have interest paid annually and you notify us that you wish to have it paid monthly instead, we will pay the interest as stated in paragraph (b), above. The first payment of monthly interest will include all the interest which has been earned on your account since the end of the period covered by the last interest payment we made You may choose to leave the interest paid under condition above credited to your account or you may choose to have it transferred to your nominated bank account or to another C&G savings account by electronic payment. (A CHAPS transfer is not available for transferring interest.) If you choose to have the interest transferred, we will process the transfer the working day after we credit the interest to your account under condition 12.11(b), (c), (d) or (e) above and the interest will normally reach the other bank account within two hours of the processing but in any event no later than the end of the next working day after the processing Where required by legislation, interest will be paid after deduction of income tax at the appropriate rate If, by mistake, we pay you more interest than you are entitled to, you must repay us the amount we have overpaid. This does not affect any right you have to pursue any claim you have against us if you suffer loss as a result of our mistake You may choose to leave the interest paid under condition 12.11, above, credited to your account or you may choose to have it transferred to your nominated bank account or to another C&G savings account by electronic payment. (A CHAPS transfer is not available for transferring interest.) If you choose to have the interest transferred, we will process the transfer the working day after we credit the interest to your account under condition 12.11(b), (c), (d) or (e), above and the interest will normally reach the other bank account within two hours of the processing but in any event no later than the end of the next working day after the processing. Charges Charges for providing standard services in connection with your account are set out in our tariff. You will have received a copy of the tariff before you opened your account. Our power under condition 16 to vary these conditions includes power to vary the charges in our tariff and to introduce new charges for standard services We may make a reasonable charge for providing you with any non-standard service which you request in connection with your account. We will inform you of the charge before we provide the service If you request a withdrawal by CHAPS transfer, we will deduct the charge for the transfer from your account on the day when we process the request. If the withdrawal will lead to the closure of your account, we will deduct the charge from your account before we transfer the balance in the account to your nominated bank account You may have to pay other taxes or costs, which are not paid through us or imposed by us. 13. Safeguarding your security and account details 13.1 Except where condition 13.2(a) applies, you will need to choose and register a security number before you can authorise transactions on your account using the telephone transaction service. (Where the account is held jointly, each of you will need to register your own individual security number.) 13.2 (a) If you already have one or more Lloyds TSB accounts and have registered to use Lloyds TSB Telephone Banking, you will share the same security number for the telephone operation of those accounts. You will therefore not need to register a new security number when you open your account

9 (b) Similarly, if you register a security number on your account with us, you will use the same security number if you later register to use Lloyds TSB Telephone Banking You must only use or follow your security details for the purposes set out in these conditions and do all you reasonably can to make sure that no-one finds out your security details. For example, you should: (a) follow instructions we give you, which we reasonably consider are needed to protect you and us from unauthorised access to your account; (b) not disclose your full security number to anyone else, including our staff. (Our staff may ask you for two random digits from your security number in order to confirm that you are who you claim to be.); (c) not choose an obvious security number (such as your date of birth); (d) not write your security number or other security details on, or keep them with, your account documentation; (e) not write down your security number in a way that is recognisable; and (f) not allow anyone to listen in to your calls with us or watch you entering or making use of your security details You must notify us as soon as possible by telephoning the telephone transaction service if you discover or suspect that: (a) someone else knows your security number or other security details; or (b) someone may be accessing your account without your authority. We will keep a record of your call and may monitor or record the call itself. In any case where you suspect that a theft or fraud has been, or may be, committed, we may ask you to report your suspicions to the police and to provide us with any crime reference number which the police give you If you give us notice under condition 13.4, we will freeze your account. We may then either: (a) arrange for you to register new security details; or (b) on receipt of written instructions signed by you (or by both of you where the account is held by you jointly), close your account and transfer the balance to a new account You will not be able to give a payment instruction using your security details if we have stopped, or suspended, your ability to use them. If we haven t done so already under condition 13.5, we can do this if we reasonably consider it necessary for reasons relating to: (a) their security; or (b) their suspected unauthorised or fraudulent use. Unless the law prevents us from doing so or we believe it would undermine our security measures, we will try to contact you, by telephone or in writing, in advance to tell you that we will stop or suspend the use of your security details and our reason for doing so. If we are unable to tell you in advance we will tell you as soon as possible afterwards. You can call the telephone transaction service to ask us to lift the freeze on your security details or to replace them as soon as the reason for the freeze has ended You will not be liable for any transactions you did not authorise yourself, even if they were made using your security details, unless we can prove either: (a) that you have acted fraudulently, in which case you will be liable for all payments from the account that we have been unable to stop; or (b) that you have been very careless with your security details (for example, if you do not tell us as soon as you think someone has discovered your security details or is accessing your account without your authority or you break your obligations in condition 13.3), in which case (depending on the facts of the case and any legal requirements that apply) you may be liable for payments from your account but only until you have told us that your security details have been liable to misuse If you tell us that a withdrawal from your account was unauthorised, we will investigate. Once we are reasonably satisfied that the withdrawal was not authorised and that you are not liable, we will refund the amount withdrawn, together with any charges you paid as a result of the withdrawal and will pay you any interest you would have earned on that amount (we will have no further liability to you). However, we will not do this if you tell us that the payment was unauthorised more than 13 months after it was taken from your account. 14. Closure 14.1 We may close your account at any time for one or more of the following reasons: (a) because you have instructed us to transfer the balance to a new account under condition 13.5(b); (b) because you are, or we reasonably consider you may be: using or obtaining, or allowing someone else to use or obtain, a service or money illegally; acting fraudulently; behaving improperly (for example, in a threatening or abusive manner); (c) because we reasonably consider that by continuing to allow you to run your account: we may break a legal requirement or a court order or other authority; we (or another company in the Lloyds Banking Group) may be exposed to action from any government or regulator; or (d) because you have seriously or persistently breached these conditions in any other way. If we close your account without giving you written notice beforehand, we will do so as soon as possible afterwards On giving you two months written notice we may also close your account for any valid reason Unless we are transferring the balance to a new account under condition 13.5(b), we will repay the balance in your account to you with interest until the date of closure You may close your account at any time without prior notice by writing to us or by calling the telephone transaction service, but you must pay any charge which becomes due under condition 4.15 on the withdrawal of the money in the account at the time when it is closed. Except where condition 3.5 applies, the balance in the account must be withdrawn in one of the ways specified in condition Within a period of 14 days after we receive your initial deposit or (if later) after you have received a copy of these conditions, you can choose to cancel this agreement. The right to cancel the agreement can be exercised by posting a notice to us in accordance with condition If you choose to exercise your right to cancel this agreement under condition 14.5, then you will not have to pay us any charges. 15. Dormancy 15.1 We may treat your account as dormant if: (a) you have not asked us to carry out any transactions on the account or any other account with us for a continuous period of three years; and (b) you do not respond to a notice or communication asking if you wish your account to remain active For so long as we treat your account as dormant under condition 15.1, then: (a) we will refuse to carry out any transactions on the account; and (b) we will no longer send you any notices or communications in connection with the account If you later come forward to claim the account and produce any identification evidence which we reasonably request, then we will reactivate the account We participate in the Unclaimed Asset Scheme under the Dormant Bank and Building Society Accounts Act Under the Scheme, if you have not asked us to carry out any transactions on the account for a continuous period of 15 years (or other period specified by law) and we have lost touch with you, we may transfer any money in the account to the reclaim fund (which is a body set up to deal with unclaimed assets in dormant accounts). You will be entitled to reclaim any money transferred and any interest payable from the reclaim fund and if you ask us we can help you do this We are committed to reuniting customers with their money and we will try to contact you if we think your account is becoming dormant. If you think you have money in our accounts which you have forgotten about, you can also contact us and we will do our best to try to find it for you. For more information, please ask in branch or call the Customer Service Helpline. If you think you have dormant accounts with other banks you can visit Changes to these conditions 16.1 We may vary these conditions at any time We will give you not less than two months prior written notice of the variation and you can end this agreement or close or change your account without charge within the notice period we give you. If you do not do so, we will be entitled to assume that you have accepted the variation on the date the change comes into force When we say we will publish a change, we will put notices in at least three national newspapers and make the change available in our branches, on our website and through the appropriate telephone C&G Savings Rateline by the time of making the change or within three days after it If we can notify you about a change in a different way we will do so in a way we think is reasonable and which satisfies our legal and regulatory requirements. 17. Notices 17.1 Any written notice or communication we give you under these conditions will be given either: (a) by posting or delivering it to your correspondence address; (b) by or text message; or (c) in any other way which is sent to you individually Where these conditions provide that a notice from you to us must be given in writing, the notice must be given by posting it to: C&G Savings, PO Box 1888, Andover, SP10 9BF. 18. Exclusion of liability 18.1 If we are in breach of these conditions, we will not be liable: (a) for losses or costs caused by abnormal and unforeseeable circumstances outside our reasonable control, which would have been unavoidable despite all efforts to the contrary, for example delays or failures caused by industrial action, problems with another system or network, mechanical breakdown or dataprocessing failures; or (b) as our agreement is made with you as a personal customer, for any business losses or costs you suffer (such as loss of profits or opportunities) Nothing in these conditions limits our liability for acting fraudulently or very carelessly or otherwise excludes or limits our liability to the extent we are unable to exclude or limit it by law. 19. Governing Law and Language 19.1 If you are not resident in Scotland when the conditions in this document first apply to you, English law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The courts of England and Wales will also be able to deal with any legal questions connected with this agreement If you are resident in Scotland when the conditions in this document first apply to you, Scots law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The Scottish courts will also be able to deal with any legal questions connected with this agreement The contract between you and us is in English and all future communications with you will be in English

10 Reward Saver Account Conditions 2012 accounts opened from 25 June Definitions and interpretation 1.1 In these conditions, the words listed below have the meanings shown beside them: account Your C&G Reward Saver Account. base rate The Bank of England s repo rate (commonly referred to as its base rate). branch A branch of Cheltenham & Gloucester plc, Lloyds TSB Bank plc or Lloyds TSB Scotland plc. C&G website CHAPS transfer A transfer of money using the Clearing House Automated Payment System (a charge applies for this service). correspondence address The address you have told us we may use when sending notices to you under these conditions. cut-off times Depending upon the type of transaction you are making and the channel through which you are making it (for example, through the telephone transaction service), there may be a cut-off time on each working day such that instructions received after that time will not be processed until the next working day. The cut-off time for all channels is usually not before 3.30pm, although the cut-off time for CHAPS transfers is 2.30pm. Please ask if you would like to know the cut-off time for a particular transaction. electronic payment A payment to or from the account made by any means other than cash or cheque, or initiated by a paper-based authorisation process. identification evidence Evidence which shows that you are who you claim to be. Lloyds Banking Group The group of companies which includes us and a number of other companies using brands including Lloyds TSB, Halifax and Bank of Scotland, and their associated companies. More information on the Lloyds Banking Group can be found at Lloyds TSB account A C&G savings account or another personal current or savings account with Lloyds TSB Bank plc, or with Lloyds TSB Scotland plc or Lloyds TSB Private Banking Limited. nominated bank account The United Kingdom bank (or building society) account in your name(s) which you nominate as the account: from which money you wish to add to your account may be transferred by direct debit; and to which money you wish to withdraw from your account may be transferred by electronic payment. personal information Information which we and other Lloyds Banking Group companies hold about you and which (either on its own or with other information we hold) enables you to be identified. security details Processes, information or security procedures we ask you to follow or use to give us instructions. Examples include your security number and identification evidence. security number The confidential six digit number chosen by you. telephone transaction service The telephone service which lets you transfer money: between your account and your nominated bank account; or from your account to another C&G savings account in your name(s). transaction Any addition to, or withdrawal from, your account, and any other operation (apart from the crediting of interest to your account) which changes the balance on your account. uncleared funds Any part of the account balance which, under the terms set out in condition 5, is not available to withdraw. we and us Lloyds TSB Bank plc, operating through a division known as Cheltenham & Gloucester Savings, and its successors. working day Any day from Monday to Friday except bank holidays or public holidays. Although some payments can be made on a non-working day, the processing of these payments is not completed on our systems until the next working day as explained below in conditions 5 and 6. you The person(s) named as the account-holder(s) in the application form, their successor(s) and anyone authorised by law to operate the account. 