Chelsea Monthly Extra

18 October 2007

Chelsea, the UK’s fifth largest building society and Norwich Union have announced the launch of a new branch based joint regular savings account – Chelsea Monthly Extra, with immediate effect.

Key details of Chelsea Monthly Extra are as follows:

Account name Minimum opening investment  
Variable annual rates
AER2
Gross pa1 Net pa1

Chelsea Monthly Extra (to be opened in conjunction with Norwich Union regular collective fund)

£50
(max £500,000) 4

Year One
Bank of England Base Rate + bonus of 3% gross pa1

8.75%

7.00%

8.75%

Year Two
Bank of England Base Rate + bonus of 3% gross pa1

7.75%

6.20%

7.75%

Year Three
Bank of England Base Rate + bonus of 3% gross pa1

6.75%

5.40%

6.75%

This account can only be opened in conjunction with a Norwich Union regular collective fund. A minimum of £50, maximum of £1,000 must be invested into both Chelsea Monthly Extra and the NU Regular Collective fund on a monthly basis. Therefore, minimum overall opening investment of £100, maximum overall investment of £2,000 per month. There must be an equal split in each element.
The underlying rate is guaranteed to be equal to BBR for the first 3 years of investment. There is an unconditional bonus of 3.00% for the first 12 months, 2.00% for the following 12 months and 1.00% for the final 12 months, following this there will be no guarantee or bonus and withdrawal/closure penalty and regular commitment ceased.

Interest is paid on the anniversary of account opening for the first three years and on 1 February annually thereafter. There is no monthly interest option.

Until the third anniversary of the account opening date, all withdrawals and closures are subject to a penalty equivalent to 90 days’ gross interest on the amount withdrawn.

After the third anniversary of the account opening, there will be no interest rate guarantee, the rate will continue to be variable and withdrawals and closures will be notice and penalty free.

To find out more about Chelsea Monthly Extra, visit us at your local Chelsea branch or call the savings information line on 08457 44 66 22 3 .

Notes

  1. Gross pa/Net pa: Net interest equals gross interest less income tax at the rate specified by law
  2. AER: AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest was paid and added each year. Withdrawals may affect the AER
  3. Calls to Chelsea may be recorded and/or monitored for security, training and customer service purposes
  4. Provided that the account holder’s total investment in the Chelsea does not exceed £2 million
  5. Chelsea is the 5th largest building society with assets of £11bn
  6. Chelsea Building Society introduces to the Norwich Union Marketing Group (NUMG) for life assurance, pensions and investments. Chelsea and members of NUMG are authorised and regulated by the Financial Services Authority

For more information contact Vicki O’Connell on 01242 271466 or Susie Ratcliffe on 01242 271332

This page must be read in conjunction with the Information for Chelsea savers page.

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