Savings & Investment Plan
Our Savings and Investment Plan is a simple way to make the most of your tomorrow. Whether it’s putting something away for a special anniversary, the holiday of a lifetime or perhaps to go towards a child’s future university costs, the Savings and Investment Plan can help you to provide a cash sum for your future. After all, you’ve earned it.
includes life cover
at no cost
Having a little cash nestled away for the future can give you peace of mind, don’t you think? It’s there for those small emergencies, big purchases or just to treat yourself. You can’t put a price on that kind of reassurance.
Why choose a Savings & Investment Plan?
Helps you to build up what could be a substantial nest egg for your future. If you save £260 a month, you’ll have saved £31,200 over 10 years with the potential for additional growth.
Affordable way of saving regularly for your future by setting up a monthly Direct Debit for an amount between £26 and £260.
A 10 year savings plan at the end of which you can choose to cash it in, extend it for a further 10 years or leave it invested – it’s completely up to you.
Invested in our Savings Fund for potential for growth over the longer term.
Life cover automatically included at no additional cost to you.
Access to membership benefits including discretionary grants to help cover the cost of things like higher education and healthcare costs
How would you describe POIS to someone who had never heard of them before?
“I have recommended them to my husband and other family members as a savings plan. My husband is also a member of Foresters.” POIS Member
See how much you could save
A real-life example
A £26 per month Savings and Investment Plan which commenced in November 2008 with a 10 year term provided a payout of £3,994.61 at maturity. This is an average annual return of 4.8% and a total return of 28%, after administration fees and charges.
The above graph is provided for information purposes. Past performance should not be seen as a reliable indicator of future results. The value of holdings within the fund can fall as well as rise, and you could get back less than you have paid into the plan. As the fund holds overseas assets, the Sterling value of these assets may rise and fall as a result of exchange rate fluctuations.
Ready to start making tax-free savings? Apply today!
Investing in the POIS Savings Fund
The POIS Saving & Investment Plan invests in our Savings Fund. This is an actively managed fund which aims to provide good potential for growth, over the longer term, by investing mainly in stocks and shares.
When you invest with us your money buys units or shares in a fund and the units in each fund have a daily value which can be used to work out the current overall value of your plan.
To work out the value of your plan simply take the number of units your plan currently holds, and multiply this number by the current Unit Price for that plan.
POIS Savings Fund
Savings & Investment Plan
Unit Price (pence):
Change from previous day:
Added value for you – Member Benefits
Taking out a Savings & Investment Plan is only the start. By doing so, you will become part of the POIS family which is now a part of Foresters Friendly Society, a well established UK friendly society. This means you can enjoy some wonderful, unique benefits such as discretionary grants to help you cover the cost of things like higher education, dental and optical costs. In 2018, we gave back over £1.1 million to our POIS and Foresters members in the form of discretionary grants.
How do I pay into the plan?
With ease! Your monthly contribution will be paid by Direct Debit straight from your bank account. When you apply, you will provide your bank details and we will set the Direct Debit up for you, you don’t need to do a thing.
Your contributions will be collected each month. It is not possible to make a lump sum payment into the POIS Savings and Investment Plan, if you wish to invest a lump sum you can consider other plans we offer such as the Junior ISA, Stocks & Shares ISA or Lifetime ISA which accept lump sum payments by card, bank transfer or online secure payments.
What is the life cover?
A benefit of the Savings and Investment Plan is that life cover is automatically included at no additional cost to you. To be eligible for the plan you will asked about your state of health within the application. If you are unable to confirm the two points requested, then unfortunately you will not be able to take out a plan.
The amount of life cover is based on the size of contribution you pay and is calculated as 75% of the contributions you are due to make over the plan’s initial 10 year term.
If you are aged 56 or over when you apply, the amount of life cover is reduced by 2% for each year. For example, if you are 56, you will receive life cover based on 73% of the contributions you are due to make over the initial 10 year term. If you are 57 you will receive 71%.
In all cases, the life cover is available as long as monthly contributions continue to be paid. If the value of the plan is higher than the life cover, the plan value will be paid to your estate.
Where is my money invested?
Your money is invested in the POIS Savings Fund which aims to provide good potential for growth, over the longer term, by investing mainly in stocks and shares. It is an actively managed fund which means our expert fund managers make decisions about how to invest the fund’s money as opposed to the fund just following a market index. Investing in different industry sectors helps reduce risk and increase potential returns through diversification. It’s all about not having ‘all your eggs in one basket’.
The contributions you make will be used to purchase units in the fund. The value of holdings within the fund can fall as well as rise, and you could get back less than you have paid into the plan. As the fund holds overseas assets, the Sterling value of these assets may rise and fall as a result of exchange rate fluctuations.
For more information on the fund please see the fund information section.
Are there any charges?
As with any investment, there are costs in managing the plan on your behalf. These include an annual management charge and a monthly administration charge which are deducted from the value of your plan.
What happens if I stop my Direct Debit?
We would encourage you to keep up your monthly contributions for the plan’s full duration.
If you stop making contributions, your life cover will end, so, if you pass away, the payment returned to your estate will be the value of the plan.
If you miss some monthly contributions into the plan, you have 13 months to pay the missing contributions, altogether in one lump sum, and continue paying into the plan. If, at the end of the 13 months, you have not made up the missing contributions there will be various scenarios that could apply. Please see the Important Information document for further details.
What happens if the plan is cashed in early?
If the plan is cashed in before its 10th anniversary, a charge will be deducted before the cash sum is paid to you. The amount of the charge will depend on how long you have held the plan, as shown in the Important Information document.
In the early years, it is possible the plan value may be less than the surrender charge due. In that instance, no plan value will be paid out and no further charge will be payable. If a payout is returned to you, you may be liable for tax on any growth.
What happens if I pass away?
If you were to pass away and the value of your plan is higher than the amount of life cover, we will pay the current value. This will normally form part of your estate and may be subject to Inheritance Tax, depending on your individual circumstances.
If you wish, you can nominate a beneficiary to receive the value of your plan if you pass away, providing you have kept your contributions up to date. They can receive up to £5,000 immediately following your death. This can help to make a difficult time more bearable for your dependants. This can be done without having to wait for your estate to be administered, which can often be a lengthy process at a difficult time. Any excess over the £5,000 would become part of your remaining estate and have to wait for probate.
I’m not sure if the Savings and Investment Plan is right for me. What should I do?
If you’re unsure as to the suitability of this plan, you should seek advice from a Financial Adviser. Of course, you may have to pay for this advice.
We’re here if you need help or have any questions
If you have any questions that we have not yet covered or just want to talk your application through, please give us a call. Our friendly UK based team are on hand to make things as easy as possible (lines are open Monday to Friday 9 am to 5 pm).