Freetrade JISA Terms

1. About these JISA Terms 

1.1 If you are the Registered Contact of a Freetrade JISA, these JISA Terms will form part of the legally binding agreement between you and us in respect of your Freetrade JISA. By opening a Freetrade JISA, you are appointing Freetrade to be the JISA manager of your Freetrade JISA in accordance with the ISA Regulations. In these JISA Terms ‘you’ means the Registered Contact unless the context requires otherwise.

1.2 These JISA Terms apply to your Freetrade JISA in addition to the general Terms and Conditions. If these JISA Terms say anything that is inconsistent with the general Terms and Conditions, these JISA Terms will apply.

1.3 Some of the words used in these JISA Terms are capitalised. They have a special meaning which is set out in section 11 below or in Part E of the general Terms and Conditions.

1.4 These JISA Terms will always be available on our website, and you’ll be able to download or print them. 

1.5 These JISA Terms will come into force once you have agreed and signed up to the Freetrade JISA declaration form. 

1.6 You should read these JISA Terms carefully before agreeing to them. If there’s anything about your agreement with us that you’re unsure about, you can email us at hello@freetrade.io 

2. About your Freetrade JISA 

2.1 The Freetrade JISA is a Stocks and Shares JISA which we, Freetrade, operate as JISA manager in accordance with the ISA Regulations. 

2.2 As long as the Freetrade JISA is valid under the ISA Regulations, it will be exempt from UK capital gains and other taxes that would otherwise be payable on profits from price increases and income derived from Investments in the Freetrade JISA.

2.3 We can’t guarantee that this tax treatment will remain the same, as this is dependent on the tax rules and law. If this tax treatment does change, we’ll notify you as soon as reasonably practicable to explain any impact on the Freetrade JISA. 

2.4 You, as Registered Contact, will hold the Freetrade JISA on behalf of the Named Child  for whom you hold parental responsibility. 

2.5 The Named Child is the beneficial owner of the Investments/cash held under the relevant Freetrade JISA. 

Applying for a Freetrade JISA

3.1 In addition to meeting the eligibility requirements that apply to all Freetrade accounts and are set out in section 7.1 of the general Terms and Conditions, in order to open a Freetrade JISA on behalf of the Named Child, you must, as Registered Contact:

1. have a Freetrade GIA with us; 

2. have a Plan which entitles you to have a Freetrade JISA; and 

3. have parental responsibility for the Named Child, and provide relevant documentation to prove your parental status when requested by us.

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3.2 We will only open your Freetrade JISA once we have received:

1. a valid Freetrade JISA declaration form in which you have provided full and accurate information regarding you (as Registered Contact) and the Named Child, and agreement to these JISA Terms;

2. your first subscription; and 

3. where you are making a JISA transfer from another JISA provider, a valid transfer form and receipt of the relevant cash and/or Investments from your existing JISA manager. 

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 3.3 In addition to the Registered Contact eligibility requirements, the Named Child must meet the following criteria to be eligible for a Freetrade JISA:

1. be under the age of 18;

2. be born on or after 3 January 2011 or not have a Child Trust Fund (“CTF”) account;  

3. be resident in the UK, or a UK Crown Servant, or married to or in a civil partnership with a Crown Servant or a dependent of a Crown Servant; and 

4. not hold another Stocks and Shares JISA with another provider. 

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3.4 Unless you tell us otherwise or you fail to make a Subscription in each tax year, we will renew your Freetrade JISA at the beginning of each subsequent tax year. 

3.5 Where a Named Child holds a CTF, their CTF can be transferred in its entirety into a Freetrade JISA. 

3.6 If you are transferring a Stakeholder CTF into a Freetrade JISA, we can only accept a cash transfer of the relevant CTF.

Your obligations as Registered Contact in respect of your Freetrade JISA 

4.1 At all times while you have a Freetrade JISA, you must:

1. meet the eligibility requirement at section 3.1 and 3.2 above, and tell us immediately if you no longer meet them; 

2. tell us immediately if the Named Child no longer meets the eligibility requirements at section 3.3 above; 

3. not make total subscriptions of more than the overall Subscription limit for a JISA (and any other cash JISA held with another provider) in any tax year. You can obtain specific information about the applicable Subscription limit here or from the HMRC website; and 

4. not use the Investments and/or cash in your Freetrade JISA as security for a loan. 

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4.2 If at any time you do not meet the requirements in section 4.1, your JISA may be invalid under the ISA Regulations, we may no longer be able to provide you with a Freetrade JISA, and we may take certain steps in relation to your Freetrade JISA as described at sections 6.3 and 6.4 of these JISA Terms and/or sections 27, 28, 29 and/or 31 of the general Terms and Conditions. 

