Request regular withdrawal payments on your policy
If you would like to take regular withdrawal payments on your policy, you need to complete a Regular Withdrawal Payment Form and return it to us using the address stated on the form.
You can download the form below. Details of how to complete each section are included on the form.
Note: Regular Withdrawal Payments can only be made to the legal owner of the policy.
If you have any questions, they should be covered either in the notes on the form, in your Policy Terms and Conditions (which can be found with your policy schedule) or in the Question and Answer section below.
We strongly recommend that you consult a Financial Adviser for professional guidance when considering what options you should take. If you do not have a Financial Adviser, please visit our How to – Locate a Financial Adviser section for more information. Please note that Financial Advisers may charge you for providing advice.
What should I do if my address is now different from the address held in your records?
You can download a form to update your address in our How to – Inform us of a change of address section.
What is the minimum/maximum withdrawal amount I can take from my policy?
The minimum withdrawal amount is £50. The maximum withdrawal amount will depend on your policy type. Please refer to your policy terms and conditions for the maximum withdrawal amount.
Do I need to send a separate form for each policy number?
No, you can use one form for multiple requests.
Do I need to send my policy to you with the request form?
No, we do not need to see your policy document.
Can withdrawal payments be taken on a policy which is set up in trust?
Yes. We will need to receive consent from all trustees and, as such, they must all sign the withdrawal form. In some cases we will only have a settlement date and will not have seen the settlement / trust document. In these cases, the original document, or a certified copy, should be forwarded to us. Please remember that any monies taken from policies written in trust, including withdrawals, are intended for the beneficiaries.
How long will it take to set up my withdrawal payments?
Your request will take up to 10 days to process. After we have processed your request, assuming that all of our requirements are met, we will backdate your withdrawals to the date that we received your request. We will then send confirmation to you in writing.
How frequently can I take my withdrawal payments?
For policies invested in the with-profits fund, withdrawals can be taken monthly or quarterly. For policies invested in unit-linked funds, withdrawals can be taken monthly, quarterly, half-yearly or yearly. If you are unsure what type of policy you have, please refer to your policy terms and conditions.
How will payments be made?
Payments can only be made directly into either your bank or building society account, as requested on the payment form.
What dates can withdrawal payments be made?
Any date between 1st-28th of the month (except for Distribution Bonds which can only be set up on 22 May or 22 December following the distribution). The date chosen is the date that the units are cashed. It will then take a further 4-5 days to reach your bank account.
What will happen if the capital growth on my policy is less than the amount being deducted for withdrawals?
Withdrawals should be countered by the growth of your investment. However, this cannot be guaranteed and it is possible that your original investment could be eroded by withdrawals. The level of withdrawals taken are shown on your annual statement, you should regularly review the value of your investment, and, if necessary take action to protect the value of your remaining capital.
How can I alter a withdrawal once it has been set up?
We require a signed letter confirming any alterations you wish to make to an existing withdrawal. Our address can be found in the the contact us section on this website.
How can I stop the withdrawals on my policy?
You can advise us to stop your withdrawal payments either in writing or by phone. Our contact details can be found in the contact us section on this website.
If you have a question that does not appear above, please contact us. You can find ways of getting in touch with us in our contact us section.
Tax position regarding withdrawals
5% of the original investment can be taken each policy year with deferment of any higher rate tax liability until the policy is surrendered, or for 20 years, whichever happens first. The 5% allowance is cumulative and any unused allowance can be carried forward to use in future years.
If withdrawals in any one policy year exceed the 5% allowance a Chargeable Event Certificate will be issued to notify you and HM Revenue and Customs at the end of that policy year.
You may be liable to tax on the gain if you are a higher rate taxpayer or if the gain, when added to your income, takes you in to the higher rate*. If you are aged over 65, you may lose some of your age allowance.
If you intend to take a large partial withdrawal please consult your financial adviser about the consequences. There may be an alternative method of withdrawing money from bonds which incurs a lower tax charge. Please note that your financial adviser may charge you for advice given.
*Subject to top slicing relief.
Pearl Assurance Limited No. 1419, London Life Limited No. 1179800, NPI Limited No. 3725037 and National Provident Life Limited No. 3641947 are authorised and regulated by the Financial Services Authority. All companies are registered in England and have their registered office at: 1 Wythall Green Way, Wythall, Birmingham, B47 6WG, Tel: 01564 204321. We may record or monitor telephone calls. Important Company Registration and Legal Information.