1.2 The terms contained in these conditions are not intended to be enforceable by anyone other than you (including your successors and anyone authorised by law to operate the account) and us (including our successors). 1.3 Unless we give you specific notice to the contrary under condition 16, any general terms and conditions expressed to apply to all personal bank accounts with Lloyds TSB Bank plc will not apply to your account. 1.4 You may request a copy of these conditions and other information about your account at any time by calling the Customer Service Helpline. 2. Personal details 2.1 To help prevent fraud and money laundering, we need to be able to confirm that you are who you claim to be. We may ask you for identification evidence and a specimen signature at any time. We will refuse to carry out any transaction for you until you have complied with our request. 2.2 We are entitled to assume that we are dealing with you and that you have agreed to us acting on any instructions, without getting further confirmation from you: (a) if you ask us to carry out a transaction using your security details; and (b) otherwise, if you have signed a document containing the instructions. 2.3 You must write to us promptly (quoting the sort code and number of your account) to tell us if you change: (a) your name; (b) permanent home or your correspondence address; (c) nominated bank account or direct debit mandate; (d) your tax status; or (e) your residence for tax purposes. We may ask you for evidence to confirm the change. 2.4 If you are the sole account-holder and are able to produce any identification evidence we reasonably request, you may also notify us of a change to your correspondence address by calling the telephone transaction service. 3. Joint accounts 3.1 The account may not be held by more than two people. Conditions 3.2 to 3.8 apply where the account is held in joint names. 3.2 (a) These conditions apply to both of you together and each of you on your own. This means that each of you can be held fully responsible for complying with these conditions. (b) We will treat each of you as jointly entitled to all the money in your account and will not be concerned with any division of ownership of the money between you. (c) Except where condition 3.4 applies, either one of you will be entitled to operate the account and carry out transactions (including the withdrawal of the entire balance from the account). 3.3 You must notify us immediately of any dispute between you which may affect the account. 3.4 We may treat the authority which each of you has to operate the account on your own as revoked if: (a) we receive notice under condition 3.3 of a dispute between you which may affect the account; or (b) we reasonably believe that there is a dispute between you which may affect the account. 3.5 The following terms will apply if the authority of either of you to operate the account on your own is treated as revoked: (a) We may decline to give reasons for treating the authority as revoked if we reasonably believe that to do so would involve the unauthorised disclosure of personal information or would otherwise be in breach of the law. (b) The account may only be operated on the basis of written instructions signed by both of you. However, if you have previously arranged for regular additions to be made to the account, these additions will continue until we receive written instructions signed by either of you to cancel them. (c) Where you jointly give instructions for money to be withdrawn from the account, we will issue a cheque for the amount of the withdrawal and send it by first class post to your correspondence address. 3.6 If either of you dies, the surviving account-holder must promptly write to us with the death certificate. We will then change the account details in our records so as to show that it is held in the name of the surviving account-holder. 3.7 Except where condition 3.5 applies, any notice which you are required to give under these conditions may be given by either one of you. 3.8 We will only accept one correspondence address for both of you. If we send you a notice about the account to the correspondence address, it will be addressed to you jointly. 4. Opening and operating your account Introduction 4.1 In this condition 4, we deal with the opening of your account and how you can then make additions to it or withdrawals from it. We cover related points here and in other conditions, such as when we describe how long it normally takes to process payments into or out of your account (conditions 5 and 6), subject to the circumstances in which payments can be refused (condition 7), cancelled by you (condition 8) or otherwise stopped (condition 13). Opening your account 4.2 To open your account: (a) You must be at least 18 years of age. (b) You must establish that your permanent home is in the United Kingdom. (c) You must be investing money for your own benefit and not as trustee. The money you invest must not belong to a company or be held for the purposes of a business, partnership, charity or pension scheme. (d) You must make an initial deposit of at least 1, We may refuse any application to open an account. We are not obliged to give reasons for doing so. How to make additions to your account 4.4 You may make the initial deposit and any subsequent additions to your account in the following ways: (a) by direct debit from your nominated bank account using the telephone transaction service (see condition 4.10); (b) by cheque or in cash at any branch; (c) by post (cheques only); (d) by transferring money from another Lloyds TSB account; or (e) by electronic payment from another bank. 4.5 Your initial deposit and any subsequent additions to your account must be in sterling. We do not accept payments in any other currency. 4.6 The maximum sum which may be added to your account in cash each day is 1, The maximum number of cheques which may be sent to us by post each day is five. 4.8 If you hold more than one account with us, money added by cheque cannot be divided between the accounts. 4.9 If you wish to make your initial deposit or any subsequent additions by transferring money from another Lloyds TSB account, you should refer to the terms and conditions of the other Lloyds TSB account for an explanation of how to make the transfer and how the transfer will be carried out The following terms explain how you may use the telephone transaction service to make additions to your account by direct debit: (a) You must first provide us with a properly completed direct debit mandate which authorises us to transfer money to the account from your nominated bank account. It will take up to 14 days to set up the direct debit. Until then, you will not be able to make additions to your account by direct debit. (b) You can choose to make a one-off addition to your account, or a regular addition on the same day each month. (If a regular addition would not be on a working day, we will arrange to receive it on the next working day.) (c) You may only make one addition to your account by direct debit each working day. If you have arranged for regular additions to be made to your account, you will not be able to make another addition to your account on the day on which any regular addition is made. (d) You must complete a new direct debit mandate if your existing mandate has not been used in any 36 month period

11 How to withdraw money from your account 4.11 (a) You may withdraw money from your account: to your nominated bank account, by electronic payment using the telephone transaction service; by cheque (which we will send to your correspondence address by post), by writing to us; to another C&G savings account in your name(s) by requesting a transfer through the telephone transaction service. (This service will require you to speak to a telephony agent); or to another Lloyds TSB account in your name(s) by requesting a transfer in branch or by writing to us. (b) We will aim to process a written request for a withdrawal by cheque within 24 hours of receiving the request. (c) From time to time we may introduce or change the limits on the amount and frequency of any withdrawals. If we do so we will tell you about the changes under condition If you use the telephone transaction service to request the withdrawal of money from your account, it will be made by electronic payment. (If you choose to make the withdrawal by CHAPS transfer, a charge will apply.) 4.13 We will refuse any request to make a withdrawal against uncleared funds. Making additions and withdrawals by electronic payment 4.14 When you request an electronic payment to or from another account, you must give us the account name, the sort code, the account number and any other details we ask you for such as the name of the person you are sending the payment to, so we can make the electronic payment. You are responsible for checking that the details are correct. We will not be liable if the electronic payment goes to the wrong person because you gave us the wrong details. If it does go to the wrong person because you gave us the wrong details, we will use reasonable efforts to recover the money and, if we manage to do so, we may charge you our reasonable costs We will process any transactions made through the telephone transaction service on the working day that we receive your instructions, so long as we receive them before the cut-off time for that working day. If we receive your instructions at any other time, we will process the transactions on the next working day Any request to transfer money to another Lloyds TSB account will be processed: (a) straightaway if made in branch; or (b) within 24 hours of receiving your written instructions if made by post. 5. Timing of payments into your account Cash 5.1 Cash paid into your account will be available for you to withdraw as soon as we receive it. 5.2 We receive cash paid in at a branch straightaway, even if it is paid in on a non-working day (for example, a Saturday). 5.3 Cash paid into your account starts to earn interest on the day we receive the cash or (if that day is not a working day) on the first working day after we receive the cash. Cheques 5.4 Money paid into your account by cheque starts to earn interest on the day we receive the cheque or (if that day is not a working day) on the first working day after we receive the cheque. 5.5 Money paid into your account by cheque that is not from a Lloyds TSB account will usually be available for you to withdraw on the fourth working day after we receive it. (For example, if we receive a cheque on Monday, the money will usually be available for you to withdraw on Friday.) 5.6 Money paid into your account by cheque from another Lloyds TSB account will usually be available for you to withdraw on the same day that we receive the cheque. 5.7 Cheques from a bank outside the United Kingdom may take longer to clear. 5.8 Subject to condition 5.9, below, if a cheque which has been credited to your account is later returned unpaid: (a) we will deduct the amount of the cheque from your account balance. (If as a result your account becomes overdrawn or the money in the account falls below 1, you must immediately pay us the amount required to ensure that the account balance is restored to at least 1.); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 5.9 If a cheque which has been credited to your account is returned unpaid more than six working days after the date on which we received it, we will not be able to deduct the amount of the cheque from your account balance without your consent unless you have acted fraudulently. (For example, if we receive a cheque on Monday, you can be certain that the money is yours by the end of the day on Tuesday in the following week.) Electronic payments 5.10 Subject to conditions 5.13 and 7.2, an electronic payment into your account will start to earn interest and will be available for you to withdraw on the day we receive it If the payment to your account is by direct debit (including where your nominated bank account is a Lloyds TSB account), we will usually receive the payment two working days after you ask us to collect it. (For example, if you ask us to collect the payment on Monday, it will usually reach your account by Wednesday) If the payment to your account is by transfer from another Lloyds TSB account, the terms and conditions of the other Lloyds TSB account will tell you how long the payment will take to reach your account In some cases, a transfer of money under condition 5.12 can be processed on a day which is not a working day and may leave the other Lloyds TSB account and be available for you to withdraw from your account on the same day. Where this happens, the money will not be shown as having been received into your account until the next working day. Interest will continue to be paid on the money as if it remained in the other Lloyds TSB account until it is shown as having been received into your account Electronic payments into your account will normally be received on the same working day, but in any event no later than the next working day, after the money is sent to us Where we are dependant on another bank sending us the electronic payment, we cannot guarantee when it will be received If an electronic payment which has been credited to your account is later reclaimed by the paying bank: (a) we will deduct the amount of the electronic payment from your account balance. (If as a result your account becomes overdrawn or the money in the account falls below 1, you must immediately pay us the amount required to ensure that the account balance is restored to at least 1); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 6. Timing of payments from your account Cheques 6.1 Money in your account will earn interest up to, but not including, the day it is withdrawn by cheque. Electronic payments 6.2 If your nominated account is not a Lloyds TSB account, and you ask us to send money to it: (a) We will use the Faster Payments Scheme if it is available and the organisation you are sending the payment to is a member of the scheme. We will take the money from your account on the same working day that we process your request, and it will normally reach the bank holding your nominated bank account within two hours but in any event no later than the end of the next working day after the processing. You will continue to earn interest on the money being transferred for up to one working day from it leaving your account, to allow for the time it takes to reach your nominated bank account. (b) Alternatively, you can ask us to make a CHAPS transfer. We will then take the money from your account on the day we process your request, and the other bank will receive the money on the same day. There is a charge for this service. The other bank is required by law to pay the money into your nominated bank account when it receives it from us. 6.3 If your nominated bank account is a Lloyds TSB account and you ask us to send money to it using the telephone transaction service, we will take the money from your account and it will reach your nominated bank account on the working day after your request is processed. 6.4 Subject to condition 6.5 below, if you ask: (a) to transfer money to another C&G savings account by speaking to a telephony agent through the telephone transaction service; (b) to transfer money to another Lloyds TSB account in branch or by writing to us; or (c) to transfer interest to a nominated bank account which is a Lloyds TSB account, or to another C&G savings account under condition 12.15, the payment will be available for withdrawal and start to earn interest in the other account as soon as we process your request. 6.5 If the transfer of money under condition 6.4 is processed on a day which is not a working day it will leave your account and be available for you to withdraw from the other Lloyds TSB account on the same day. Where this happens, the money will not be shown as having been received into the other Lloyds TSB account until the next working day. Interest will continue to be paid on the money as if it remained in your account until it is shown as having been received into the other Lloyds TSB account. 6.6 If we cannot make the payment using the Faster Payments Scheme you can contact us to ask if there is any other method available to make payment. We are not liable for failing to make a payment if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 7. When we may refuse to carry out a transaction 7.1 We may refuse to carry out a transaction on your account for one or more of the following reasons: (a) the balance in your account (ignoring any uncleared funds) is insufficient to meet the transaction; (b) you fail to follow or use your security details as appropriate; (c) you fail to produce identification evidence when asked; (d) your instructions are not clear or you have not provided us with the correct details in the instructions; (e) we are served with a court order which prevents us carrying out the transaction; (f) we reasonably believe that someone else may have rights over the money in your account (in this case we can also ask (or require you to ask) a court what to do, or do anything else we reasonably need to do to protect ourselves); (g) our regulator, or a body acting under statutory authority, has requested us to stop transactions of the relevant kind being carried out on your account and we reasonably believe that the request is valid; (h) the transaction would prejudice any rights that have arisen under condition 11; (i) we reasonably believe that you are acting under coercion, or have not given your free and informed consent to the transaction; (j) we receive instructions to carry out the transaction at a time when you (or either one of you) are under the age of 18 and we reasonably suspect that the transaction would be imprudent or improper; (k) the transaction would result in your total investment in C&G savings accounts exceeding 3 million; (l) any other reason set out separately in these conditions applies; or (m) if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 7.2 For direct debit payments to your account, the bank that sent the money may require us to return it as unpaid up to three working days after we receive it. We will accordingly refuse any request for a withdrawal from your account that would use that money for as long as it can be recalled. (For example, if we receive a payment by direct debit on Monday, you will not be able to withdraw the money until Friday.) 7.3 We may also refuse a transaction if we reasonably believe that it might cause us (or another company in the Lloyds Banking Group) to breach a legal requirement or might expose us (or another company in the Lloyds Banking Group) to action from any government or regulator. 7.4 We will try to contact you by telephone or in writing to tell you that we are refusing a transaction. We will do this at the earliest opportunity. 7.5 We may decline to give our reasons for refusing to carry out a transaction if we reasonably believe that to do so would be in breach of the law, for example if it would involve: (a) the unauthorised disclosure of information which we hold about another person (being information which would enable that person to be identified); or 18 19

