An investor may make a withdrawal of his/her capital balance after 12 months from the settlement date, by submitting an application to the National Treasury on the prescribed application form. Copies of the prescribed application form can be obtained from the National Treasury or can be downloaded from the RSA Retail Savings Bonds website at www.rsaretailbonds.gov.za. Should you wish to withdraw a portion of the capital amount invested, the capital balance MUST NOT be less than the amount stipulated on the Terms and Conditions of the product, after the withdrawal. Investors will have to decide whether to withdraw the entire capital balance or not to effect the early withdrawal.
Interest on the withdrawal amount since the previous interest payment date will be calculated and paid on the withdrawal date. However, a penalty is imposed on the withdrawal amount. The penalty is equal to approximately one interest payment on the early withdrawal amount and will be deducted from the withdrawal amount before being repaid to an investor. Where an investor has elected to reinvest their interest, the penalty on partial withdrawals will be deducted from the capitalised interest.
Payment of the withdrawal amount, less the penalty, shall be made into the designated bank account within 7 business days of the date of receipt of the duly completed withdrawal application form for investments older than a year. Investors may not instruct the National Treasury to credit any third party account.
Investors may be allowed to withdraw a portion or the entire investment, within the first 12 months of the settlement date, only on the grounds of extraordinary changes in personal circumstances. In such an event, investors must submit the prescribed early withdrawal form to the National Treasury, setting out the particulars of such extraordinary changes in circumstances that compel the investor to effect such withdrawal. The National Treasury reserves the right, within its sole and absolute discretion, to grant or refuse the request. Should the request be granted, the penalty for withdrawal prior to the expiry of 12 months from the settlement date shall be a total forfeiture of all interest received on such withdrawal, which amount shall be set-off against that portion of the amount being withdraw.
Payment of the withdrawal amount, less the penalty, shall be made into the designated bank account within 15 business days of the date of receipt of the duly completed withdrawal application form for investments younger than a year.