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Investing in a fairer future

As a Your Co-op member you already make a difference to our communities, and we do good together by building a fairer, more sustainable, and ethical future.

But by investing in Your Co-op through our Fixed Term Investments you can help us deliver even more for our communities whilst also benefitting from our amazing member rates. See table below for the latest rates.

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Investment value minimum £500 up to £99,999

Term Gross AER
1 Year 6.00% 6.00%
2 Year 6.00% 5.83%
3 Year 6.00% 5.67%

 

• Interest is paid at the end of the term
• The rates shown are from 1st August 2024 and may be subject to change thereafter.

If you have any questions regarding Fixed Term Investments please read the ‘Frequently Asked Questions’ section below before contacting the Investments Team by email investments@midcounties.coop or call on 0800 093 7553

FAQs

£500

The maximum that can be invested in the share capital of the Society, including Fixed Term Investments is £100,000. This limit is set by law. If at any time the total amount held by an individual Member in his/her share account and any Fixed Term Investments together with any interest payable thereon exceeds the sum of £100,000 the Society will repay the excess above £100,000 to the Member.

No, and please note that you must be 16 years of age or older, to become a member of the Society.

No, you can hold a number of Fixed Term Investments of varying amounts as long as each Bond you hold is £500 or over.

You can choose to have a Fixed Term Investment for either a 1, 2 or 3 year period

Fixed Term Investment rates are reviewed every month against other comparable financial products on the market and are therefore subject to change on a monthly basis. Rates will be made available on our website, or you can call the Membership Hotline on 0800 435902 for current rates.

No, Fixed Term Investment rates are fixed for the term you have chosen – either 1, 2 or 3 years.

Interest is paid out at the maturity date of the Fixed Term Investment. Interest is paid gross and is liable to tax. We do not issue tax deduction certificates.

No, but we will contact you when your Fixed Term Investment matures to let you know what steps you need to take and to send you the interest due.

AER stands for Annual Equivalent Rate. As all advertisements for savings products quote an AER, it allows you to compare what return you can expect from your investment more easily.

Gross is the contractual rate of interest payable before the deduction of income tax.

To find out about the Society’s financial position please view our most recent Annual Report and Accounts by clicking here. Please also note that the position you occupy as a shareholder of the Society is no different from that of a shareholder in any other corporate body in so far as, if the Society fails, you may not have all or any of your investment returned to you. Co-operative societies, unlike banks and building societies, are not subject to prudential supervision by the Financial Services Authority. Fixed Term Investments are not covered by the Financial Compensation Scheme.

You do not need to give any notice for early termination of your Fixed Term Investment, once we have received your request; it will take up to 2 weeks for you to receive payment of the initial amount invested. All interest will be forfeited.

You will need to confirm in writing a request to terminate a Fixed Term Investment early, and we will also need the Fixed Term Investment certificate. Requests should be sent to The Membership Department, The Midcounties Co-operative, Co-operative House, Warwick Technology Park, Warwick, CV34 6DA.

All interest will be forfeited.

No, partial withdrawals are not allowed.

No, however you can invest in a new Fixed Term Investment at any time, or you can add additional funds to the same Fixed Term Investment upon its renewal, subject to the £100,000 maximum.

Yes, there is an option on the Fixed Term Investment application form to do this, please send in your share account pass book with your application.

No, only upon death of the Fixed Term Investment holder would a transfer be allowed, and then his/her personal representative(s) will be the only person(s) recognised by the Society as having title to the Fixed Term Investment.

Once all formalities are completed, we will pay interest on your Fixed Term Investment up until the date the payment is made to your estate’s personal representative.

The Principal Amount and the interest payable on the Fixed Term Investment will be paid by transfer to the Member’s share account at the end of the Term unless an application for a new Fixed Term Investment is received by the Society prior to the end of the Term.

No, the Fixed Term Investment can only be held in the same name and address as the membership account.

You will receive a renewal form prior to the maturity date. You can either:

  • Redeem the Investment for full payment; or
  • Receive the interest payment and reinvest the capital; or
  • Invest additional funds on a further Investment.

Upon the maturity date you can redeem your Fixed Term Investment by completing the renewal form option to receive full payment of capital and interest. This is paid back to the named Investment holder by way of cheque and sent to the address held on the account at the time. Alternatively, you may complete the BACS form included with your renewal letter for electronic bank payment. Bank transfer payments can be made to a joint account as long as the Fixed Term Investment holder is named on the joint account.