12 (b) (where the account is in joint names) the unauthorised disclosure to one of you of personal information which we hold about the other. 8. Cancelling electronic payments 8.1 If you ask us to make an electronic payment to or from your account, we will normally be unable to change or cancel your request, unless: (a) you have asked for interest to be paid to another account under condition 12.15; (b) you have arranged for regular additions to be made to your account by direct debit; or (c) you have arranged for us to transfer a sum equal to the annual cash ISA subscription limit to your C&G cash ISA on the first working day of each tax year, in which case we can cancel the payment if you tell us by calling the telephone transaction service by the end of the last working day before it is due to be made. 8.2 Where you wish to cancel a payment into your account by direct debit, you should also notify the bank with which you hold your nominated bank account. 9. Refunds for electronic payments to or from your account 9.1 Except in the circumstances set out in condition 9.2, below, if you ask to make a withdrawal from your account by electronic payment and it was not made correctly or never arrived, we will: (a) refund the amount withdrawn, together with any charges you paid as a result; (b) pay you any interest you would have earned on that amount had it remained in your account; and (c) if you ask us to, make immediate efforts to trace the payment and notify you in writing or by telephone of the outcome. 9.2 The circumstances in which we will not refund you under condition 9.1 are where: (a) you gave us the wrong payment details (see condition 4.14); (b) we can show that the electronic payment was received by the other bank (in this case, the other bank must immediately put the money into the account to which you asked the payment to be made and refund any charges paid as a result of the payment not being made correctly); or (c) you tell us about the problem more than 13 months after the payment was taken from your account. 9.3 If you ask us to transfer money to your account by direct debit from your nominated bank account and the payment is not made correctly or never arrived we will: (a) (unless we can show it was the fault of the paying bank, or you gave us the wrong payment details - see condition 4.14) immediately ask the paying bank to make the payment to us again; (b) if you ask us to, make immediate efforts to trace the payment and notify you in writing or by telephone of the outcome; and (c) refund you any charges you paid as a result. 9.4 If we can show that it was the paying bank s fault they will be responsible for: (a) putting the amount of the payment back into your nominated bank account; (b) paying you any interest you would have earned on the amount had it not been taken from your nominated bank account; and (c) refunding you any charges you paid as a result of the payment not being made correctly or at all. 9.5 If your nominated bank account is with Lloyds TSB Bank plc, then we will always be responsible for making sure that the payment is made correctly. 10. Statements 10.1 You may request a written statement by speaking to a telephony agent through the telephone transaction service. The statement will show details of all transactions on your account, together with any interest paid, during the period covered by the statement Except where condition 10.3 applies, we will automatically send you a statement if our records show that you have not received one during the preceding three months If there have been no transactions on your account during the period that would be covered by a statement sent under condition 10.2, we will not send you a statement under that condition but will instead send you one three months after the next transaction on your account You can ask us to provide you with a copy of a statement we have already provided but we may make a reasonable charge for this You are responsible for checking your statements. You must tell us as soon as you can by calling the Customer Service Helpline if you notice any errors on your account. If we notice any errors, we will correct them as soon as reasonably possible. 11. Set-off 11.1 If you (or either one of you) have failed to pay a debt which you are liable to pay us, we may retain some or all of the balance in your account and use it to reduce or pay off the debt which you have failed to pay. We will give you at least seven days notice before exercising our rights under this condition. 12. Interest and charges The interest rates we pay 12.1 We may pay interest at different rates on balances falling within different tiers. Our power under condition 16 to vary these conditions includes power: (a) to change the tiers; (b) to add new tiers; or (c) to remove all or any existing tiers Subject to condition 12.5(c), below, we pay interest on balances of 1,000 or more at the appropriate C&G Reward Saver Account rates. You can find out details of the current C&G Reward Saver Account rates by calling our Customer Service Helpline or by visiting the C&G website We pay interest on balances of less than 1,000, at the fixed rate of 0.5% The interest rate we pay on any tier will depend on the number of withdrawals you make from your account each year. (For the purposes of this paragraph and conditions 12.5 and 12.6, below, a year is based on the anniversary of the day on which your account is opened.) 12.5 In each year, the number of withdrawals from your account will affect the interest rate we pay on each tier as follows: (a) once you have made three withdrawals during the year, the relevant C&G Reward Saver Account rate will be reduced for the remainder of the year or, until you go on to make seven withdrawals; (b) once you have made seven withdrawals during the year, the relevant C&G Reward Saver Account rate will be reduced further for the remainder of the year or, until you go on to make thirteen withdrawals; (c) once you have made thirteen withdrawals during the year, we will pay interest at the fixed rate of 0.5% for the remainder of the year At the beginning of each new year, the interest rate will, where necessary, be restored to reflect that no withdrawals have been made during that year We pay a bonus rate of interest in addition to the standard C&G Reward Saver Account rates described above. The amount of the bonus and the period for which it applies will be as set out in our literature at the time you opened your account. No bonus rate is paid when the default rates of interest described in conditions 12.3 and 12.5(c) apply. Changing our interest rates 12.8 We will not change: (a) the bonus rate of interest or the period for which it applies; or (b) the fixed default rates of interest described in conditions 12.3 and 12.5(c), but we may change our other interest rates as described below We may change the interest rates applicable to all or any of the tiers of your account without giving you advance notice if the change is: (a) to your advantage; and (b) to respond proportionately to actual or reasonably expected changes in regulatory requirements affecting us or the costs of running our accounts, including changes in our funding costs (for example, changes to the base rate). (A regulatory requirement is any law, regulation, code or industry guidance that applies to us.) We may also change the interest rates to your advantage, without giving you advance notice, for a valid reason not stated in this condition Where we change the interest rates without giving you advance notice, we will tell you about the change personally within 30 days of the change, or by publishing it Alternatively, we can change the interest rates by giving you advance notice under condition 16. Calculating and paying you interest We calculate interest on the balance in your account on a daily basis Interest is payable annually and will be paid by crediting it to your account at the end of the day on the anniversary of the day on which your account was opened or (if that day is not a working day) on the preceding working day You may choose to leave the interest credited to your account or you may choose to have it transferred to your nominated bank account or to another C&G savings account by electronic payment. (A CHAPS transfer is not available for transferring interest.) If you choose to have the interest transferred, we will process the transfer the working day after we credit the interest to your account and the interest will normally reach the other bank account within two hours of the processing but in any event no later than the end of the next working day after the processing Where required by legislation, interest will be paid after deduction of income tax at the appropriate rate If, by mistake, we pay you more interest than you are entitled to, you must repay us the amount we have overpaid. This does not affect any right you have to pursue any claim you have against us if you suffer loss as a result of our mistake. Charges Charges for providing standard services in connection with your account are set out in our tariff. You will have received a copy of the tariff before you opened your account. Our power under condition 16 to vary these conditions includes power to vary the charges in our tariff and to introduce new charges for standard services We may make a reasonable charge for providing you with any non-standard service which you request in connection with your account. We will inform you of the charge before we provide the service If you request a withdrawal by CHAPS transfer, we will deduct the charge for the transfer from your account on the day when we process the request. If the withdrawal will lead to the closure of your account, we will deduct the charge from your account before we transfer the balance in the account to your nominated bank account You may have to pay other taxes or costs, which are not paid through us or imposed by us. 13. Safeguarding your security and account details 13.1 Except where condition 13.2(a) applies, you will need to choose and register a security number before you can authorise transactions on your account using the telephone transaction service. (Where the account is held jointly, each of you will need to register your own individual security number.) 13.2 (a) If you already have one or more Lloyds TSB accounts and have registered to use Lloyds TSB Telephone Banking, you will share the same security number for the telephone operation of those accounts. You will therefore not need to register a new security number when you open your account. (b) Similarly, if you register a security number on your account with us, you will use the same security number if you later register to use Lloyds TSB Telephone Banking You must only use or follow your security details for the purposes set out in these conditions and do all you reasonably can to make sure that no-one finds out your security details. For example, you should: (a) follow instructions we give you, which we reasonably consider are needed to protect you and us from unauthorised access to your account; (b) not disclose your full security number to anyone else, including our staff. (Our staff may ask you for two random digits from your security number in order to confirm that you are who you claim to be.); (c) not choose an obvious security number (such as your date of birth); (d) not write your security number or other security details on, or keep them with, your account documentation; (e) not write down your security number in a way that is recognisable; and (f) not allow anyone to listen in to your calls with us or watch you entering or making use of your security details You must notify us as soon as possible by telephoning the telephone transaction service if you discover or suspect that: (a) someone else knows your security number or other security details; or (b) someone may be accessing your account without your authority. We will keep a record of your call and may monitor or record the call itself. In any case where you suspect that a theft or fraud has been, or may be, committed, we may ask you to report your suspicions to the police and to provide us with any crime reference number which the police give you

13 13.5 If you give us notice under condition 13.4, we will freeze your account. We may then either: (a) arrange for you to register new security details; or (b) on receipt of written instructions signed by you (or by both of you where the account is held by you jointly), close your account and transfer the balance to a new account You will not be able to give a payment instruction using your security details if we have stopped, or suspended, your ability to use them. If we haven t done so already under condition 13.5, we can do this if we reasonably consider it necessary for reasons relating to: (a) their security; or (b) their suspected unauthorised or fraudulent use. Unless the law prevents us from doing so or we believe it would undermine our security measures, we will try to contact you, by telephone or in writing, in advance to tell you that we will stop or suspend the use of your security details and our reason for doing so. If we are unable to tell you in advance we will tell you as soon as possible afterwards. You can call the telephone transaction service to ask us to lift the freeze on your security details or to replace them as soon as the reason for the freeze has ended You will not be liable for any transactions you did not authorise yourself, even if they were made using your security details, unless we can prove either: (a) that you have acted fraudulently, in which case you will be liable for all payments from the account that we have been unable to stop; or (b) that you have been very careless with your security details (for example, if you do not tell us as soon as you think someone has discovered your security details or is accessing your account without your authority or you break your obligations in condition 13.3), in which case (depending on the facts of the case and any legal requirements that apply) you may be liable for payments from your account but only until you have told us that your security details have been liable to misuse If you tell us that a withdrawal from your account was unauthorised, we will investigate. Once we are reasonably satisfied that the withdrawal was not authorised and that you are not liable, we will refund the amount withdrawn, together with any charges you paid as a result of the withdrawal and will pay you any interest you would have earned on that amount (we will have no further liability to you). However, we will not do this if you tell us that the payment was unauthorised more than 13 months after it was taken from your account. 