Stash Tax-Free Investment Terms and Conditions

These terms and conditions govern the Stash Tax-Free Investment between you and Liberty Group Limited and should be read in conjunction with Stash Application Terms and the Stash Privacy and Security Statement.

You should read these terms carefully.

The Stash Tax-free Investment is an endowment policy underwritten by Liberty Group Limited and issued within the framework of the Long-Term Insurance Act 52 of 1998 and the Income Tax Act 58 of 1962.

We are a registered long-term insurer and an authorised financial services provider (FAIS no. 2409), licensed with the Financial Sector Conduct Authority  to render financial services in respect of the following financial products:

  • All classes of long-term insurance
  • Short-term insurance personal lines
  • Retail pension benefits
  • Pension benefits
  • Health services benefits
  • Participatory interests in collective investment schemes

In these terms where we refer to:



“App” means the Stash Application;

“Annual investment limit” means the annual contribution limit as prescribed in section 12T of the Income Tax Act from time to time;

“investment portfolio” means the portfolio where your stash is invested;

“investment summary” means the summary of your tax-free investment which we will send you after we accept your application;

"Lifetime investment limit" means the contribution limit as prescribed in section 12T of the Income Tax from time to time;

"we", "us", "our", “Stash”, or “Liberty” means Liberty Group Limited with registration number 1957/002788/06 including any of its subsidiaries and associate companies and is an underwriting insurer of the Stash Tax-Free Investment;

“start date” means the date your investment starts, which is when we have received and accepted your application. This date is confirmed in your investment summary;

“Stash Tax-Free Investment” means an endowment policy underwritten by us and which is a ‘tax-free investment’ for purposes of section 12T of the Income Tax Act;

"you" and "your" means you, the investor and owner of the tax-free investment – the person entitled to the money invested in the tax-free investment and the person entitled to the tax relief

We are not financial advisers and the App and Stash Tax-free Investment do not provide financial advice. We do not make any representations, warranties, or guarantees of any kind that the App and the Stash Tax-free Investment are appropriate for you. Before using them, you should consider obtaining additional information and advice from a financial adviser.

Your Stash Tax-Free Investment

Your investment starts once we have received and accepted your application. Your investment’s start date is confirmed in the investment summary.

Your investment does not have a fixed term (i.e. it is open-ended). Investing ends when:

How does this investment work?

Your investment policy has an investment account which we will operate for you.

The value of the investment account at any time is equal to the number of units held in the investment account multiplied by the sell price of those units.

We will make an initial allocation enhancement of R10 into your investment account.  We reserve the right to change the initial allocation enhancement amount from time to time. If it does change, we will notify you via the App.

Additional investments can be made in a number of ways as outlined below. Should you wish to select any of the below-mentioned options, please do so in the App.


Daily Stashing

Sunny Money

Sweat

Impulse

How much is invested?

An amount specified by you in the app

An amount specified by you in the App

An amount specified by the App, which may change from time to time

An amount specified by you in the App

When is the investment instruction received?

Every day that the feature is activated

Every day the weather in your location is sunny

Every day using your step, calorie, distance and time information

Every time you indicate your intention to invest by pressing the button in the App or changing your monthly deposit amount in Settings


Every day, we will add up all the above amounts, collect them from your connected card and invest them at the closing price of the investment portfolio(s) on that day. If your connected card is determined to be expired, invalid or otherwise not able to be charged, you agree that we may use a secondary payment method, if available. You also agree that we may try again (up to three times) to collect the money from you connected bank card. We will only collect money once a day. Any resulting bank charges will be for your own account.

You are solely responsible for determining whether the funds debited from your bank card are acceptable to you. We are not responsible for ensuring your bank account has sufficient funds for your needs, purposes, or transactions.

You consent to us debiting your bank account, for any overpayment of funds made by us to you and which needs to be recovered from your bank account and warrant that the necessary consent has been obtained to debit the bank account nominated by you, wherever it may be held inside the Republic, for any amounts due in terms of your policy.

In the App, you can stop additional investments at any time before they are due to be invested. You can disable your payments by switching off your bank card in the App at any time. Any pending investments would subsequently not be invested.

If you do not want us to use your location, you should turn off the location services for the App. Some features of the Product(s) may not work if you switch off the location services.

If you do not want us to use your health data, you should turn off the permissions in the App or on your device. Some features of the Product(s) may not work if you switch off health data access.

Minimum additional investment amounts may apply to individual features.

Where applicable, if you haven’t reached the minimum additional investment amount for a feature, we will notify you.

There is currently no minimum investment  amount. We may change this from time to time. If we do, we will notify you.

There are limits to how much you can invest

Currently, you can invest up to a maximum of R33,000 in tax-free investments per tax year (called the Annual investment limit). If you reach your Annual investment limit then your tax-free investment account will be paused until the next tax year. This means you will not be able to invest further amounts in this tax-free investment in the same tax year.

Currently, you can invest up to a maximum of R500,000 in tax-free investments over your lifetime (called the Lifetime investment limit). If you reach your Lifetime investment limit, then your tax-free investment account will be paused indefinitely.