4.3 You must notify us if you no longer have parental responsibility for the Named Child. This is because if you no longer have parental status for the Named Child, you can no longer be the Registered Contact for the Freetrade JISA in accordance with the ISA Regulations. 

4.4 If, as Registered Contact, you no longer have parental responsibility for the Named Child, we cannot take instructions from you in relation to the Freetrade JISA. If this is the case, the Registered Contact must be replaced with someone who has parental responsibility for the Named Child immediately.  

4.5 You must ensure that the Named Child does not hold more than one Stocks and Shares JISA. If the Named Child already holds a Stocks and Shares JISA with another provider, we will not open another Stocks and Shares JISA, unless the existing account is transferred to Freetrade in its entirety. The Named Child may only hold one Stocks and Shares JISA and one cash JISA in total, in accordance with the ISA Regulations. 

4.6 There can only be one Registered Contact in relation to the relevant Freetrade JISA at any given time. 

4.7 Apart from the exceptions which apply under the ISA Regulations, the role of Registered Contact can be passed to another person with parental responsibility subject to us receiving consent from the existing Registered Contact. 

4.8 If there is a change to the Registered Contact, the new Registered Contact must:

4.8.1 meet the eligibility requirements at section 3.1 and 3.2 above in respect of their obligations as Registered Contact;

4.8.2 ensure that the Named Child meets the eligibility requirements at section 3.3 above;

4.8.3 sign up and agree to the Freetrade JISA declaration; and 

4.8.4 agree to these Freetrade JISA Terms. 

4.9 A Freetrade JISA cannot be operated under a Power of Attorney for the Registered Contact, in accordance with the ISA Regulations. 

4.9.1 You agree to supply us with any information that we request in order to ensure that your Freetrade JISA is valid at any time, in accordance with the ISA Regulations.‍

Investments within your Freetrade JISA 

5.1 The available Investments which can be held within the Freetrade JISA are subject to our discretion and may change from time to time.

5.2 If any Investments in your Freetrade JISA are evidenced by share certificates or other documents evidencing title, these will be held by us as your JISA manager or as we may direct. 

5.3 If you ask us to, we will arrange for you to:

1. receive a copy of the annual report and accounts issued by each company or relevant entity (for which we charge a reasonable fee);

2. except to the extent that your Freetrade JISA holds Fractionals, be able to attend any meetings; 

3. to vote (except that, to the extent that your Freetrade JISA holds Fractionals, we will use our reasonable endeavours to ensure that your proportional share of the vote can be taken into account); and 

4. to receive any information issued to shareholders in addition to annual reports and accounts; 

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in respect of Investments which are held in your Freetrade JISA.

5.4 Not all of the Investments that are available to buy or hold using our Services are eligible to be held within your Freetrade JISA under the ISA Regulations. We will notify you which Investments are eligible from time to time. 

5.5 Except for cash subscriptions made to the Freetrade JISA and National Savings products, the title of the Investments held under the JISA will be registered under Freetrade’s name, or under Freetrade’s nominee’s name, or jointly in one of them and the Named Child or Registered Contact. 

How we will manage your Freetrade JISA 

6.1 We will act as JISA manager of your Freetrade JISA in accordance with the ISA Regulations. 

6.2 We may delegate any of our functions or responsibilities as JISA manager to any third party, provided that we are satisfied that this party is competent to carry out those functions or responsibilities. 

6.3 You authorise us to make disclosures to HMRC in relation to your Freetrade JISA as may be required in order for us to comply with the ISA Regulations. 

6.4 Where we believe that your Freetrade JISA is invalid, we’ll notify you of this and take any steps as required or permitted under the ISA Regulations or by HMRC. If your Freetrade JISA is invalid, there is a risk that it may not be exempt from capital gains tax or income tax, as set out at section 2.2 above. 

6.5 It may be possible to repair an invalid JISA under the ISA Regulations. If we do this, we may charge you a fee to cover any reasonable costs we incur in repairing your Freetrade JISA. 

6.6 We will contact you, as Registered Contact, to provide all account statements and other correspondence regarding your Freetrade JISA. We will only accept instructions in relation to the management of your Freetrade JISA from you, as Registered Contact. 

6.7 We will use reasonable endeavours to notify you, as Registered Contact, if, for any reason, we have reason to believe or suspect that you or the Named Child fails to satisfy the ISA Regulations or if that your Freetrade JISA has become or is or may be void. 