14. Closure 14.1 We may close your account at any time. We will give you not less than two months written notice of our intention to close your account unless: (a) we are transferring the balance to a new account under condition 13.5(b); (b) you are, or we reasonably consider you may be: using or obtaining, or allowing someone else to use or obtain, a service or money illegally; acting fraudulently; behaving improperly (for example, in a threatening or abusive manner); (c) we reasonably consider that by continuing to allow you to run your account: we may break a legal requirement or a court order or other authority; we (or another company in the Lloyds Banking Group) may be exposed to action from any government or regulator; or (d) you have seriously or persistently breached these conditions in any other way. If we close your account without giving you the notice beforehand, we will do so as soon as possible afterwards Unless we are transferring the balance to a new account under condition 13.5(b), we will repay the balance in your account to you with interest until the date of closure You may close your account at any time without prior notice by writing to us or by calling the telephone transaction service. The balance in the account must be withdrawn in one of the ways specified in condition 4.11(a) Within a period of 14 days after we receive your initial deposit or (if later) after you have received a copy of these conditions, you can choose to cancel this agreement. The right to cancel the agreement can be exercised by posting a notice to us in accordance with condition Dormancy 15.1 We may treat your account as dormant if: (a) you have not asked us to carry out any transactions on the account or any other account with us for a continuous period of three years; and (b) you do not respond to a notice or communication asking if you wish your account to remain active For so long as we treat your account as dormant under condition 15.1, then: (a) we will refuse to carry out any transactions on the account; and (b) we will no longer send you any notices or communications in connection with the account If you later come forward to claim the account and produce any identification evidence which we reasonably request, then we will reactivate the account We participate in the Unclaimed Asset Scheme under the Dormant Bank and Building Society Accounts Act Under the Scheme, if you have not asked us to carry out any transactions on the account for a continuous period of 15 years (or other period specified by law) and we have lost touch with you, we may transfer any money in the account to the reclaim fund (which is a body set up to deal with unclaimed assets in dormant accounts). You will be entitled to reclaim any money transferred and any interest payable from the reclaim fund and if you ask us we can help you do this We are committed to reuniting customers with their money and we will try to contact you if we think your account is becoming dormant. If you think you have money in our accounts which you have forgotten about, you can also contact us and we will do our best to try to find it for you. For more information, please ask in branch or call the Customer Service Helpline. If you think you have dormant accounts with other banks you can visit Changes to these conditions 16.1 We may vary these conditions at any time We will give you not less than two months prior written notice of the variation and you can end this agreement or close or change your account without charge within the notice period we give you. If you do not do so, we will be entitled to assume that you have accepted the variation on the date the change comes into force When we say we will publish a change, we will put notices in at least three national newspapers and make the change available in our branches, on our website and through the appropriate telephone C&G Savings Rateline by the time of making the change or within three days after it If we can notify you about a change in a different way we will do so in a way we think is reasonable and which satisfies our legal and regulatory requirements. 17. Notices 17.1 Any written notice or communication we give you under these conditions will be given either: (a) by posting or delivering it to your correspondence address; (b) by or text message; or (c) in any other way which is sent to you individually Where these conditions provide that a notice from you to us must be given in writing, the notice must be given by posting it to: C&G Savings, PO Box 1888, Andover, SP10 9BF. 18. Exclusion of liability 18.1 If we are in breach of these conditions, we will not be liable: (a) for losses or costs caused by abnormal and unforeseeable circumstances outside our reasonable control, which would have been unavoidable despite all efforts to the contrary, for example delays or failures caused by industrial action, problems with another system or network, mechanical breakdown or dataprocessing failures; or (b) as our agreement is made with you as a personal customer, for any business losses or costs you suffer (such as loss of profits or opportunities) Nothing in these conditions limits our liability for acting fraudulently or very carelessly or otherwise excludes or limits our liability to the extent we are unable to exclude or limit it by law. 19. Governing Law and Language 19.1 If you are not resident in Scotland when the conditions in this document first apply to you, English law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The courts of England and Wales will also be able to deal with any legal questions connected with this agreement If you are resident in Scotland when the conditions in this document first apply to you, Scots law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The Scottish courts will also be able to deal with any legal questions connected with this agreement The contract between you and us is in English and all future communications with you will be in English

14 Cash ISA Conditions 2012 accounts opened from 25 June Definitions and interpretation 1.1 In these conditions, the words listed below have the meanings shown beside them: account Your C&G Cash ISA (which is a cash ISA). annual cash ISA allowance 5,640 or such other sum as may be specified by legislation as the maximum amount which may be paid into a cash ISA in each tax year. annual ISA allowance 11,280 or such other sum as may be specified by legislation as the maximum amount which may be paid into a cash ISA and a stocks and shares ISA in total in each tax year. base rate The Bank of England s repo rate (commonly referred to as its base rate). branch A branch of Cheltenham & Gloucester plc, Lloyds TSB Bank plc or Lloyds TSB Scotland plc. C&G website cash ISA A designated individual savings account comprising cash deposits and/or other permitted investments. correspondence address The address you have told us we may use when sending notices to you under these conditions. cut-off times Depending upon the type of transaction you are making and the channel through which you are making it (for example, by post), there may be a cut-off time on each working day such that instructions received after that time will not be processed until the next working day. The cut-off time for all channels is usually not before 3.30pm. Please ask if you would like to know the cut-off time for a particular transaction. electronic payment A payment to or from the account made by any means other than cash or cheque, or initiated by a paper-based authorisation process. identification evidence Evidence which shows that you are who you claim to be. Lloyds Banking Group The group of companies which includes us and a number of other companies using brands including Lloyds TSB, Halifax and Bank of Scotland, and their associated companies. More information on the Lloyds Banking Group can be found at Lloyds TSB account A C&G savings account or another personal current or savings account with Lloyds TSB Bank plc, or with Lloyds TSB Scotland plc or Lloyds TSB Private Banking Limited. nominated bank account Any account with another United Kingdom bank (or building society) which you nominate as the account into which you wish your interest to be paid. personal information Information which we and other Lloyds Banking Group companies hold about you and which (either on its own or with other information we hold) enables you to be identified. security details Processes, information or security procedures we ask you to follow or use to give us instructions, for example your identification evidence. stocks and shares ISA A designated individual savings account comprising stocks and/or shares and/or certain other qualifying investments. tax year The year from 6 April to 5 April. transaction Any addition to, or withdrawal from, your account, and any other operation (apart from the crediting of interest to your account) which changes the balance on your account. uncleared funds Any part of the account balance which, under the terms set out in condition 4, is not available to withdraw. we and us Lloyds TSB Bank plc, operating through a division known as Cheltenham & Gloucester Savings, and its successors. working day Any day from Monday to Friday except bank holidays or public holidays. Although some payments can be made on a non-working day, the processing of these payments is not completed on our systems until the next working day as explained below in conditions 4 and 5. you The person named as the account-holder in the application or transfer form used to open the account, that person s successor and anyone authorised by law to operate the account. 1.2 The terms contained in these conditions are not intended to be enforceable by anyone other than you (including your successors and anyone authorised by law to operate the account) and us (including our successors). 1.3 We may delegate any of our functions or responsibilities under this agreement to a third party. If we do so, we will first satisfy ourselves that the third party is competent to carry out those functions and responsibilities. 1.4 Unless we give you specific notice to the contrary under condition 15, any general terms and conditions expressed to apply to all personal bank accounts with Lloyds TSB Bank plc will not apply to your account. 1.5 You may request a copy of these conditions and other information about your account at any time by calling the Customer Service Helpline. 2. Personal details 2.1 To help prevent fraud and money laundering, we need to be able to confirm that you are who you claim to be. We may ask you for identification evidence and a specimen signature at any time. We will refuse to carry out any transaction for you until you have complied with our request. 2.2 We are entitled to assume that we are dealing with you and that you have agreed to us acting on any instructions, without getting further confirmation from you: (a) if you ask us to carry out a transaction using your security details; and (b) otherwise, if you have signed a document containing the instructions. 2.3 You must write to us promptly (quoting the sort code and number of your account) to tell us if you change: (a) your name; (b) your permanent home or your correspondence address; (c) your nominated bank account (if any); or (d) your residence for tax purposes. We may ask you for evidence to confirm the change. 3. Opening and operating your account Introduction 3.1 In this condition 3, we deal with the opening of your account and how you can then make additions to it or withdrawals from it. We cover related points here and in other conditions, such as when we describe how long it normally takes to process payments into or out of your account (conditions 4 and 5), subject to the circumstances in which payments can be refused (condition 6), cancelled by you (condition 7) or otherwise stopped (condition 12). 3.2 To open your account: (a) You must be at least 16 years of age. (b) The money in your account must be, and must remain in, your beneficial ownership. (c) You must: (i) be resident and ordinarily resident in the United Kingdom for tax purposes; or (ii) perform duties which, by virtue of section 28 of the Income Tax (Earnings and Pensions) Act 2003 (which applies to Crown employees serving overseas), are treated as being performed in the United Kingdom; or (iii) be married to, or in a civil partnership with, a person who performs the duties mentioned in (ii), above. You must tell us if you cease to meet any of the requirements mentioned in (i) to (iii), above. (d) You must make an initial deposit of at least 1 (unless you are transferring a cash ISA to us which you currently have with Cheltenham and Gloucester or another provider). 3.3 The start date for your account is the date on which the first deposit is made. 3.4 Your account must not be used as security for a loan. 3.5 You may subscribe to a maximum of one cash ISA and one stocks and shares ISA in any tax year. 3.6 We may refuse any application to open an account. We are not obliged to give reasons for doing so. How to make additions to your account 3.7 (a) You may make the initial deposit and any subsequent additions to your account in the following ways: by cheque or in cash at any branch; by post (cheques only); by transferring money from another Cheltenham and Gloucester or Lloyds TSB account; by electronic payment from another bank; or by transferring a cash ISA which you currently have with another provider (b) Your initial deposit and any subsequent additions to your account must be in sterling. We do not accept payments in any other currency. (c) The maximum sum which may be added to your account in cash each day is 1,000. (d) The maximum number of cheques which may be sent to us by post each day is five. (e) If you hold more than one account with us, money added by cheque cannot be divided between the accounts. (f) If you wish to make your initial deposit or any subsequent additions by transferring money from another Lloyds TSB account, you should refer to the terms and conditions of the other Lloyds TSB account for an explanation of how to make the transfer and how the transfer will be carried out. 3.8 The maximum total sum which may be paid into your account in each tax year is the annual cash ISA allowance, provided that this will not cause you to exceed the annual ISA allowance (which is the maximum total sum which may be paid into your account and any stocks and shares ISA held by you in each tax year). Money which you withdraw in any tax year must be ignored when counting the amount you can add to the account during the same tax year. 3.9 If you do not make any additions to your account during a tax year, you will need to complete a new application form if you then wish to make further subscriptions in future tax years If and for so long as you cease to meet any of the requirements mentioned in condition 3.2(c)(i) to (iii), you will not be able to make any further subscriptions to your account. How to withdraw money from your account 3.11 (a) You may withdraw money from your account: by cheque or cash at any branch; or by cheque (which we will send to your correspondence address by post), by writing to us; or to another Cheltenham & Gloucester or Lloyds TSB account in your name by requesting a transfer in branch or by writing to us. (b) The maximum sum which may be withdrawn from your account in cash each day is 1,000. (c) Except where paragraph (d) below applies, we will give immediate effect to any instructions to withdraw money from your account. (d) If you instruct us to make a withdrawal against an uncleared cheque: (i) We will not allow you to make the withdrawal immediately. (ii) We will refuse your instructions if, within such period (not exceeding 30 days) as it is reasonable for us to allow for receipt of a notice that the uncleared cheque is not going to be paid, we receive notice from the bank on which the uncleared cheque has been drawn that it will not be paid. (iii) If we do not receive such notice within the period mentioned in (ii) above, we will implement your instructions as soon as that period comes to an end. (e) If a cheque which has been credited to your account is later returned unpaid, we will deduct the amount of the cheque from your account balance. If as a result your account becomes overdrawn or the money in the account falls below 1, you must immediately pay us the amount required to ensure that the account balance is restored to at least 1. (f) We will aim to process a written request for a withdrawal by cheque within 24 hours of receiving the request. We will always process the request within seven days

