Information for customers
Following a merger in 2023, Manchester Building Society is now a trading name of Newcastle Building Society, references to ‘our’, ‘us’, ‘we’ and ‘the Society’ refer to Newcastle Building Society. The Society is committed to remaining a mutual building society and wants to protect its members from any disruption to its business caused by speculators.
In order to achieve this, all new customers opening share accounts, as part of the account opening process, agree to assign to the Community Foundation any windfall benefits which they may become entitled to on a future conversion or takeover of the Society. The Community Foundation is one of the leading community foundations in the UK serving Tyne & Wear and Northumberland.
This agreement will last for the first five years of membership, after which it will no longer apply.
A “windfall benefit” may be paid to a member of the Society in the event of a transfer of the whole of our business to another company during a conversion or takeover transaction (this would mean we would no longer be a “mutual” organisation).
To assign windfall benefits means that you agree they will be automatically transferred to the Community Foundation, instead of being received by you as an individual.
All new members opening a savings account agree, as part of the account opening process, to assign any potential windfall benefits to charity for a period of five years. This is specifically set out within the application forms, and is also contained within the Savings General Conditions. This does not affect new members applying for a mortgage.
If you were a member of Newcastle Building Society on 1 April 1999 and have continued to be a member since that date, the scheme does not affect you. If you opened an account after 1 April 1999, the charitable assignment scheme may apply to you.
If you were a member of Manchester Building Society prior to the merger, you automatically became bound by the Society’s charitable assignment scheme at the point of merger.
If, however, you have been a member of Manchester Building Society for five years or more continuously, you will fall into one of the classes to which the Society considers it inappropriate for its scheme to apply (as set out in the FAQs within your merger booklet) or you have been a member of the Society for five or more years consecutively, the scheme does not affect you.
The agreement lasts for the first five years of membership, after which it will no longer affect you.
If you need more information please ask at your local branch or call us on 0345 604 0050.
Lines open 8:00am to 6:00pm Monday to Friday, excluding bank holidays.