No, we can only make a payment to the named investment holder and it must be sent to the address held on the account at the time. Bank transfer payments can be made to a joint account as long as the Fixed Term Investment holder is named on the joint account.

The Midcounties Co-operative collaborates with Smart Search Limited to conduct an anti-money laundering check, aligning with our safeguarding policy to protect our members' funds. Each check performed by Smart Search results in a 'soft footprint' on the individual's credit file, which is for audit purposes only and differs from a full credit check. Importantly, this search does not adversely affect your credit score.

Should the check yield inconclusive results, a representative from the Investments team will contact you to request any additional information that may be necessary

  1. 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 Fixed Term Investment or part there of during the Term.

  2. Interest is paid on the Fixed Term Investment at the end of the Term. Interest is paid gross and is liable to tax.

  3. Interest shall be forfeited on early termination of all or part of a Fixed Term Investment.

  4. The minimum amount a Member can invest in a Fixed Term Investment is £500. The maximum a Member can invest in their share account and Fixed Term Investments held with the Society is limited by law to £100,000.

  5. The Member will be regarded as exclusively entitled to the benefit of a Fixed Term Investment. 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 Fixed Term Investment other than the Member.

  6. Fixed Term Investments are not transferable.

  7. 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 Fixed Term Investment.

  8. Any person entitled to this Fixed Term Investment 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.

  9. Fixed Term Investments form part of the share capital of the Society.

  10. The Society shall be entitled to terminate this Fixed Term Investment 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.

  11. 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.

  12. 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.

  13. The Society reserves the right to decline an application for a Fixed Term Investment at its sole discretion and without further explanation.

  14. The position the holder of a Fixed Term Investment 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 Fixed Term Investments and a copy of the Code may be obtained from:

The Share & Bond Team 
Co-operative House
Warwick Technology Park
Warwick
CV34 6DA

Free Phone - 0800 093 7553

Before you commit to purchasing shares/Fixed Term Investments please note that The Midcounties Co-operative Limited (‘the Society’) complies with the Code of Best Practice developed by Co-operatives UK with the agreement of HM Treasury.

The Code sets out the minimum standards of good practice that a consumer retail co-operative society should observe in its use of Withdrawable Share Capital. In this context, it is concerned with shares/Fixed Term Investments given these are withdrawable but not transferable.

The Code obliges the Society to provide a statement to its members of the nature of their financial interest in the Society and any change affecting it, as set out below:

  • As a member of the Society, you are the owner of one or more shares in the Society. If the Society is unable to meet its debts and other liabilities, you risk losing the amount you hold in shares/Fixed Term investments in the Society. Hence they are known as risk capital. This may make it inappropriate for you as a place to keep your savings. 

  • Owning Withdrawable Share Capital (‘WSC’) is not the same as investing in the shares of a company. It is primarily for the purpose of supporting the Society in furthering its purpose and objects. There are various important differences between WSC and company shares. For example, WSC held in shares/Fixed Term investments receives interest but will not increase in value. 

  • The Financial Services Compensation Scheme, which covers bank, building society and credit union accounts, does not apply to your Share Account/Fixed Term Investments with the Society, so you cannot claim compensation under the Scheme in the event of the Society not being able to meet requests for withdrawal of shares. This is because the Society does not require authorisation under the Financial Services and Markets Act 2000 to operate WSC. Societies are therefore not subject to supervision either by the Prudential Regulation Authority or by the Financial Conduct Authority in relation to WSC. 

  • You may withdraw money from your Share Account or from your Fixed Term Investments at any time unless the Society’s board of directors has removed this facility under the Society’s rules. Note that interest is not payable on early withdrawal of Fixed Term investments.

  • The Financial Ombudsman Service does not apply to your Share Account/Fixed Term Investments or your relationship with the Society but under the Society’s rules any dispute is to be submitted to an arbitrator agreed by the parties or in the absence of agreement to be nominated by the Chief Executive of Co-operatives UK Limited. The arbitrator’s decision will be binding and conclusive on all parties.

If you have any questions regarding the Code please address them to The Secretary, The Midcounties Co-operative Limited, Co-operative House, Warwick Technology Park, Warwick CV34 6DA.