15 3.12 You can ask to transfer the whole of your account during a tax year in which you make payments into it, or the whole or part of your account deposits (and interest) from a previous tax year or years, to a cash ISA or a stocks and shares ISA with another ISA provider. You must complete a transfer application with your new provider who will send the transfer application to us. Within 5 working days of receiving the transfer application from your new provider, we will send your money and information to your new provider You may not transfer your account to another investor. Making withdrawals by electronic payment 3.14 When you request an electronic payment to another account, you must give us the account name, the sort code, the account number and any other details we ask you for such as the name of the person you are sending the payment to, so we can make the electronic payment. You are responsible for checking that the details are correct. We will not be liable if the electronic payment goes to the wrong person because you gave us the wrong details. If it does go to the wrong person because you gave us the wrong details, we will use reasonable efforts to recover the money and, if we manage to do so, we may charge you our reasonable costs Any request to transfer money to another Lloyds TSB account will be processed: (a) straightaway if made in branch; or (b) within 24 hours of receiving your written instructions if made by post. 4. Timing of payments into your account Cash 4.1 Cash paid into your account will be available for you to withdraw as soon as we receive it. 4.2 We receive cash paid in at a branch straightaway, even if it is paid in on a non-working day (for example, a Saturday). 4.3 Cash paid into your account starts to earn interest on the day we receive the cash or (if that day is not a working day) on the first working day after we receive the cash. Cheques 4.4 Money paid into your account by cheque starts to earn interest on the day we receive the cheque or (if that day is not a working day) on the first working day after we receive the cheque. 4.5 Money paid into your account by cheque that is not from a Lloyds TSB account will usually be available for you to withdraw on the fourth working day after we receive it. (For example, if we receive a cheque on Monday, the money will usually be available for you to withdraw on Friday.) 4.6 Money paid into your account by cheque from another Lloyds TSB account will usually be available for you to withdraw on the same day that we receive the cheque. 4.7 Cheques from a bank outside the United Kingdom may take longer to clear. 4.8 Subject to condition 4.9, below, if a cheque which has been credited to your account is later returned unpaid: (a) we will deduct the amount of the cheque from your account balance. (If as a result your account becomes overdrawn or the money in the account falls below 1, you must immediately pay us the amount required to ensure that the account balance is restored to at least 1.); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 4.9 If a cheque which has been credited to your account is returned unpaid more than six working days after the date on which we received it, we will not be able to deduct the amount of the cheque from your account balance without your consent unless you have acted fraudulently. (For example, if we receive a cheque on Monday, you can be certain that the money is yours by the end of the day on Tuesday in the following week.) Electronic payment 4.10 Subject to condition 4.12, an electronic payment into your account will start to earn interest and will be available for you to withdraw on the day we receive it If the payment to your account is by transfer from another Lloyds TSB account, the terms and conditions of the other Lloyds TSB account will tell you how long the payment will take to reach your account In some cases, a transfer of money under condition 4.11 can be processed on a day which is not a working days and may leave the other Lloyds TSB account and be available for you to withdraw from your account on the same day. Where this happens, the money will not be shown as having been received into your account until the next working days. Interest will continue to be paid on the money as if it remained in the other Lloyds TSB account until it is shown as having been received into your account Electronic payments into your account will normally be received on the same working days, but in any event no later than the next working days after the money is sent to us Where we are dependant on another bank sending us the electronic payment, we cannot guarantee when it will be received If an electronic payment which has been credited to your account is later reclaimed by the paying bank: (a) we will deduct the amount of the electronic payment from your account balance. (If as a result your account becomes overdrawn or the money in the account falls below 1, you must immediately pay us the amount required to ensure that the account balance is restored to at least 1); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 5. Timing of payments from your account Cheques 5.1 Money in your account will earn interest up to, but not including, the day it is withdrawn by cheque. Electronic payments 5.2 If you ask us to make an electronic payment to a bank account which is not a Lloyds TSB account, we will use the Faster Payments Scheme if it is available and the organisation you are sending the payment of is a member of the scheme. We will take the money from your account on the same working day that we process your request, and it will normally reach the other bank within two hours but in any event no later than the end of the next working day after the processing. You will continue to earn interest on the money being transferred for up to one working day from it leaving your account, to allow for the time it takes to reach the other bank. The other bank is required by law to pay the money into the account held with them when it receives it from us. 5.3 Subject to condition 5.4 below, if you ask: (a) to transfer money to another Lloyds TSB account in branch or by writing to us; or (b) to transfer interest to a nominated bank account which is a Lloyds TSB account, or to another C&G savings account under condition 11.8, the payment will be available for withdrawal and start to earn interest in the other account as soon as we process your request. 5.4 If the transfer of money under condition 5.3 is processed on a day which is not a working day it will leave your account and be available for you to withdraw from the other Lloyds TSB account on the same day. Where this happens, the money will not be shown as having been received into the other Lloyds TSB account until the next working day. Interest will continue to be paid on the money as if it remained in your account until it is shown as having been received into the other Lloyds TSB account. 5.5 If we cannot make the payment using the Faster Payments Scheme you can contact us to ask if there is any other method available to make payment. We are not liable for failing to make a payment if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 6. When we may refuse to carry out a transaction 6.1 We may refuse to carry out a transaction on your account for one or more of the following reasons: (a) the balance in your account (ignoring any uncleared funds) is insufficient to meet the transaction; (b) you fail to follow or use your security details as appropriate; (c) you fail to produce identification evidence when asked; (d) your instructions are not clear or you have not provided us with the correct details in the instructions; (e) we are served with a court order which prevents us carrying out the transaction; (f) we reasonably believe that someone else may have rights over the money in your account (in this case we can also ask (or require you to ask) a court what to do, or do anything else we reasonably need to do to protect ourselves); (g) our regulator, or a body acting under statutory authority, has requested us to stop transactions of the relevant kind being carried out on your account and we reasonably believe that the request is valid; (h) the transaction would prejudice any rights that have arisen under condition 10; (i) we reasonably believe that you are acting under coercion, or have not given your free and informed consent to the transaction; (j) we receive instructions to carry out the transaction at a time when you are under the age of 18 and we reasonably believe that the transaction would be imprudent or improper; (k) we reasonably believe that the transaction would result in you exceeding your annual cash ISA subscription limit or annual ISA subscription limit for that tax year; (l) any other reason set out separately in these conditions applies; or (m) if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 6.2 We may also refuse a transaction if we reasonably believe that it might cause us (or another company in the Lloyds Banking Group) to breach a legal requirement or might expose us (or another company in the Lloyds Banking Group) to action from any government or regulator. 6.3 We will try to contact you by telephone or in writing to tell you that we are refusing a transaction. We will do this at the earliest opportunity. 6.4 We may decline to give our reasons for refusing to carry out a transaction if we reasonably believe that to do so would be in breach of the law, for example if it would involve the unauthorised disclosure of information which we hold about another person (being information which would enable that person to be identified). 7. Cancelling electronic payments 7.1 If you ask us to make an electronic payment from your account, we will normally be unable to change or cancel your request, unless you have asked for interest to be paid to another account under condition 11.8, in which case we can cancel the payment if you tell us by writing to us by the end of the last working day before it is due to be made. 8. Refunds for electronic payments from your account 8.1 Except in the circumstances set out in condition 8.2, below, if you ask to make a withdrawal from your account by electronic payment and it was not made correctly or never arrived, we will: (a) refund the amount withdrawn, together with any charges you paid as a result; (b) pay you any interest you would have earned on that amount had it remained in your account; and (c) if you ask us to, make immediate efforts to trace the payment and notify you in writing or by telephone of the outcome. 8.2 The circumstances in which we will not refund you under condition 8.1 are where: (a) you gave us the wrong payment details (see condition 3.14); (b) we can show that the electronic payment was received by the other bank (in this case, the other bank must immediately put the money into the account to which you asked the payment to be made and refund any charges paid as a result of the payment not being made correctly); or (c) you tell us about the problem more than 13 months after the payment was taken from your account. 9. Statements 9.1 You may request a written statement at any time by calling the Customer Service Helpline or by writing to us. The statement will show details of all transactions on your account, together with any interest paid, during the period covered by the statement. The product name that will appear on your statement will be Cash ISA (Postal). 9.2 Except where condition 9.3 applies, we will automatically send you a statement if our records show that you have not received one during the preceding three months. 9.3 If there have been no transactions on your account during the period that would be covered by a statement sent under condition 9.2, we will not send you a statement under that condition but will instead send you one three months after the next transactions on your account. 9.4 You can ask us to provide you with a copy of a statement we have already provided but we may make a reasonable charge for this. 9.5 You are responsible for checking your statements. You must tell us as soon as you can by calling the Customer Service Helpline if you notice any errors on your account. If we notice any errors, we will correct them as soon as reasonably possible. 10. Set-off 10.1 If you have failed to pay a debt which you are liable to pay us, we may retain some or all of the balance in your 26 27

16 account and use it to reduce or pay off the debt which you have failed to pay. We will give you at least seven days notice before exercising our rights under this condition. 11. Interest and charges The interest rates we pay 11.1 We pay interest on balances of 1 or more at the C&G Cash ISA rates. You can find out details of the current C&G Cash ISA rates by calling our Customer Service Helpline or by visiting the C&G website We do not pay interest on balances of less than 1. Changing our interest rates 11.3 We may change either the annual or monthly interest rate applicable to your account without advance notice, if the change is: (a) to your advantage; and (b) to respond proportionately to actual or reasonably expected changes in regulatory requirements affecting us or the costs of running our accounts, including changes in our funding costs (for example, changes to the base rate) or for another valid reason not stated in this condition. We will notify you of the change by publishing details of the change as soon as reasonably possible or by writing to you. (A regulatory requirement is any law, regulation, code or industry guidance that applies to us.) 11.4 We can make other changes to the annual or monthly interest rate applicable to your account: (a) if the change is not material we will publish details of the change as soon as possible. We will only make changes without advance notice to respond proportionately to actual or reasonably expected changes in regulatory requirements affecting us or the costs of running our accounts, including changes in our funding costs (for example, changes to the bank of England base rate) or for a valid reason not stated in this condition; (b) where the change is material we will give you advance personal notice of at least 14 days before making the change and you can close your account or give us instructions to transfer the account to a cash ISA or a stocks and shares ISA with another institution or to another Lloyds TSB account which is a cash ISA without charge within 30 days of us telling you about the change Alternatively, we can change the interest rates by giving you advance notice under condition 15. Calculating and paying you interest 11.6 We calculate interest on the balance in your account on a daily basis. This means that, where you choose to have your interest paid monthly under condition 11.7, the interest we pay each month will vary according to the number of days in the month (a) You may choose to have interest paid either monthly or annually. (b) If interest is payable monthly, then we will pay the interest by crediting it to your account at the end of the first day of each month or (if that is not a working day) at the end of the preceding working day. (c) If interest is payable annually, then (unless paragraph (d), below, applies), we will pay the interest by crediting it to your account at the end of the day on the anniversary of the day on which your account was opened or (if that day is not a working day) at the end of the preceding working day. (d) If you have chosen to have interest paid monthly and you notify us that you wish to have it paid annually instead, we will pay the interest by crediting it to your account on the anniversary of the day of the account being changed to annual interest or (if that day is not a working day) at the end of the last working day before that date. (e) If you have chosen to have interest paid annually and you notify us that you wish to have it paid monthly instead, we will pay the interest as stated in paragraph (b), above. The first payment of monthly interest will include all the interest which has been earned on your account since the end of the period covered by the last interest payment we made You may choose to leave the interest paid under condition 11.7, above, credited to your account or you may choose to have it transferred to another C&G savings account (not being a cash ISA) or to your nominated bank account by electronic payment. If you choose to have the interest transferred, we will process the transfer the working day after we credit the interest to your account under condition 11.7(b), (c), (d) or (e), and the interest will normally reach the other bank account within two hours of the processing but in any event no later than the end of the next working day after the processing You will not have to pay income tax on the interest paid provided that you have complied with the relevant legislation If, by mistake, we pay you more interest than you are entitled to you must repay us the amount we have overpaid. This does not affect any right you have to pursue any claim you have against us if you suffer loss as a result of our mistake. Charges Charges for providing standard services in connection with your account are set out in our tariff. You will have received a copy of the tariff before you opened your account. Our power under condition 15 to vary these conditions includes power to vary the charges in our tariff and to introduce new charges for standard services. We can make any change to our charges but we will give you at least 30 days personal notice before the change happens, unless it is to your advantage, in which case we can make the change immediately and tell you about the change within 30 days We may make a reasonable charge for providing you with any non-standard service which you request in connection with your account. We will inform you of the charge before we provide the service You may have to pay other taxes or costs, which are not paid through us or imposed by us. 12. Safeguarding your security details 12.1 You must only use or follow your security details