Adding cash or investments to your Freetrade JISA

7.1 You can add cash or investments into your Freetrade JISA as set out in section 11 of the general Terms and Conditions.

7.2 Unless you transfer a JISA from another provider into a Freetrade JISA, adding cash or investments to your Freetrade JISA will be deemed a Subscription under the ISA Regulations. 

7.3 In each tax year, you can only make Subscriptions in accordance with the applicable Subscription limit for that tax year. The current Subscription limit is set out here or on the HMRC website. This Subscription limit applies across all JISAs, whatever type, held by the Named Child. 

7.4 Any Subscription made to a Freetrade JISA is treated as a gift and is non-refundable to the person who made it, in accordance with the ISA Regulations. 

JISA transfers 

8.1 In accordance with the general Terms and Conditions, we can accept and make JISA Transfers of cash and/or Investments, provided that we are satisfied this is in accordance with the ISA Regulations. 

8.2 If we receive a request from you or a new JISA Manager to make or accept a JISA Transfer and we agree to that request, then we will:

1. initiate a JISA Transfer into your Freetrade JISA within 3 business days; or

2. process a JISA Transfer out of your Freetrade JISA within 30 days, subject to sections 8.3 and 8.4.

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8.3 If you have Investments which are funds (such as an ETF or a mutual fund) within your JISA and those Investments have been suspended from dealing, then we can delay a JISA Transfer or associated sale of those Investments until 7 days after that suspension has ended. 

8.4 We do not permit partial transfers out of your Freetrade JISA, in accordance with the ISA Regulations. 

8.5 The current tax year’s Subscriptions in a JISA may only be transferred to us in their entirety. 

8.6 If you have a Treasury in your JISA that needs to be sold before it matures in order to enable a JISA Transfer out to happen within 30 days in accordance with section 8.2.2, we will facilitate the sale of that Treasury at the prevailing market price and may charge you a reasonable amount for doing so.

Withdrawing cash/investments from your Freetrade JISA

9.1 No withdrawals may be made from the Freetrade JISA by the Registered Contact or anyone else before the Named Child’s 18th birthday unless:

1. the Named Child is terminally ill and a terminal illness claim is agreed with HMRC in accordance with the ISA Regulations; or

2. the Named Child dies and we have received evidence of the death such as a death certificate which meets our reasonable requirements, except for withdrawals by us to settle any management charges due to us.

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9.2 In the event of the Named Child’s death, we cannot accept further Subscriptions into the Freetrade JISA after the Named Child’s date of death.

Conversion of Freetrade JISA to Stocks and Shares ISA 

10.1 On the Named Child’s 18th birthday, their Freetrade JISA will convert into a Freetrade ISA. The Freetrade ISA Terms will then become applicable.  

10.2 No further Subscriptions may be made into the Freetrade JISA once the Named Child turns 18. 

10.3 In advance of the Named Child’s 18th birthday, Freetrade will send correspondence to the Registered Contact to explain that their Freetrade JISA will become a Freetrade ISA. 

10.4 In advance of the Named Child’s 18th birthday, the Named Child must provide the Freetrade ISA declaration and agreement to the Freetrade ISA terms to hold a Freetrade ISA, and provide evidence of their identity (name, address and National Insurance number) in accordance with the ISA Regulations.

10.5 On conversion to an Freetrade ISA, withdrawals are permitted to be made by the Named Child. 

Definitions 

“CTF” means a Child Trust Fund. 

“Freetrade ISA” means a Stocks and Shares ISA provided by Freetrade as the ISA manager. 

“Freetrade JISA” means a Stocks and Shares JISA provided by Freetrade as the Junior ISA Manager. 

“ISA Regulations” means the Individual Savings Account Regulations 1998 (SI 1998/1870) as amended from time to time. 

“JISA” means a “junior ISA account” as defined by the ISA Regulations. 

“JISA Transfer” means either (1) a full transfer of cash and/or Investments from another JISA into your Freetrade JISA for the Named Child or (2) a transfer of cash and/or Investments from your Freetrade JISA to another JISA manager, in each case in accordance with the ISA Regulations. 

“Named Child” means the child who holds the JISA and is the beneficial owner of the cash/investments held under the JISA. 

“Registered Contact” means the person with parental responsibility for the Named Child who manages the JISA on their behalf. 

“Stocks and Shares ISA” means a “stocks and shares account” as defined by the ISA Regulations. 

“Stocks and Shares JISA” means a junior ISA account that is set up as a Stocks and Shares JISA. 

“Subscription” means an amount (whether in cash or investments) paid or transferred into your Freetrade JISA, other than a JISA transfer.