- The Society agrees to pay gross interest on the Principal Amount at the Interest Rate for the Term in consideration for the Member’s agreement not to request withdrawal of the Development Share Bond or part there of during the Term.
- Interest is paid on the Development Share Bond at the end of the Term. Interest is paid gross and is liable to tax.
- Interest shall be forfeited on early termination of all or part of a Development Share Bond.
- The minimum amount a Member can invest in a Development Share Bond is £500. The maximum a Member can invest in their share account, share bonds and Development Share Bonds held with the Society is limited by law to £100,000.
- The Member will be regarded as exclusively entitled to the benefit of a Development Share Bond. No notice of any trust shall be entered into the register against the title of the Member, and the Society shall not be affected by notice of any right title or claim of any person to this Development Share Bond other than the Member.
- Development Share Bonds are not transferable.
- On the death of the Member his/her personal representative(s) shall be the only person(s) recognised by the Society as having title to this Development Share Bond.
- Any person entitled to this Development Share Bond by operation of law may be registered as the holder thereof upon such evidence being produced as the Society may reasonably require and in accordance with the Rules of the Society.
- Development Share Bonds form part of the share capital of the Society.
- The Society shall be entitled to terminate this Development Share Bond at any time on the expiry of 30 days notice given in writing to the Member. On such early termination the Principal Amount together with interest calculated at the AER at the Date of Issue, will be transferred to the Member’s share account.
- A notice sent by post to the Member at his/her last known address shall be deemed to have been duly served upon the Member at the expiration of 48 hours from the time of posting. Notices to the Society shall be served upon it at its registered office.
- Changes to these Terms and Conditions can only be made on 30 days notice provided by the Society. Changes will be publicised by notice displayed in the Society’s registered office and all other places of business of the Society to which members have access and by such other means as the Board shall determine from time to time.
- The Society reserves the right to decline an application for a Development Share Bond at its sole discretion and without further explanation.
- The position the holder of a Development Share Bond occupies as a shareholder in the Society is no different from that of a shareholder in any other corporate body in so far as, if the Society fails, the holder may not have all or any of their investment returned to them. Co-operative societies, unlike banks and building societies, are not subject to prudential supervision by the Financial Services Authority.
Information regarding Development Share Bonds and a copy of the Code may be obtained from:
The Membership Team - The Midcounties Co-operative,
Warwick Technology Park,
Free phone telephone: 0800 435 902