for the purposes set out in these conditions and do all you reasonably can to make sure that no-one finds out your security details. For example, you should: (a) follow instructions we give you, which we reasonably consider are needed to protect you and us from unauthorised access to your account; (b) not allow anyone else to use your security details; (c) not keep your security details with your account documentation; and (d) not allow anyone to listen in to your conversations with us or watch you entering or making use of your security details You must telephone the Customer Service Helpline as soon as possible if you discover or suspect that: (a) someone else knows your security details; or (b) someone may be accessing your account without your authority. We will keep a record of your notification and may monitor or record calls to the Customer Service Helpline. In any case where you suspect that a theft or fraud has been, or may be, committed, we may ask you to report your suspicions to the police and to provide us with any crime reference number which the police give you If you give us notice under condition 12.2, we will freeze your account. On receipt of written instructions signed by you, we may close your account and transfer the balance to a new account You will not be able to give a payment instruction using your security details if we have stopped, or suspended, your ability to use them. If we haven t done so already under condition 12.3, we can do this if we reasonably consider it necessary for reasons relating to: (a) their security; or (b) their suspected unauthorised or fraudulent use. Unless the law prevents us from doing so or we believe it would undermine our security measures, we will try to contact you, by telephone or in writing, in advance to tell you that we will stop or suspend the use of your security details and our reason for doing so. If we are unable to tell you in advance we will tell you as soon as possible afterwards. You can ask us by calling the Customer Service Helpline to lift the freeze on your security details or to replace them as soon as the reason for the freeze has ended You will not be liable for any transactions you did not authorise yourself, even if they were made using your security details, unless we can prove either: (a) that you have acted fraudulently, in which case you will be liable for all payments from the account that we have been unable to stop; or (b) that you have been very careless with your security details (for example, if you do not tell us as soon as you think someone has discovered your security details or is accessing your account without your authority or you break your obligations in condition 12.1), in which case (depending on the facts of the case and any legal requirements that apply) you may be liable for payments from your account but only until you have told us that your security details have been liable to misuse If you tell us that a withdrawal from your account was unauthorised, we will investigate. Once we are reasonably satisfied that the withdrawal was not authorised and that you are not liable, we will refund the amount withdrawn, together with any charges you paid as a result of the withdrawal and will pay you any interest you would have earned on that amount (we will have no further liability to you). However, we will not do this if you tell us that the payment was unauthorised more than 13 months after it was taken from your account. 13. Closure and ineligibility for tax relief 13.1 We will write to tell you if, by reason of any failure to satisfy the requirements of the relevant tax legislation, your account is or will become no longer eligible for tax relief as a cash ISA Condition 13.3 applies if we are notified by HM Revenue & Customs, or we otherwise establish, that: (a) your account does not qualify for tax relief as a cash ISA; or (b) you are not entitled to tax relief on some or all of the money which you pay into your account during any tax year (a) You agree that, if we have to make a payment to HM Revenue & Customs because your account, or any of the money in it, does not qualify for tax relief, then: (i) we may deduct the amount we have to pay to HM Revenue & Customs from the balance in your account; (ii) if the balance in the account is less than the amount we have to pay, we may recover the shortfall from you. (b) If we receive a notice ( a repair notice ) from HM Revenue & Customs telling us that we may repair the account to make it eligible for tax relief, we will take the steps specified in the notice. (c) If we do not receive a repair notice from HM Revenue & Customs, but there are other steps ( remedial steps ) which we can take to enable the account, or any of the money in it, to qualify for tax relief, we may take those steps if we choose to do so, but we will not be obliged to take them. (d) This paragraph applies if: there is a balance remaining in your account after we have deducted any amount from it under paragraph (a)(i), above; we do not receive a repair notice from HM Revenue & Customs; and there are no remedial steps which we are able and willing to take. If this paragraph applies: (i) we will write to you, giving you a period of 14 days in which to instruct us what to do with the balance in the account; (ii) if you do not give us any instructions within the 14 day period, or you give us instructions which we cannot reasonably comply with, we will close your account and transfer the balance to a new C&G London Account in your name; (iii) the C&G London Account conditions in force at the date of the transfer will then apply If you die, your account will cease to benefit from favourable tax treatment as a cash ISA from the date of death We may close your account at any time. We will give you not less than two months written notice of our intention to close your account unless: (a) we are transferring the balance to a new account under condition 12.3 or 13.3(d)(ii); (b) you are, or we reasonably consider you may be: using or obtaining, or allowing someone else to use or obtain, a service or money illegally; acting fraudulently; or (c) we reasonably consider that by continuing to allow you to run your account: we may break a legal requirement or a court order or other authority; we (or another company in the Lloyds Banking Group) may be exposed to action from any government or regulator. At any time within two months after we have given you notice of our intention to close your account, you may give us instructions to transfer your account to another financial institution which provides cash ISAs or stocks and 28 29

17 shares ISAs. If you give us such instructions then (unless we cannot reasonably comply with them) we will transfer your account to the institution you have specified. If we close your account without giving you the notice beforehand, we will do so as soon as possible afterwards Unless we are transferring the balance to a new account under condition 12.3 or 13.3(d)(ii), or transferring your account to an institution you have specified in instructions given to us under condition 13.5, we will repay the balance in your account to you with interest until the date of closure You may close your account at any time without prior notice by writing to us. The balance in the account must be withdrawn in one of the ways specified in condition 3.11(a) Within a period of 14 days after we receive your initial deposit or (if later) after you have received notice of your right to cancel, you can choose to cancel this agreement. The right to cancel the agreement can be exercised by posting a notice to us in accordance with condition If you choose to exercise your right to cancel this agreement under condition 13.8, you will be treated as though you have not subscribed to a cash ISA (except to the extent that the money in your account represents subscriptions transferred from another cash ISA). 14. Dormancy 14.1 We may treat your account as dormant if: (a) you have not asked us to carry out any transactions on the account or any other account with us for a continuous period of three years; and (b) you do not respond to a notice or communication asking if you wish your account to remain active For so long as we treat your account as dormant under condition 14.1, then: (a) we will refuse to carry out any transactions on the account; and (b) we will no longer send you any notices or communications in connection with the account If you later come forward to claim the account and produce any identification evidence which we reasonably request, then we will reactivate the account We participate in the Unclaimed Asset Scheme under the Dormant Bank and Building Society Accounts Act Under the Scheme, if you have not asked us to carry out any transactions on the account for a continuous period of 15 years (or other period specified by law) and we have lost touch with you, we may transfer any money in the account to the reclaim fund (which is a body set up to deal with unclaimed assets in dormant accounts). You will be entitled to reclaim any money transferred and any interest payable from the reclaim fund and if you ask us we can help you do this We are committed to reuniting customers with their money and we will try to contact you if we think your account is becoming dormant. If you think you have money in our accounts which you have forgotten about, you can also contact us and we will do our best to try to find it for you. For more information, please ask in branch or call the Customer Service Helpline. If you think you have dormant accounts with other banks you can visit Changes to these conditions 15.1 We may vary these conditions at any time We will give you at least than 30 days personal notice before the variation happens, unless it is to your advantage, in which case we can make the change immediately and will tell you about the change within 30 days If we make a disadvantageous change to the terms and conditions of your account (other than the interest rate or our charges) you can close your account or give us instructions to transfer the account to a cash ISA or a stocks and shares ISA with another institution or to another Lloyds TSB account which is a cash ISA without charge within 60 days of us telling you about the change When we say we will publish a change, we will put notices in at least three national newspapers and make the change available in our branches, on our website and through the appropriate telephone C&G Savings Rateline by the time of making the change or within three days after it If we can notify you about a change in a different way, we will do so in a way we think is reasonable and which satisfies our legal and regulatory requirements. 16. Notices 16.1 Any written notice or communication we give you under these conditions will be given either: (a) by posting or delivering it to your correspondence address; (b) by or text message; or (c) in any other way which is sent to you individually Where these conditions provide that a notice from you to us must be given in writing, the notice must be given by posting it to: C&G Savings, PO Box 1888, Andover, SP10 9BF. 17. Exclusion of liability 17.1 If we are in breach of these conditions, we will not be liable: (a) for losses or costs caused by abnormal and unforeseeable circumstances outside our reasonable control, which would have been unavoidable despite all efforts to the contrary, for example delays or failures caused by industrial action, problems with another system or network, mechanical breakdown or dataprocessing failures; or (b) as our agreement is made with you as a personal customer, for any business losses or costs you suffer (such as loss of profits or opportunities) Nothing in these conditions limits our liability for acting fraudulently or very carelessly or otherwise excludes or limits our liability to the extent we are unable to exclude or limit it by law. 18. Governing Law and Language 18.1 If you are not resident in Scotland when the conditions in this document first apply to you, English law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The courts of England and Wales will also be able to deal with any legal questions connected with this agreement If you are resident in Scotland when the conditions in this document first apply to you, Scots law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The Scottish courts will also be able to deal with any legal questions connected with this agreement The contract between you and us is in English and all future communications with you will be in English. Fixed Rate Cash ISA Conditions 2012 accounts opened from 21 May Definitions and interpretation 1.1 In these conditions, the words listed below have the meanings shown beside them: account Your C&G Fixed Rate Cash ISA (which is a cash ISA). annual cash ISA allowance The maximum amount which may be paid into a cash ISA in each tax year as set by the Government. annual ISA allowance The maximum amount which may be paid into a cash ISA and a stocks and shares ISA in total in each tax year as set by the Government. branch A branch of Cheltenham & Gloucester plc, Lloyds TSB Bank plc or Lloyds TSB Scotland plc. cash ISA A designated individual savings account comprising cash deposits and/or other permitted investments. correspondence address The address you have told us we may use when sending notices to you under these conditions. cut-off times Depending upon the type of transaction you are making and the channel through which you are making it (for example, by post), there may be a cut-off time on each working day such that instructions received after that time will not be processed until the next working day. The cut-off time for all channels is usually not before 3.30pm. Please ask if you would like to know the cut-off time for a particular transaction. electronic payment A payment to or from the account made by any means other than cash or cheque, or initiated by a paper-based authorisation process. identification evidence Evidence which shows that you are who you claim to be. Lloyds Banking Group The group of companies which includes us and a number of other companies using brands including Lloyds TSB, Halifax and Bank of Scotland, and their associated companies. More information on the Lloyds Banking Group can be found at Lloyds TSB account A C&G savings account or another personal current or savings account with Lloyds TSB Bank plc, or with Lloyds TSB Scotland plc or Lloyds TSB Private Banking Limited. nominated bank account Any account with another United Kingdom bank (or building society) which you nominate as the account into which you wish your interest to be paid. offer The leaflet which sets out the terms on which your account is issued. personal information Information which we and other Lloyds Banking Group companies hold about you and which (either on its own or with other information we hold) enables you to be identified. security details Processes, information or security procedures we ask you to follow or use to give us instructions, for example your identification evidence. stocks and shares ISA A designated individual savings account comprising stocks and/or shares and/or certain other qualifying investments. tax year The year from 6 April to 5 April. term The period of time for which the interest rates are fixed, as specified in the offer. transaction Any addition to, or withdrawal from, your account, and any other operation (apart from the crediting of interest to your account) which changes the balance on your account. uncleared funds Any part of the account balance which, under the terms set out in condition 4, is not available to withdraw. we and us Lloyds TSB Bank plc, operating through a division known as Cheltenham & Gloucester Savings, and its successors. working day Any day from Monday to Friday except bank holidays or public holidays. Although some payments can be made on a non-working day, the processing of these payments is not completed on our systems until the next working day as explained below in conditions 4 and 5. you The person named as the account-holder in the application or transfer form used to open the account, that person s successor and anyone authorised by law to operate the account. 1.2 The terms contained in these conditions are not intended to be enforceable by anyone other than you (including your successors and anyone authorised by law to operate the account) and us (including our successors). 1.3 We may delegate any of our functions or responsibilities under this agreement to a third party. If we do so, we will first satisfy ourselves that the third party is competent to carry out those functions and responsibilities. 1.4 Unless we give you specific notice to the contrary under condition 15, any general terms and conditions expressed to apply to all personal bank accounts with Lloyds TSB Bank plc will not apply to your account. 1.5 You may request a copy of these conditions and other information about your account at any time by calling the Customer Service Helpline. 2. Personal details 2.1 To help prevent fraud and money laundering, we need to be able to confirm that you are who you claim to be. We may ask you for identification evidence and a specimen signature at any time. We will refuse to carry out any transaction for you until you have complied with our request. 2.2 We are entitled to assume that we are dealing with you and that you have agreed to us acting on any instructions, without getting further confirmation from you: (a) if you ask us to carry out a transaction using your security details; and (b) otherwise, if you have signed a document containing the instructions

