This browser is no longer supported. Please update your browser to the latest version.

Scheduled Maintenance Notification: Tuesday17th May 2.30pm to 3.00pm (AEST)

During this time you may not be able to access your financial records. Thank you for your patience and understanding.

Close
Futurity Logo Futurity Logo
FAQS
  • EdSaver

    EdSaver

    Futurity’s EdSaver is designed to help you save and invest for your family’s future education expenses.

    Learn More
    • EdSaver
    • What is an Education Bond
    • Tax Benefits
  • Education Bonds

    Education Bonds

    Explore our flexible, tax-effective Education Bond range

    Learn More
    • Education Bonds
    • Bond Products
    • Investment Strategy
    • Investment Options
    • What is an Education Bond
    • Tax Benefits
    • Cost of Education Calculator
  • Education Loans

    Education Loans

    Short term loans to help keep private school fees on track

    Learn More
    • Education Loans
    • For school administrators
  • Financial Advisers

    Financial Advisers

    Futurity can help your clients achieve education, wealth and estate planning goals

    Learn More
    • Financial Advisers
    • Financial Adviser Resources
    • Financial Adviser News
  • Insights
  • About Us

    About Us

    Read more about our mutual structure, our history and our passion for education

    Learn More
    • About Us
    • News & Publications
    • Contact
    • Governance
    • FAQS
Apply

Apply

Our streamlined process makes applying for our Education Bonds, EdSaver or Loans easy

  • Apply for EdSaver
  • Apply for Education Bond
  • Apply for Education Loan
  • Education Bond via Financial Adviser
Submenu Arrow

Login

Login to access Education Bond and Loan details  

  • Borrower
  • Investor
  • Financial Adviser
  • Log out
  • My Account

Session Timeout

Sorry, your session has expired. Please log back in to continue.

FAQ

Frequently asked questions

  1. Welcome to Futurity
  2. About Us
  3. FAQS

About Futurity

How does Futurity advocate on behalf of its members?

We represent members’ education interests by creating awareness of and stimulating debate on education issues of importance to our members, such as the cost of education and on increasing the choice, accessibility and affordability of education across Australia.

We collaborate with credible researchers to publish insightful research on matters of interest to our members and stakeholders, and by representing our members via actively lobbying and making submissions to authorities with the power to influence education policy decisions.

How is Futurity connected to ASG?

Futurity is ASG transformed. After 45 years of successfully supporting the education journeys of more than half a million children across Australia and New Zealand, we are Australia’s leading issuer of tax-effective education bonds and remain true to our proud history as an education-purposed mutual organisation.

What does Futurity mean?

Futurity signifies “future” and “security”. It reflects our aspiration as Australia’s leading issuer of tax-effective education bonds.

What is meant by “Futurity is a mutually-structured institution?”

We are an education purposed, member-owned organisation based on the principle of mutuality. As a mutual we are owned by our 75,000 members, rather than shareholders, and we seek to create and distribute value for our members in the form of mutual dividends.

Which causes are supported by Futurity?

We support education through our community initiatives such as the National Excellence in Teaching Awards and by being a proud partner of The Smith Family’s Learning for Life program.

Who regulates Futurity?

Futurity is subject to the regulation and oversight of the Australian Prudential Regulation Authority and the Australian Securities and Investments Commission.

EdSaver

Are my investment returns guaranteed?

No - when considering investing into an EdSaver, it is important to understand that:

  • investment returns can go up and down
  • future returns may differ from past returns
  • returns and net contributions are not guaranteed and will vary
  • you may get back less than what you paid in.

Can I add or change an Education Beneficiary?

Yes, you have wide discretion to appoint and remove Education Beneficiaries as you choose.

Can I change my Bond Term?

Yes.



Your EdSaver is initially established with a Bond Term of 99 years but you may change this at any time.

Your Bond Term can be set at:

  • a specific number of years (up to 99),
  • upon your death, or
  • a specified period after your death (eg 5 years after death).

Can I draw money from my EdSaver for non-education related purposes?

