The Savings Certificates Regulations 1991

REPAYMENT OF CERTIFICATES

Applications for repayment

6.—(1) Application for payment of the amount repayable in respect of acertificate shall (subject to the provisions of these Regulationsrelating to payment in the case of special classes of persons) be madeby the holder of the certificate in writing in a manner approved by theDirector of Savings. Where repayment is requested on a specified datethe application may not, unless the Director of Savings otherwiseagrees, be made more than two months before that date. Unless theDirector of Savings otherwise directs or agrees any application forrepayment shall be made to the Savings Certificate and SAYE Office,Durham.

(2) In the case of a multiple certificate, an application may be madefor repayment in respect of any number of the unit certificatesrepresented by the multiple certificate.

(3) The holder of a certificate, being a person who has attained the ageof seven years, may, subject to the approval of the Director of Savings,authorise any person to apply for or receive on his behalf the amountrepayable in respect of the certificate.

Repayment warrants

7.—(1) Every payment of an amount repayable in respect of a certificateshall be made by a warrant except to the extent that the Director ofSavings otherwise directs or the applicant for the repayment requeststhat all or part of the amount repayable be used to purchase anothercertificate or a National Savings Capital Bond and the Director ofSavings consents thereto; and accordingly in the absence of such requestor direction every application for payment of any such amount shall betreated as implying an authority to him to issue a warrant for thatamount and to pay it in accordance with the terms of the warrant, andthe death of the person who made the application for repayment shall notof itself determine such authority; but if the Director of Savingsreceives notice that the applicant has died or has countermanded suchauthority, the Director of Savings shall not issue the warrant or, if ithas already been issued, shall take all reasonable steps to stop paymentthereof.

(2) The provisions of section 76, subsections (1), (3), (4) and (5) and,so far as it relates to crossed cheques, subsection (6) of section 77and sections 78, 79, 80 and 81 of the Bills of Exchange Act 1882(1) (which relate to crossed cheques) and of sections 3 and4 of the Cheques Act 1957(2) (which relate to unindorsed cheques as evidence ofpayment and to the protection of collecting bankers) shall apply to anycrossed warrant issued under these Regulations as if the warrant were acheque drawn on the Director of Savings by the officer issuing thewarrant, but nothing in these Regulations shall make any such warrantnegotiable.

(3) An uncrossed warrant shall not be paid until the receipt for theamount thereby payable has been duly signed by the payee or by someperson authorised by the payee to receive payment:

• Provided that, where such a warrant is paid to a person purportingto be the payee or to be a person authorised by the payee to receivepayment, then, notwithstanding that the receipt on the warrant wassigned by some person being neither the payee nor a person soauthorised, the making of the payment shall be a full discharge to theTreasury and to the Director of Savings for the amount thereof, if it isshown that the payment was made in good faith and without negligence,and that the making of the payment is attributable to some act oromission on the part of the holder of the certificate to which thewarrant relates or on the part of the payee or the person soauthorised.

(4) Notwithstanding anything in paragraph (3) above, where an uncrossedwarrant for the amount repayable in respect of any certificate is madepayable to the holder of the certificate, it may be paid to anotherperson who signs the receipt on the warrant and forthwith reinvests theamount of the payment in certificates in the name of the holder of therepaid certificate; and the making of the payment shall be a fulldischarge to the Treasury and to the Director of Savings for the amountthereof.

(5) Except where the Director of Savings otherwise directs, a warrantshall not be paid until the certificate in respect of which therepayment is to be made has been delivered to the Director of Savings.

(6) An uncrossed warrant shall be payable at the place named in thewarrant or otherwise in accordance with the directions containedtherein. The Director of Savings may dispatch the warrant to such place,and where he does so shall dispatch a notice informing the payee that hehas done so.

(7) For the purpose of determining the amount repayable in respect of acertificate, the payment of the amount repayable thereunder shall bedeemed to be effected on the date appearing on the warrant.

(8) Subject to paragraph (9) below, the date appearing on the warrantshall, unless the holder has requested a later date, be not more than 21days from the date on which application for payment of the amountrepayable in respect of a certificate is received by the Director ofSavings in accordance with regulation 6(1) above; and where the holderhas requested that the warrant be dated with a later date, the dateappearing on the warrant shall be no later than that date save that theDirector of Savings may set a different date (being not more than 10 days after the requested date) if, having regard to the terms on which the certificate was issued, he is satisfied that such different date would be in the interests of the holder.

(9) If the Director of Savings is satisfied that it is or was notpracticable to dispatch the warrant in time to enable payment thereof tobe made on a date within paragraph (8) above, then the date appearing onthe warrant shall be no later than the earliest date by which he issatisfied it would be practicable for the payee to obtain paymentthereof. In this paragraph the expression“payment” in relation to a crossed warrant shall include paying in thewarrant at a bank or other institution.