18 2.3 You must write to us promptly (quoting the sort code and number of your account) to tell us if you change: (a) your name; (b) your permanent home or your correspondence address; (c) your nominated bank account (if any); or (d) your residence for tax purposes. We may ask you for evidence to confirm the change. 3. Opening and operating your account Introduction 3.1 In this condition 3, we deal with the opening of your account and how you can then make additions to it or withdrawals from it. We cover related points here and in other conditions, such as when we describe how long it normally takes to process payments into or out of your account (conditions 4 and 5), subject to the circumstances in which payments can be refused (condition 6), cancelled by you (condition 7) or otherwise stopped (condition 12). 3.2 To open your account: (a) You must be at least 16 years of age. (b) The money in your account must be, and must remain in, your beneficial ownership. (c) You must: (i) be resident and ordinarily resident in the United Kingdom for tax purposes; or (ii) perform duties which, by virtue of section 28 of the Income Tax (Earnings and Pensions) Act 2003 (which applies to Crown employees serving overseas), are treated as being performed in the United Kingdom; or (iii) be married to, or in a civil partnership with, a person who performs the duties mentioned in (ii), above. You must tell us if you cease to meet any of the requirements mentioned in (i) to (iii), above. (d) You must make an initial deposit of at least a 1 or complete an ISA transfer authority form. 3.3 The start date for your account is the date we open it and applications cannot be backdated. 3.4 Your account must not be used as security for a loan. 3.5 You may subscribe to a maximum of one cash ISA and one stocks and shares ISA in any tax year. 3.6 We may refuse any application to open an account. We are not obliged to give reasons for doing so. How to make additions to your account 3.7 (a) Subject to conditions 3.8 to 3.11, below, you may make the initial deposit and any subsequent additions to your account in the following ways: by cheque or in cash at any branch; by post (cheques only); by transferring money from another Lloyds TSB account (not being a cash ISA); or by electronic payment from another bank; by transfer from a cash ISA account with us or another ISA manager which you have subscribed to in the same tax year or in previous years (in which case you must complete a cash ISA transfer form as part of the application). (b) Your initial deposit and any subsequent additions to your account must be in sterling. We do not accept payments in any other currency. (c) The maximum sum which may be added to your account in cash each day is 1,000. (d) The maximum number of cheques which may be sent to us by post each day is five. (e) If you hold more than one account with us, money added by cheque cannot be divided between the accounts. (f) If you wish to make your initial deposit or any subsequent additions by transferring money from another Lloyds TSB account, you should refer to the terms and conditions of the other Lloyds TSB account for an explanation of how to make the transfer and how the transfer will be carried out. 3.8 You may only continue to make additions to your account for the period up to 60 days from the date we open the account. 3.9 The maximum which may be paid into your account in each tax year is the annual cash ISA allowance, provided that this will not cause you to exceed the annual ISA allowance. After making a withdrawal you will not be able to pay more money into your account, if you have already used your annual cash ISA allowance If you do not make any additions to your account during a tax year, you will need to complete a new application form if you then wish to make further subscriptions in future tax years If and for so long as you cease to meet any of the requirements mentioned in condition 3.2(c)(i) to (iii), you will not be able to make any further subscriptions to your account. How to make emergency withdrawals from your account 3.12 (a) In an emergency and subject to condition 3.15, below, you may withdraw money from your account: by cheque (which we will send to your correspondence address by post), by writing to us; to another Lloyds TSB account (not being a cash ISA) in your name by requesting a transfer in branch or by writing to us. (b) We will aim to process a written request for a withdrawal by cheque within 24 hours of receiving the request. We will always process the request within seven days Subject to condition 3.15 you can ask to transfer the whole of your account during a tax year in which you make payments into it, or the whole or part of your account deposits (and interest) from a previous tax year or years, to a cash ISA or a stocks and shares ISA with another ISA provider. You must complete a transfer application with your new provider who will send the transfer application to us. Within 5 working days of receiving the transfer application from your new provider, we will send your money and information to your new provider You may not transfer your account to another saver Except where condition 14.9 or 15.3 provides otherwise, if you request the withdrawal of money from your account under condition 3.12(a), or the transfer of your account to another cash ISA or to a stocks and shares ISA under condition 3.13, we will make a charge as shown in the table below on the amount withdrawn or transferred. The charge will be calculated using the appropriate interest rate stated in the offer and we will deduct the charge from the balance in your account before the withdrawal is made. This means that you may get back less than you deposited Term Withdrawal charge equivalent to; 1 year 90 days interest earned on amount withdrawn/transferred 2 year 180 days interest earned on amount withdrawn/transferred 3 year 270 days interest earned on amount withdrawn/transferred 4 year 320 days interest earned on amount withdrawn/transferred 5 year 365 days interest earned on amount withdrawn/transferred Making emergency withdrawals by electronic payment 3.16 When you request an electronic payment to another account, you must give us the account name, the sort code, the account number and any other details we ask you for such as the name of the person you are sending the payment to, so we can make the electronic payment. You are responsible for checking that the details are correct. We will not be liable if the electronic payment goes to the wrong person because you gave us the wrong details. If it does go to the wrong person because you gave us the wrong details, we will use reasonable efforts to recover the money and, if we manage to do so, we may charge you our reasonable costs Any request to transfer money to another Lloyds TSB account will be processed: (a) straightaway if made in branch; or (b) within 24 hours of receiving your written instructions if made by post. 4. Timing of payments into your account Cash 4.1 Cash paid into your account will be available for you to withdraw as soon as we receive it. 4.2 We receive cash paid in at a branch straightaway, even if it is paid in on a non-working day (for example, a Saturday). 4.3 Cash paid into your account starts to earn interest on the day we receive the cash or (if that day is not a working day) on the first working day after we receive the cash. Cheques 4.4 Money paid into your account by cheque starts to earn interest on the day we receive the cheque or (if that day is not a working day) on the first working day after we receive the cheque. 4.5 Money paid into your account by cheque that is not from a Lloyds TSB account will usually be available for you to withdraw on the fourth working day after we receive it. (For example, if we receive a cheque on Monday, the money will usually be available for you to withdraw on Friday.) 4.6 Money paid into your account by cheque from another Lloyds TSB account will usually be available for you to withdraw on the same day that we receive the cheque. 4.7 Cheques from a bank outside the United Kingdom may take longer to clear. 4.8 Subject to condition 4.9, below, if a cheque which has been credited to your account is later returned unpaid: (a) we will deduct the amount of the cheque from your account balance. (If as a result your account becomes overdrawn you must immediately pay us the amount you are overdrawn.); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 4.9 If a cheque which has been credited to your account is returned unpaid more than six working days after the date on which we received it, we will not be able to deduct the amount of the cheque from your account balance without your consent unless you have acted fraudulently. (For example, if we receive a cheque on Monday, you can be certain that the money is yours by the end of the day on Tuesday in the following week.) Electronic payments 4.10 Subject to condition 4.12, an electronic payment into your account will start to earn interest and will be available for you to withdraw on the day we receive it If the payment to your account is by transfer from another Lloyds TSB account, the terms and conditions of the other Lloyds TSB account will tell you how long the payment will take to reach your account In some cases, a transfer of money under condition 4.11 can be processed on a day which is not a working days and may leave the other Lloyds TSB account and be available for you to withdraw from your account on the same day. Where this happens, the money will not be shown as having been received into your account until the next working days. Interest will continue to be paid on the money as if it remained in the other Lloyds TSB account until it is shown as having been received into your account Electronic payment into your account will normally be received on the same working days, but in any event no later than the next working days after the money is sent to us Where we are dependant on another bank sending us the electronic payment, we cannot guarantee when it will be received If an electronic payment which has been credited to your account is later reclaimed by the paying bank: (a) we will deduct the amount of the electronic payment from your account balance. (If as a result your account becomes overdrawn, you must immediately pay us the amount you are overdrawn); and (b) we will treat the money as never having been paid into your account and will cancel any interest earned on the money while it was credited to your account. 5. Timing of payments from your account Cheques 5.1 Money in your account will earn interest up to, but not including, the day it is withdrawn by cheque. Electronic payments 5.2 If you ask us to make an electronic payment to a bank account which is not a Lloyds TSB account, we will use the Faster Payments Scheme if it is available and the organisation you are sending the payment to is a member of the scheme. We will take the money from your account on the same working day that we process your request, and it will normally reach the other bank within two hours but in any event no later than the end of the next working day after the processing. You will continue to earn interest on the money being transferred for up to one working day from it leaving your account, to allow for the time it takes to reach the other bank. The other bank is required by law to pay the money into the account held with them when it receives it from us. 5.3 Subject to condition 5.4 below, if you ask: (a) to transfer money to another Lloyds TSB account in branch or by writing to us; or

19 (b) to transfer interest to a nominated bank account which is a Lloyds TSB account, or to another C&G savings account under condition 11.6, the payment will be available for withdrawal and start to earn interest in the other account as soon as we process your request. 5.4 If the transfer of money under condition 5.3 is processed on a day which is not a working day it will leave your account and be available for you to withdraw from the other Lloyds TSB account on the same day. Where this happens, the money will not be shown as having been received into the other Lloyds TSB account until the next working day. Interest will continue to be paid on the money as if it remained in your account until it is shown as having been received into the other Lloyds TSB account. 5.5 If we cannot make the payment using the Faster Payments Scheme you can contact us to ask if there is any other method available to make payment. We are not liable for failing to make a payment if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 6. When we may refuse to carry out a transaction 6.1 We may refuse to carry out a transaction on your account for one or more of the following reasons: (a) the balance in your account (ignoring any uncleared funds) is insufficient to meet the transaction; (b) you fail to follow or use your security details as appropriate; (c) you fail to produce identification evidence when asked; (d) your instructions are not clear or you have not provided us with the correct details in the instructions; (e) we are served with a court order which prevents us carrying out the transaction; (f) we reasonably believe that someone else may have rights over the money in your account (in this case we can also ask (or require you to ask) a court what to do, or do anything else we reasonably need to do to protect ourselves); (g) our regulator, or a body acting under statutory authority, has requested us to stop transactions of the relevant kind being carried out on your account and we reasonably believe that the request is valid; (h) the transaction would prejudice any rights that have arisen under condition 10; (i) we reasonably believe that you are acting under coercion, or have not given your free and informed consent to the transaction; (j) we receive instructions to carry out the transaction at a time when you are under the age of 18 and we reasonably believe that the transaction would be imprudent or improper; (k) we reasonably believe that the transaction would result in you exceeding your annual cash ISA subscription limit or annual ISA subscription limit for that tax year; (l) any other reason set out separately in these conditions applies; or (m) if the organisation you are sending the payment to is not a member of the Faster Payments Scheme. 6.2 We may also refuse a transaction if we reasonably believe that it might cause us (or another company in the Lloyds Banking Group) to breach a legal requirement or might expose us (or another company in the Lloyds Banking Group) to action from any government or regulator. 6.3 We will try to contact you by telephone or in writing to tell you that we are refusing a transaction. We will do this at the earliest opportunity. 6.4 We may decline to give our reasons for refusing to carry out a transaction if we reasonably believe that to do so would be in breach of the law, for example if it would involve the unauthorised disclosure of information which we hold about another person (being information which would enable that person to be identified). 7. Cancelling electronic payments 7.1 If you ask us to make an electronic payment from your account, we will normally be unable to change or cancel your request, unless you have asked for interest to be paid to another account under condition 11.6, in which case we can cancel the payment if you tell us by writing to us by the end of the last working day before it is due to be made. 8. Refunds for electronic payments from your account 8.1 Except in the circumstances set out in condition 8.2, below, if you ask to make a withdrawal from your account by electronic payment and it was not made correctly or never arrived, we will: (a) refund the amount withdrawn, together with any charges you paid as a result; (b) pay you any interest you would have earned on that amount had it remained in your account; and (c) if you ask us to, make immediate efforts to trace the payment and notify you in writing or by telephone of the outcome. 8.2 The circumstances in which we will not refund you under condition 8.1 are where: (a) you gave us the wrong payment details (see condition 3.16); (b) we can show that the electronic payment was received by the other bank (in this case, the other bank must immediately put the money into the account to which you asked the payment to be made and refund any charges paid as a result of the payment not being made correctly); or (c) you tell us about the problem more than 13 months after the payment was taken from your account. 9. Statements 9.1 You may request a written statement at any time by calling the Customer Service Helpline or by writing to us. The statement will show details of all transactions on your account, together with any interest paid, during the period covered by the statement. 