# Flexible bond in a unit trust to meet cash saving requirement??



## keemnal (May 25, 2014)

Can a flexible bond be used to meet the cash saving requirement? My husband has nearly 30K in this sort of bond. It works like a savings account in that he can withdraw cash from it whenever desired. We supplied it as the cash savings portion of our application. Could it lead to problems? Thank you for your input!


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## Joppa (Sep 7, 2009)

If it stayed in the bond form, it couldn't be used for savings. The money has to be in a bank or building society current, deposit or savings account with instant access. What you should have done was to covert (liquidate) the bond and put the proceeds into a bank account at any time before the date of application (it doesn't have to stay in cash form for 6 months).


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## Pallykin (Mar 30, 2014)

The guidance also says the money can be in a 401K account or equivalent retirement account as long as the account owner has full control over it and can withdraw the money (with our without penalty).


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## Joppa (Sep 7, 2009)

Yes, but they are special type of retirement accounts and aren't relevant to the current discussion.


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## keemnal (May 25, 2014)

Joppa said:


> If it stayed in the bond form, it couldn't be used for savings. The money has to be in a bank or building society current, deposit or savings account with instant access. What you should have done was to covert (liquidate) the bond and put the proceeds into a bank account at any time before the date of application (it doesn't have to stay in cash form for 6 months).


Thank you for the reply. Unfortunately, we were not aware of this technicality and it stayed in the bond form, and now I have been told that my application is on hold. 

I emailed them back asking if we could liquidate the bond and send them the relevant documents. I hope we will be given a second chance. Have you seen this situation occur before?


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## Joppa (Sep 7, 2009)

Yes. The thing is, though, you didn't so your application was rightly put on hold. If you are going to cash it and then re-apply, you will have a chance but it means withdrawing your application first and paying again.


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## keemnal (May 25, 2014)

I know this is not strictly on topic - but once I withdraw my existing application and prepare the new application, can I send it back to the UK with my husband, who will be visiting me soon? Is it OK if he sends it from within the country to Sheffield (and even receives it back at his UK address)?


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## Pallykin (Mar 30, 2014)

He can send it, but the visa has to go to you in the US. You'll need it to come to the UK...


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## keemnal (May 25, 2014)

Thanks Pallykin, If I get the visa, my husband will be coming to the US anyway to help me move back to the UK. Since it's a second-time application I'm trying to save money where I can. I'm sure you can understand that.


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## nyclon (Apr 3, 2011)

Your husband can send the documents and application to Sheffield but documents and your visa if successful must be returned to you in the US.


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## Pallykin (Mar 30, 2014)

It states clearly that the visa has to go to the person's home country...


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## keemnal (May 25, 2014)

Thank you guys for your help. I really appreciate it.


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## keemnal (May 25, 2014)

Hi again all. I emailed Sheffield about a week ago asking if we could send them proof of the liquidated bonds for the current application (the one that is on hold). Do you think that this is not worth it. Are they going to ignore this email?


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## nyclon (Apr 3, 2011)

keemnal said:


> Hi again all. I emailed Sheffield about a week ago asking if we could send them proof of the liquidated bonds for the current application (the one that is on hold). Do you think that this is not worth it. Are they going to ignore this email?


No, because you will have liquidated after the original application. It's new information that didn't exist at the time of your application so it can't be admitted after the fact. Your only option is to withdraw your application, liquidate and reapply.


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## keemnal (May 25, 2014)

Thanks nyclon. Do you think they may not bother replying to my email to let me know what you just said? I am wondering if I should wait for a reply or just send a new email with a request for withdrawal. 

Thank you.


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## nyclon (Apr 3, 2011)

Just send a new email asking to withdraw the application.


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## Pallykin (Mar 30, 2014)

Nyclon, can the OP resubmit with updated docs right away? How many months of statements showing the cash in the account will be needed? I'm in a similar position, but waiting for some other things to fall in place before liquidating and applying.


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## nyclon (Apr 3, 2011)

The OP's application is on hold. To reapply they must first withdraw. Their original documents will be returned to them and a good portion of those documents will be needed to submit with the new application.


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## keemnal (May 25, 2014)

Pallykin said:


> Nyclon, can the OP resubmit with updated docs right away? How many months of statements showing the cash in the account will be needed? I'm in a similar position, but waiting for some other things to fall in place before liquidating and applying.


Hi Pallykin

The bonds do not need to be liquidated for the entire 6 months but you need to show proof they were under your control for six months.


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## nyclon (Apr 3, 2011)

Yes, keemnal is right. All you need to do is liquidate before application and have proof that the funds are in an accessible account. So, as soon as you can get an original statement showing the money in an acceptable account, you can apply.


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## Pallykin (Mar 30, 2014)

Thanks. One less thing to worry about...


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## keemnal (May 25, 2014)

nyclon said:


> Just send a new email asking to withdraw the application.


Might you know how long they typically take to reply to emails? It's been five working days since I emailed them asking to withdraw. Thanks.


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