EdSaver is highly flexible and can cater to a range of lifelong expenses.



Education related drawdowns receive a special taxation benefit called the Education Tax Benefit. However, you can access funds for other purposes and may still achieve desirable tax outcomes. When a withdrawal is made for non-education related expenses, advantageous Investment Bond rules will apply.



We recommend that prospective Bond Owners seek independent taxation advice.

Do I need to appoint an Education Beneficiary?

You do not need to appoint an Education Beneficiary to establish an EdSaver, however, you must appoint one or more beneficiaries prior to making an Education Benefit Claim.

Is there a cooling off period? Are there any exit fees or other consequences?

There is a cooling off period of 14 days from the first to occur of either, receipt of your Confirmation Certificate or 5 days after we issue your Bond should you change your mind regarding the investment. You will receive your funds back at the current unit price including any fees that were payable (initial advice and/or stamp duty).

Is there an age limit for my Education Beneficiary?

No, the wide classes of Education Beneficiaries, including yourself, can be any age. You can even establish a Bond for not yet born children.

What education expenses are covered?

EdSaver can provide funding for a full spectrum of lifelong eligible education courses ranging from Pre-School right through to adult education. Courses can be Australian and international courses, including full-time, part-time, and a whole range of other ways of studying.



The range of related expenses covered extends well beyond course tuition fees. You can also claim additional add-on expenses such as travel, cost of living away from home, uniforms, books, electrical devices, and much more.

What Estate Planning features are available within an Education Bond?

Once your EdSaver has been established, you can take full advantage of all the Estate Planning features available to ensure your investment is treated in line with your wishes.



The Bond Estate Nomination feature ensures the proceeds of your EdSaver are paid to your Bond Estate Nominees if you die (and are the last surviving Life Insured) before the end of the Bond Term. This ensures that benefits pass to them outside of a Will and without going through the normal probate and estate procedures. Bond Estate Nominees can be changed at any time.



A Future Activated Transfers allows you to have the ownership of your EdSaver transferred to another party (such as a child or grandchild) upon your death or certain period after your death. The Transferee receives full ownership in its tax-advantaged state.



Alternatively, a Bond Guardian can be appointed to act on your behalf in the event of death, legal, physical or mental incapacity. The role of the Bond Guardian is to ensure that the original intentions for the EdSaver are carried out and must act in the best interest of the beneficiary. You can elect for the Guardian to have either restricted or full powers.

What features are available once I have set up an EdSaver?

Once established, you have the flexibility to:

  • change your ongoing Savings Plan amount/frequency and make additional lump sum investments;
  • switch Investment Options across the entire menu;
  • add or remove beneficiaries;
  • make education claims or other withdrawals at any time;
  • set up Estate Planning strategies such as bond transfers, distribution of funds upon death, or guardianship (refer Estate Planning questions for more details); and
  • change bond term, transfer bond ownership, add additional Life/Lives Insured or appoint a representative to act on your behalf.

These features are all immediately available via simple forms on our Investor Portal. We will also provide you with more information about how to make the most of your EdSaver through ongoing communications.

What happens if Education Beneficiaries complete their education and there are still funds left in my EdSaver?

If there are still funds left after all education claims have been finalised, you can either nominate a new Education Beneficiary or continue to make Other Withdrawals for non-education purposes.



You can also close and fully withdraw at any time.

What is the role of the Life/Lives Insured?

This is the person or multiple persons whose death triggers the closure of the EdSaver and distribution of benefits.



Your EdSaver is set up with you, the Bond Owner(s), as the default listed Life/Lives Insured. Other persons, such as beneficiaries can be added as a Life Insured at any time but a Life Insured cannot be removed from the Bond once appointed.

Education Bonds

Are my investment returns guaranteed?

No - when considering investing into a Futurity Education Bond, it is important to understand that:

  • investment returns can go up and down
  • future returns may differ from past returns
  • returns and net contributions are not guaranteed and will vary
  • you may get back less than what you paid in.

Are there any minimum or maximum Contribution limits on Education Bonds?