9.2 Except where condition 9.3 applies, we will automatically send you a statement if our records show that you have not received one during the preceding three months. 9.3 If there have been no transactions on your account during the period that would be covered by a statement sent under condition 9.2, we will not send you a statement under that condition but will instead send you one three months after the next transaction on your account. 9.4 You can ask us to provide you with a copy of a statement we have already provided but we may make a reasonable charge for this. 9.5 You are responsible for checking your statements. You must tell us as soon as you can by calling the Customer Service Helpline if you notice any errors on your account. If we notice any errors, we will correct them as soon as reasonably possible. 10. Set-off 10.1 If you have failed to pay a debt which you are liable to pay us, we may retain some or all of the balance in your account and use it to reduce or pay off the debt which you have failed to pay. We will do so in accordance with any Code of Practice that applies to us (including any notice periods) or as directed by our regulator or similar body. For example, this means that we will only use money in your account to pay or reduce another debt if we think that you will still have enough money to meet essential living expenses. 11. Interest and charges The interest rates we pay 11.1 Where specified in the offer, we may pay interest at different rates on balances falling within different tiers We pay interest on balances of 1 or more at the appropriate fixed rates of interest set out in the offer We do not pay interest on balances of less than 1. Calculating and paying your interest 11.4 We calculate interest on the balance in your account on a daily basis. This means that, where you choose to have your interest paid monthly under condition 11.5, the interest we pay each month will vary according to the number of days in the month (a) You may choose to have interest paid either monthly or annually. (b) If interest is payable monthly, then we will pay the interest by crediting it to your account at the end of the first day of each month or (if that is not a working day) at the end of the preceding working day. (c) If interest is payable annually, then (unless paragraph (d), below, applies), we will pay the interest by crediting it to your account at the end of the day on the anniversary of the day on which your account was opened or (if that day is not a working day) at the end of the preceding working day. (d) If you have chosen to have interest paid monthly and you notify us that you wish to have it paid annually instead, we will pay the interest by crediting it to your account at the end of the day on 1st April in each year or (if that day is not a working day) at the end of the last working day before 1st April. (e) If you have chosen to have interest paid annually and you notify us that you wish to have it paid monthly instead, we will pay the interest as stated in paragraph (b), above. The first payment of monthly interest will include all the interest which has been earned on your account since the end of the period covered by the last interest payment we made You may choose to leave the interest paid under condition 11.5, above, credited to your account or you may choose to have it transferred to another C&G savings account (not being a cash ISA) or to your nominated bank account by electronic payment. If you choose to have the interest transferred, we will process the transfer the working day after we credit the interest to your account under condition 11.5(b), (c), (d) or (e), and the interest will normally reach the other bank account within two hours of the processing but in any event no later than the end of the next working day after the processing You will not have to pay income tax on the interest paid provided that you have complied with the relevant legislation If, by mistake, we pay you more interest than you are entitled to you must repay us the amount we have overpaid. This does not affect any right you have to pursue any claim you have against us if you suffer loss as a result of our mistake. Charges 11.9 Charges for providing standard services in connection with your account are set out in our tariff. You will have received a copy of the tariff before you opened your account. Our power under condition 15 to vary these conditions includes power to vary the charges in our tariff and to introduce new charges for standard services. We can make any change to our charges but we will give you at least 30 days personal notice before the change happens, unless it is to your advantage, in which case we can make the change immediately and tell you about the change within 30 days We may make a reasonable charge for providing you with any non-standard service which you request in connection with your account. We will inform you of the charge before we provide the service You may have to pay other taxes or costs, which are not paid through us or imposed by us. 12. Safeguarding your security details 12.1 You must only use or follow your security details for the purposes set out in these conditions and do all you reasonably can to make sure that no-one finds out your security details. For example, you should: (a) follow instructions we give you, which we reasonably consider are needed to protect you and us from unauthorised access to your account; (b) not allow anyone else to use your security details; (c) not keep your security details with your account documentation; and (d) not allow anyone to listen in to your conversations with us or watch you entering or making use of your security details You must telephone the Customer Service Helpline as soon as possible if you discover or suspect that: (a) someone else knows your security details; or (b) someone may be accessing your account without your authority. We will keep a record of your notification and may monitor or record calls to the Customer Service Helpline. In any case where you suspect that a theft or fraud has been, or may be, committed, we may ask you to report your suspicions to the police and to provide us with any crime reference number which the police give you If you give us notice under condition 12.2, we will freeze your account. On receipt of written instructions signed by you, we may close your account and transfer the balance to a new account You will not be able to give a payment instruction using your security details if we have stopped, or suspended, your ability to use them. If we haven t done so already under condition 12.3, we can do this if we reasonably consider it necessary for reasons relating to: (a) their security; or (b) their suspected unauthorised or fraudulent use. Unless the law prevents us from doing so or we believe it would undermine our security measures, we will try to contact you, by telephone or in writing, in advance to tell you that we will stop or suspend the use of your security details and our reason for doing so. If we are unable to tell you in advance we will tell you as soon as possible afterwards. You can ask us by calling the Customer Service Helpline to lift the freeze on your security details or to replace them as soon as the reason for the freeze has ended

20 12.5 You will not be liable for any transactions you did not authorise yourself, even if they were made using your security details, unless we can prove either: (a) that you have acted fraudulently, in which case you will be liable for all payments from the account that we have been unable to stop; or (b) that you have been very careless with your security details (for example, if you do not tell us as soon as you think someone has discovered your security details or is accessing your account without your authority or you break your obligations in condition 12.1), in which case (depending on the facts of the case and any legal requirements that apply) you may be liable for payments from your account but only until you have told us that your security details have been liable to misuse If you tell us that a withdrawal from your account was unauthorised, we will investigate. Once we are reasonably satisfied that the withdrawal was not authorised and that you are not liable, we will refund the amount withdrawn, together with any charges you paid as a result of the withdrawal and will pay you any interest you would have earned on that amount (we will have no further liability to you). However, we will not do this if you tell us that the payment was unauthorised more than 13 months after it was taken from your account. 13. Maturity 13.1 On the last day of the term or (if that day is not a working day) on the next working day, your account will be converted into a C&G variable rate cash ISA without bonus At least 30 days before the end of the term, we will write to inform you of the interest rates and the C&G cash ISA conditions which will apply following the conversion. We may also send you information about other tax free accounts which we think may be suitable for you The conversion to a C&G variable rate cash ISA will not affect the date on which interest is paid. This means that any unpaid interest which has been earned on your account at the date of the conversion will be paid on the converted account on the next date when it would have been paid on the old account if the term had not come to an end. 14. Closure and ineligibility for tax relief 14.1 We will write to tell you if, by reason of any failure to satisfy the requirements of the relevant tax legislation, your account is or will become no longer eligible for tax relief as a cash ISA Condition 14.3 applies if we are notified by HM Revenue & Customs, or we otherwise establish, that: (a) your account does not qualify for tax relief as a cash ISA; or (b) you are not entitled to tax relief on some or all of the money which you pay into your account during any tax year (a) You agree that, if we have to make a payment to HM Revenue & Customs because your account, or any of the money in it, does not qualify for tax relief, then: (i) we may deduct the amount we have to pay to HM Revenue & Customs from the balance in your account; (ii) if the balance in the account is less than the amount we have to pay, we may recover the shortfall from you. (b) If we receive a notice ( a repair notice ) from HM Revenue & Customs telling us that we may repair the account to make it eligible for tax relief, we will take the steps specified in the notice. (c) If we do not receive a repair notice from HM Revenue & Customs, but there are other steps ( remedial steps ) which we can take to enable the account, or any of the money in it, to qualify for tax relief, we may take those steps if we choose to do so, but we will not be obliged to take them. (d) This paragraph applies if: there is a balance remaining in your account after we have deducted any amount from it under paragraph (a)(i), above; we do not receive a repair notice from HM Revenue & Customs; and there are no remedial steps which we are able and willing to take. If this paragraph applies: (i) we will write to you, giving you a period of 14 days in which to instruct us what to do with the balance in the account; (ii) if you do not give us any instructions within the 14 day period, or you give us instructions which we cannot reasonably comply with, we will close your account and transfer the balance to a new C&G instant access savings account in your name If you die, your account will cease to benefit from favourable tax treatment as a cash ISA from the date of death We may close your account at any time for one of the following reasons: (a) because we are transferring the balance to a new account under condition 12.3 or 14.3(d)(ii); (b) because you are, or we reasonably consider you may be: using or obtaining, or allowing someone else to use or obtain, a service or money illegally; acting fraudulently; or (c) because we reasonably consider that by continuing to allow you to run your account: we may break a legal requirement or a court order or other authority; we (or another company in the Lloyds Banking Group) may be exposed to action from any government or regulator. If we close your account without giving you written notice beforehand, we will do so as soon as possible afterwards If we close your account under condition 14.5, then, unless we are transferring the balance to a new account under condition 12.3 or 14.3(d)(ii), we will repay the balance in your account to you with interest until the date of closure You may close your account at any time without prior notice by writing to us, but you must pay any charge which becomes due under condition 3.15 on the withdrawal of the money in the account at the time when it is closed. The balance in the account must be withdrawn in one of the ways specified in condition 3.12(a) If you apply for this account you will be able to change your mind and cancel your account at any time before the end of the 14-day period starting on the day your account is opened or the day you receive your welcome letter, whichever is later. If you cancel your account within the 14-day period you are free to subscribe to another cash ISA in the same tax year. If you cancel within the 14-day period we will repay you any money you have paid together with any interest due on it, or help you to switch the balance to another account. If you miss the 14-day deadline, you can close your account, but you will not be able to open another cash ISA, either with us or with another provider, in the same tax year. To cancel this agreement you should tell us by writing to us in accordance with condition There are no charges for cancelling your account within the 14-day period, and you do not have to give any advance notice If you choose to exercise your right to cancel this agreement within the 14-day period under condition 14.8, then: (a) you will not have to pay us any charges; and (b) you will not be treated as having subscribed to a cash ISA (except to the extent that the money in your account represents subscriptions transferred from another cash ISA). 15. Changes to these conditions 15.1 We may vary these conditions at any time (but we will not change the term or the fixed rates of interest or, in the case of a tiered account, the tiers) We will give you at least 30 days personal notice before the variation happens, unless it is to your advantage, in which case we can make the change immediately and will tell you about the change within 30 days If we make a disadvantageous change to the terms and conditions of your account (other than our charges) you can close your account or give us instructions to transfer the account to a cash ISA or a stocks and shares ISA with another institution or to another Lloyds TSB account which is a cash ISA without charge within 60 days of us telling you about the change When we say we will publish a change, we will put notices in at least three national newspapers and make the change available in our branches, on our website and through the appropriate telephone C&G Savings Rateline by the time of making the change or within three days after it If we can notify you about a change in a different way, we will do so in a way we think is reasonable and which satisfies our legal and regulatory requirements. 16. Notices 16.1 Any written notice or communication we give you under these conditions will be given either: (a) by posting or delivering it to your correspondence address; (b) by or text message; or (c) in any other way which is sent to you individually Where these conditions provide that a notice from you to us must be given in writing, the notice must be given by posting it to: C&G Savings, PO Box 1888, Andover, SP10 9BF. 17. Exclusion of liability 17.1 If we are in breach of these conditions, we will not be liable: (a) for losses or costs caused by abnormal and unforeseeable circumstances outside our reasonable control, which would have been unavoidable despite all efforts to the contrary, for example delays or failures caused by industrial action, problems with another system or network, mechanical breakdown or dataprocessing failures; or (b) as our agreement is made with you as a personal customer, for any business losses or costs you suffer (such as loss of profits or opportunities) Nothing in these conditions limits our liability for acting fraudulently or very carelessly or otherwise excludes or limits our liability to the extent we are unable to exclude or limit it by law. 18. Governing Law and Language 18.1 If you are not resident in Scotland when the conditions in this document first apply to you, English law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The courts of England and Wales will also be able to deal with any legal questions connected with this agreement. The Scottish courts will also be able to deal with any legal questions connected with this agreement If you are resident in Scotland when the conditions in this document first apply to you, Scots law will decide any legal questions about this agreement, and about our dealings with you with a view to entering into this agreement. The Scottish courts will also be able to deal with any legal questions connected with this agreement The contract between you and us is in English and all future communications with you will be in English