Please use the Quicklinks menu below in order to navigate through the site.


Pension Fund Deposit Account 2

An interest account for an organisation’s pension funds

In detail

The Pension Fund Deposit Account 2 is designed to work alongside your existing bank or building society pension fund current account as an interest deposit account. Here are answers to some of the questions you may have:

How do I operate this account?

Once your account is open and we have your initial deposit we'll send you an information pack and operating instructions.

You can choose two banking options:

  • By telephone — If you want to operate your account by telephone you can speak to a member of our helpful and friendly customer service team on 0345 845 0829. This service is available from 8am until 6pm Monday to Friday.
  • By post — Please write to us at: Scottish Widows Bank, PO Box 883, Leeds LS1 9TY. Once you have an identification number this should be included in all correspondence, so that we can deal with your request more efficiently.

How do I make deposits?

After your initial deposit of at least £500, which can be a cheque from your pension fund current account or a Clearing House Automated Paying System (CHAPS) payment, you can add money to your account by:

  • A cheque drawn on your existing bank or building society pension fund current account.
  • Regular or occasional Direct Debit payments into your account — To collect regular or occasional transfers by Direct Debit, from your pre-advised account, we will require a completed mandate. Please note it takes three business days to set up a Direct Debit mandate and we are unable to collect funds on your behalf during that period.
    Completion of the Direct Debit mandate gives you the ability to place additional funds in your account from time to time. Then all you have to do is telephone us and — provided cleared funds are available in your current account — we can collect the money by Direct Debit with no further action required from you. Regular monthly transfers can also be arranged via Direct Debit.

    We will arrange for the payment to be sent to us on the day specified in your Direct Debit mandate, provided this is at least three business days from when we process your payment instruction. We will process your instruction the business day we receive it or, if we receive it after the cutoff time or on a non-business day, the next business day.

    We will credit your account when we receive the payment. It will earn interest from that day and we will allow you to use it straightaway.
  • Same day CHAPS (Bankers Clearing House) transfer. To arrange this:
    • Telephone our customer service team on 0345 845 0829 with the details, no later than 11.30am on the day you would like the money transferred. Please remember to tell our customer service team the date and amount of the transfer before it occurs, so that we can add funds to your account.
    • Your bank will organise the transfer from your pension fund current account into our collection account. To do this you will need the following details:

Our collection account branch sort code:

Our collection account bank:
Lloyds Bank PLC
PO Box 72, Bailey Drive, Gillingham.

Our collection account name:

Our collection account number:

Our reference:
Please quote your Scottish Widows Bank Account number as the reference for the transfer.

Please note that we can only accept deposits via the above methods. Transfers of money into your account via the bank money transmission system — such as bank giro credit or standing order — are not possible.

This is because there can be delays and identification difficulties associated with these methods that we have no control over.

How do I make withdrawals?

If you want to transfer money from your Pension Fund Deposit Account 2 to your pension fund current account:

  • You must instruct us to do so by telephone or post.
  • The minimum withdrawal is £100.
  • Transfers will be made free of charge and funds will reach your nominated account by the end of the following business day.
  • Same day transfers by CHAPS on the day of instruction can be arranged — if the instruction is received by 3.40pm — and subject to an administration charge to cover our costs.

How often is interest paid?

With the Pension Fund Deposit Account 2 interest is normally paid into your account annually or quarterly, on the first day of January, April, July and October. A monthly interest payment option is available for balances over £50,000.

Interest will be paid gross and you will be responsible for paying any tax due to HMRC.

Will I receive regular, printed statements?

You will receive a printed statement within 10 business days of any interest being added to your account, or half yearly if interest is paid annually.

Can unincorporated accounts like this be operated by more than one person?

Yes, and this means:

  • All signatories to the account are separately responsible for keeping to its terms. If any signatory does not keep to them, we can take action against the signatories either or both of you singly or together
  • We may give any information about the account to any signatory (even if you choose that all signatories must sign instructions to us).
  • If you choose to allow any signatory to authorise transactions on the account, any signatory will be able to withdraw any amount in the account (which may be without the other signatories knowledge). We will not be obliged to make any enquiries about the purpose of any transactions.
  • The account cannot later be put into just one of the signatories names, unless all signatories agree.
  • If there is a dispute between the signatories about the running of the account, we may require all signatories to authorise all transactions until you all agree how the account is to be run.

Instructions from signatories

As this is a telephone banking account, the option of more than one person to authorise all transactions on your account is not available. This is because it is not possible for more than one person to give an instruction at the same time on such a system.

What is the Direct Debit Guarantee?

The easiest way for you to deposit money in your account — on an occasional or regular basis — is via Direct Debit. The terms of the Direct Debit Guarantee are as follows:

  • This Guarantee is offered by all banks and building societies that take part in the Direct Debit Scheme. The efficiency and security of the Scheme is monitored and protected by your own bank or building society.
  • If the amounts to be paid or the payment dates change you will be told this 10 business days in advance — as agreed*.
  • If an error is made by Scottish Widows Bank or your bank or building society, you are guaranteed a full and immediate refund from your branch of the amount paid.
  • If you receive a refund you are not entitled to, you must pay it back when Scottish Widows Bank asks you to.
  • You can cancel a Direct Debit at any time by writing to your bank or building society. Please also send a copy of your letter to Scottish Widows Bank.

If the Direct Debit facility is not used over a 12 month period it may be cancelled by your bank or building society. If this happens you can download another Direct Debit mandate, which is attached to the application form. Alternatively you can call us on 0345 845 0829, 8am until 6pm Monday to Friday.

*If you wish to change the amount to be paid or the payment dates we usually require only three business days notice — which replaces the standard 10 business day notice period. For your security and protection telephone instructions will normally be recorded.

Are there any specific terms and conditions unique to this account?

The Pension Fund Deposit Account 2 is very easy to operate — whether you choose to do it by phone or post. You can find full Terms and Conditions here.