(10) Paragraphs (7), (8) and (9) of this regulation shall apply and bedeemed always to have applied to all certificates, purchased and notrepaid before the coming into force of these Regulations, provided thatin respect of certificates purchased and not repaid before 11 February1991 the date appearing on the warrant shall not be a date which wouldresult in the amount repayable being less than the amount that, havingregard to the date on which the warrant is dispatched, would have beenrepayable if the Savings Certificates (Amendment) Regulations 1991(3) (which came into force on 11 February 1991) had not comeinto force in respect of such certificates.

(11) The posting of—

(a) a warrant, or

(b) the notice referred to in paragraph (6) above, where in accordancewith that paragraph an uncrossed warrant is dispatched to the place atwhich it is payable,

to any person at the last address furnished to the Director ofSavings shall, as regards the liability of the Treasury or the Directorof Savings, be equivalent to the delivery of the warrant or notice tothat person.

Amount repayable when proceeds reinvested

8.  For the purpose of determining the amount repayable in respect of acertificate where repayment is not made by warrant because the proceedsare used to purchase another certificate or a National Savings CapitalBond, the payment of the amount repayable shall be deemed to be effectedon the date entered in the records kept by the Director of Savings asthe date of such purchase.

Repayment in case of persons under 7 years of age and mentallydisordered persons

9.—(1) Subject to the provisions of this regulation, no repayment shall bemade in respect of a certificate held by a person under the age of sevenyears.

(2) An application for repayment in respect of a certificate held by amentally disordered person shall be made by his receiver.

(3) Where it is shown to the satisfaction of the Director of Savingsthat any person holding, or having an interest in, a certificate is aperson under the age of seven years, the Director of Savings may, if hethinks fit, pay the whole or any part of the amount repayable in respectof the certificate to any person who satisfies him that he is a properperson to receive payment.

(4) Where it is shown to the satisfaction of the Director of Savingsthat any person holding, or having an interest in, a certificate is amentally disordered person for whose estate no receiver has beenappointed, the Director of Savings may, if he thinks fit, pay the wholeor any part of the amount repayable in respect of the certificate to anyperson who satisfies him that he will apply the payment for themaintenance or otherwise for the benefit of the mentally disorderedperson.

Repayment in case of certificate held by persons jointly

10.—(1) Application for payment of the amount repayable in respect of acertificate held in the names of two or more persons as joint holdersshall be made by all those persons or, in the case of the death of oneor more of them, by the survivors:

• Provided that—

  (a)

  where one of any joint holders of a certificate, being atrustee for the other or others of them, becomes bankrupt or a mentallydisordered person, the application may be made by the other or others ofthem without the concurrence of the trustee in bankruptcy or thereceiver, if any, and the Director of Savings, if he thinks fit, may,without any such concurrence, pay the amount repayable in respect of thecertificate in the same manner as if the trustee in question were notone of the holders of the certificate; and

  (b)

  where one of any joint holders of a certificate is the PublicTrustee, the application may be made by him alone and the Director ofSavings shall pay the amount repayable in respect of the certificate tothe Public Trustee alone.

(2) The joint holders of a certificate may authorise any person,including one of themselves, to act as their agent for the purpose ofreceiving on their behalf any amount repayable in respect of thecertificate.

Repayment to friendly societies, etc

11.—(1) Any application for payment of the amount repayable in respect ofcertificates held by a friendly society or any other body of persons,corporate or unincorporate, shall be made by that society or body in thenames of the persons specified as the persons authorised to apply forrepayment on behalf of the society or body in any direction given to theDirector of Savings from time to time by the society or body in a formapproved by the Director of Savings or, where no such direction has beengiven, in the names of such persons as the Director of Savings mayapprove.

(2) Where, in pursuance of these Regulations, any amount is repayable toany friendly society or other body of persons, whether corporate orunincorporate, a receipt for the amount may be given by any personpurporting to be an agent or officer of that society or body authorisedto receive the repayment.

Repayment in case of bankrupts

12.  Where it is shown to the satisfaction of the Director of Savingsthat a bankruptcy order has been made against any person who is the soleholder of a certificate, or that a trustee has been appointed in thebankruptcy of any such person, or that an order forthe administration inbankruptcy of the estate of a deceased sole holder has been made, theDirector of Savings may, if he thinks fit, on an application made inthat behalf by the Official Receiver or trustee pay to the OfficialReceiver or the trustee, as the case may be, the amount repayable inrespect of that certificate.

(1)

1882 c. 61.

(2)

1957 c. 36.

(3)

S.I. 1991/74.