Question
I have received an Anniversary Certificate from AVIVA. If I do nothing will this product be re invested for another period or will AVIVA pay out the value of it. Please advise.Answer
It really depends on what product you own and exactly what certificate you have.
If you own an investment bond, perhaps with-profits, then it’s rare for there to be a fixed maturity date (unless you have a guaranteed income bond). So the certificate is likely to be an annual ‘chargeable event’ certificate outlining any tax liability you may have – perhaps resulting from withdrawals you might have made in excess of the ‘5%’ annual allowance (for more details read our insurance investments page). If the certificate relates to a with-profits bond then check whether Aviva is offering the opportunity to surrender the bond without applying a ‘market value reduction’ (MVR). If so, it might be an opportune time to get out as you’ll escape this penalty if it would otherwise apply.
If you have an endowment then it may be coming to maturity, but you’d expect to receive details of this from Aviva, not simply an annual certificate.
I suggest checking the name and type of product that this relates to and if you enter that below in the comments section I can take another look.
I have received an Anniversary Certificate from AVIVA. If I do nothing will this product be re invested for another period or will AVIVA pay out the value of it. Please advise.Answer
It really depends on what product you own and exactly what certificate you have.
If you own an investment bond, perhaps with-profits, then it’s rare for there to be a fixed maturity date (unless you have a guaranteed income bond). So the certificate is likely to be an annual ‘chargeable event’ certificate outlining any tax liability you may have – perhaps resulting from withdrawals you might have made in excess of the ‘5%’ annual allowance (for more details read our insurance investments page). If the certificate relates to a with-profits bond then check whether Aviva is offering the opportunity to surrender the bond without applying a ‘market value reduction’ (MVR). If so, it might be an opportune time to get out as you’ll escape this penalty if it would otherwise apply.
If you have an endowment then it may be coming to maturity, but you’d expect to receive details of this from Aviva, not simply an annual certificate.
I suggest checking the name and type of product that this relates to and if you enter that below in the comments section I can take another look.
Read this Q and A at http://www.candidmoney.com/questions/question200.aspx
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