Old Mutual savings is a perfect way to save money giving you access to financing, especially for the future. Learn how to withdraw money from Old Mutual savings to prevent you from losing your funds out of ignorance.
If you are saving on Old Mutual, you can withdraw cash from an Old Mutual ATM or any other SASWICH ATM. It is safer and saves you extra charges when you withdraw from these platforms as a withdrawal at another bank’s ATM will cost more than a withdrawal at an Old Mutual ATM.
Before you make a withdrawal, carefully go over the policy. For instance, the maximum loan amount allowed by Old Mutual is 90% of the value of the policy. Within the first five years, no part-withdrawals are allowed. After five years, money can be taken out of the savings policy. However, customers can apply for an interest-free loan against a policy. There could be other conditions that apply to some Old Mutual endowment policies so it’s best you look before you leap.
How to Withdraw Money From Old Mutual Savings
- Withdrawals from the Short-Term Pocket of the 2-in-One Savings Plan:
a. Instruct Old Mutual Investment Administrators (Proprietary) Limited (OMIA) to withdraw the requested amount from the Short-Term Pocket of your 2-in-One Savings Plan.
b. Where your funds are invested in different unit trust funds, the requested amount will be withdrawn evenly from all funds. You authorize OMIA to pay the withdrawal amount to Old Mutual Life Assurance Company (South Africa) Limited (Old Mutual).
c. Old Mutual will then pay the withdrawal amount into your bank account.
d. Note that the first two withdrawals per calendar year are free of charge, after which a transaction charge will apply.
d. The withdrawal will be processed and paid into your bank account within a maximum of 7 days of accepting these terms, provided all required documents are received.
e. Where your funds are invested in different investment funds, the requested amount will be withdrawn evenly from all funds.
- Withdrawals from your Tax-Free Plan
a. The procedure is the same as above with the following additions:
b. Due to the annual limit that applies to the number of contributions that you can make per tax year to your investment, any amount withdrawn cannot be reinvested in a specific tax year if you have already contributed the total allowed by legislation.