Annual and Lifetime investment limits apply to the combined value of the investments you make to all the tax-free investments that are held in your name with us and other product providers. It is your responsibility to ensure that you do not exceed these maximum investment amounts per tax year and over your lifetime.  If you exceed the maximum investment amounts, the South African Revenue Service will levy penalties of 40% of the amount exceeding these limits.

These prescribed Annual and Lifetime investment limits may change from time to time as prescribed in legislation.  

Your money is invested in investment portfolio(s)

We are the owners of the underlying assets in the tax-free investment. We undertake to give you the returns of this investment portfolio(s) as outlined in the investment mandate of the investment portfolio(s).

The portfolio choice in this investment may change from time to time, depending on constraints that may affect our ability to invest funds into this investment portfolio. These are factors such as market availability, changes in legislation or changes in business practice. If the available portfolio(s) do change, we will notify you at least 30 days in advance of such a change.

Should any of these constraints apply to a portfolio selected, Liberty will notify you in writing and you will, at that time, have to select an alternative portfolio. If an alternative portfolio is not selected or no response is received from you, we will invest the investment value of the affected portfolio, and/or any future additional contributions to that portfolio, in an money market portfolio available at the time,

There are no fees

There are no fees for this investment. We may review the fee structure from time to time and will notify you should it change by giving you 30 days’ prior written notice.

You will pay bank charges (if any) related to the transactions you instruct us to act upon.

You will pay standard data charges when you download the App and thereafter when you transact through the App. These fees are levied by your mobile network operator.

Your investment returns are not guaranteed

The investment returns of the investment portfolio(s) are not guaranteed. The value of your investments may go down as well as up. This depends on the performance of your investment portfolio(s). You may get less than you invest. Past performance is not an indication of future performance and some investments need to be held for the long term.



The market value of the investment account is increased by:

The market value of the investment account is reduced by:



Withdrawals are allowed

You may withdraw some or all of the funds in your investment account.  When you withdraw, we will sell the equivalent value of units in the investment account. If the market value of the investment account is less than our required minimum balance after your withdrawal(s), we may require you to withdraw the remaining balance.  Such a minimum balance will be determined by us from time to time.

If you take a withdrawal and re-invest it in your tax-free investment, that re-investment will still count towards your Annual or Lifetime investment limits.

There is no tax

All investment returns in your Stash Tax-Free Investment are tax-free.  These investment returns may include dividends, interest and capital gains. Tax benefits depend on individual circumstances and may change in future.

Transfers are allowed

All transfers will be subject to the legislative and regulatory provisions applicable at that time. You will be allowed to transfer some or all of your investment to another approved product provider.

Transfers will only be processed once all required documentation has been received by Liberty and within 10 business days after your request for that transfer.

No transfers will be accepted during the last 10 business days of any tax year.

No transfers shall be permitted where there are more than two transfer requests made by you in the same tax year, for this investment.

Failure by the receiving approved product provider to provide all the necessary documentation and/or to process the transfer request timeously will result in the transfer request being cancelled and will require a re-submission of the transfer request to be sent to Liberty

How does the administrative process work?

Your authorised representative will need to notify us of your death and complete a death claim form which can be accessed via help@stash.co.za and submitted to us.

The notification should include:

The proceeds will be paid to your estate on condition that the notification of death is accepted by us as confirmation of your death.

What is the value of the proceeds?

When you die, the amount that will be paid out will be the market value of your investment account as at the date of the finalisation of the death claim when all requirements have been met

Loans and cessions are not allowed

You may not take out a loan on security of the investment account. You may also not cede the Investment to a new policyholder (Outright Cession) or as security (Security Cession).

What are your rights and responsibilities?

Register for the App

You must register for the App by giving us permission to access your personal information and by following the prompts displayed after you have downloaded the App onto your phone.

When you register, you must create an Account for the secure use of the App.

Provide all instructions in the prescribed format to us.

All instructions are subject to:

You warrant that:

Provide us with accurate information

You must ensure that all information, instructions and supporting documents that you provide to us are true and accurate. Your failure to maintain accurate, complete, and up-to-date investment account information, including having an invalid or expired payment method on file, may result in your inability to use Stash.

Unless otherwise permitted by us in writing, you may only possess one tax-free investment with us.

You guarantee that all information given to us at any time is complete and true. Information that affects our decision to provide benefits is known as material information.

Where you provide us with Personal Information of a third party, you guarantee that such third party has given you consent to provide us with his/her Personal Information.

Where any material information, including your Personal Information, is not fully disclosed or is found to be untrue, we may decide to cancel the investment and/or not to pay any claims or benefits.

Monitor your portfolio(s)

You are responsible for regularly reviewing the portfolio(s) in your investment. You must regularly review whether the Stash Tax-Free Investment remains appropriate for your circumstances.

Report errors

You have 14 days after you receive the investment confirmation or any statement to report any errors to us.

Keep your Stash secure

You are responsible for all activity that occurs under your investment, and you agree to always maintain the security and secrecy of your Stash PIN.

You agree that your chosen Stash PIN will only be used for your own personal use and will not be disclosed to any other person/s, and that you will not enable any other person/s to otherwise access your Stash PIN or this investment.

