Are Post Office Bonds Assignable?

[cosgrove80]

I was wondering if anybody could help me.

Can Post Office Savings Bonds be assigned as security against a loan?

Basically, the bank want security against a loan and the person wants to use An Post Savings Bonds as security but keep it in their name and allow the Bank to cash in the bonds if the need arises.

I hope I'm making sense as I'm asking on behalf of someone and know very little about the usual process.

Thanks for any help

 

[oldtimer]

No. The only person who can cash Post Office Saving Bonds is the person named as the holder.

 

[LDFerguson]

No. The only person who can cash Post Office Saving Bonds is the person named as the holder.

Are you sure? Banks will sometimes take an assignment or lien over other forms of investment, such as deposit accounts, managed fund policies etc. The original investment will have been set up so that only the investor can cash it in, but the investor signs a Deed of Assignment that effectively over-rides this if the bank need to call on their security.

I don't see why Post Office Savings Bonds would be any different.

 

[cosgrove80]

Thanks for the replies.
You are correct oldtimer, Savings Bonds aren't assignable.

Accord to the information booklet in the Post Office, Savings Bond can not be assigned or otherwise transferred. The only exception is that if the owner passes away and the other party is legally entitled to them.