You shall keep  your Stash PIN secure and confidential at all times and you indemnify us against any loss, damage or expense you suffer, or third party claims you face which arise in relation to your having failed to do so.

If you fail to enter the correct PIN after a certain number of consecutive attempts, then your Stash may be locked as an anti-fraud measure.

If your cellphone is lost or stolen or if you suspect someone has gained unauthorised access to your Stash, you must contact us immediately at help@stash.co.za or at 0860 456 789. In order to take any action, you will need to provide certain information so we can verify your identity.

Notify us of changes to bank or contact details

You need to inform us of any changes to your bank or contact details, including your postal and email address, and provide supporting documents where appropriate. Where we are unable to trace you based on the last available details on file, we will use your personal information to trace you. You can notify us at help@stash.co.za.

Cancelling your Stash Tax-Free Investment

You have the right to cancel the investment by written notice to us at help@stash.co.za within 31 days (the ‘cooling-off period’) of receiving your investment summary.

You will receive your investment contributions less any market losses, any applicable charges incurred until the date we receive your instruction. You will not receive any interest or any allocation enhancements or investment growth.

You may not cancel the investment if you have made a withdrawal during the cooling-off period.

Check that the instruction is correct

Once you submit the instruction, it cannot be reversed. We are not responsible for any loss you suffer if you enter the incorrect details for the instruction. We will act on instructions that appear to have been sent by you.

What are our responsibilities?

Pay proceeds

When you withdraw some or all of the units in your investment account, payment will be made to the connected bank card.

All proceeds will be paid from South Africa in South African Rands, to the most recent connected card from which the money was taken.  All payments will be made in accordance with the laws of South Africa.

Communicate with you

We will communicate with you regularly via SMS, email or the App.

Confirm changes

We will confirm changes to the investment details.

Process instructions

We will process your instructions subject to the timelines applicable at the time of the instruction. Pricing takes place at the close of each business day.

Reinvest income distributions

Any income distributions made within the investment portfolio in your investment will be reinvested automatically.

Accept or reject instructions

We may accept or reject your application or subsequent instructions. We may also reverse a transaction, if the circumstances justify it. If we do, we will notify you.

Process information

We will process information as permitted by law. We will keep your Personal Information confidential, secure and only for as long as is required by law or prescribed in accordance with our Privacy and Security Statement.

What can we do that will affect your investment?

Amend the terms and conditions

We may amend the terms and conditions of the Stash Tax-Free Investment from time to time. These amendments will be available on www.stash.co.za.

We won’t reduce the rights and benefits that you have under your investment, except where the amendment is due to a change in:

We may decide to close this investment if it becomes economically unviable to administer. If this happens you will need to transfer your investment to another provider. We will let you know at least 30 days in advance should this happen.

Ring-fence your investment

We may delay the processing of transactions of any kind, including the payment of benefits, if:

We will ensure that you are notified of any such delay in the transactions or payment of benefits. Any transactions or payments of benefits will be implemented at the applicable sell unit price of the relevant portfolio at the actual process date.

Things beyond our control

Should we be prevented from carrying out any of our obligations in terms of this investment because of things beyond our control (‘Force Majeure’), we will notify you of the circumstances and nature of the Force Majeure as well as the estimated duration and extent to which our performance is made impossible.

Under such circumstances, our obligations under the investment will be suspended until the circumstances causing the Force Majeure end and we will not be liable to you for any damages whatsoever caused to you due to our inability to perform its obligations in terms of the Investment.

Force Majeure includes, acts of God, acts of the State or Government, total national electricity failure, exceptionally adverse natural disasters, riot, insurrection, sanctions, sabotage, terrorism, political or civil disturbance, war, boycotts, embargo, strikes, lock-out, shortages of labour or materials, material delays in public transport or any similar circumstances beyond our reasonable control.

General

The invalidity, illegality, or unenforceability of any of the clauses in these Terms will not affect the validity, legality, and enforceability of the remaining clauses of these Terms.

Contact us

If you have any questions about the Stash Tax-free Investment you can email us at hello@stash.co.za.

You can complain

We take customer satisfaction seriously which is why you should complain if, for any reason, you’re unhappy.

If you are unhappy, email us at help@stash.co.za or call Liberty on 0860 456 789.

If your complaint is not resolved to your satisfaction, call the Liberty Customer Relations Department

011 408 3316

relations@liberty.co.za


If we have still not resolved the escalation to your satisfaction, you may refer the dispute to The Group Internal Adjudicator who acts independently and objectively

011 408 1270.

internalajudicator@liberty.co.za  


If you are still not satisfied you can contact the relevant office below to engage on the dispute.

The Liberty Group Compliance Officer

011 408 3911

Group.Compliance@liberty.co.za


The Ombudsman for Long Term Insurance

021 657 5000 or 0860 103 236

Private Bag X45, Claremont, Cape Town, 7735

info@ombud.co.za


Financial Sector Conduct Authority

012 428 8000

PO Box 35655, Menlo Park

Fax 012 347 0221

info@fsca.co.za