A minimum Initial Contribution amount of $5,000 applies to Lump Sum plans.

For Savings Plans, you can start with an Initial Contribution of $1,000 and an ongoing Savings Plan of $200 per month. The Savings Plan can be converted to a Lump Sum plan once a total Bond value of $5,000 has been reached.

A maximum contribution limit of $600,000 per Education Beneficiary applies to each Individual Education Bond. Higher limits apply to Family Education Bonds.

Can I change an Education Beneficiary?

Yes, with a Family Education Bond you have wide discretion to appoint and remove Education Beneficiaries. For an Individual Education Bond you can replace the Nominated Education Beneficiary at any time.

Can I change my Bond Term?

Yes, this can be done at any time. You can change the duration of your Bond Term whether a set number (up to 99) years, or set to end on the death of the Bond Owner or a specified period after such death.

Can I draw money from a Bond for non-education related purposes?



Futurity Education Bonds are highly flexible and can cater to a range of lifelong expenses.

Education related drawdowns receive a special taxation benefit called the Education Tax Benefit. However, Bond Owners can still access funds for other purposes and may still achieve desirable tax outcomes. When a withdrawal is made for non-education related expenses, advantageous Investment Bond rules will apply.

We recommend that Bond Owners and prospective Bond Owners seek independent taxation advice.

Do I need to nominate an Education Beneficiary?

You do not need to nominate an Education Beneficiary to establish a Bond, however, you must nominate or make appointment of beneficiaries prior to making an Education Benefit Claim.

How are distributions from the underlying funds paid?

Futurity Education Bonds are Tax-Paid investments meaning that we pay the tax on the Bond Owner’s behalf. There are no annual distributions paid to you as all earnings are included in the Bond’s growth and reflected within daily calculated unit price.

How are the Bonds taxed?

Education Bonds are Tax-Paid investments - meaning throughout a Bond’s entire investment term, Futurity pays tax annually on behalf of you as Bond Owners. This tax is nominally stated at 30%, but much lower effective fund tax rates apply to most Investment Options.

How can I offset the risk of rising cost of education?

You can use our Savings Escalator feature to increase your Savings Plan amount each year. You can select a rate between 0% and 25%, helping your Contributions keep pace with inflation.

How is an Education Bond different to an Investment Bond?

One of the distinct advantages of Education Bonds over Investment Bonds, is a special taxation benefit called the Education Tax Benefit.

The Education Tax Benefit is received when Education Benefit Claims are made from the Bond’s Earnings Component and represents a refund of the tax already paid by Futurity on the Bond’s investment earnings. This benefit is equal to $30 for every $70 withdrawn from the Earnings Component. Education Benefit Claims are tax assessable in the Education Beneficiary’s hands, rather than the Bond Owner.

These features make Education Bonds highly attractive as a flexible, tax-effective savings vehicle to fund education expenses for one or more Education Beneficiaries. The Bond Owner retains full control of their investment in case any unforeseen circumstances arise, or if they change their mind and want to use the Education Bond for non-education purposes.

Is there a cooling off period? Are there any exit fees or other consequences?

There is a cooling off period of 14 days from the first to occur of either, receipt of your Confirmation Certificate or 5 days after we issue your Bond should you change your mind regarding the investment. You will receive your funds back at the current unit price including any fees that were payable (initial advice and/or stamp duty).

Is there an age limit for my Education Beneficiary?

No, the wide classes of Education Beneficiaries, including yourself, can be any age. You can even establish a Bond for not yet born children.

What are Education Bonds?

Education Bonds are a tax-effective way for people (particularly high-income earners) to save and invest for education specific funding. These dedicated savings and investment vehicles allow you to keep your education savings separate from other investments. Importantly, these Bonds can be structured for many longer dated strategies (including for estate planning) with a term of up to 99 years able to be set.

What communications will I receive?

FAQ_Table_v3

*For Education Beneficiaries over the age of 18 only.



What Estate Planning features are available within an Education Bond?

By using the Bond’s Estate Planning Features, Bond Owner’s can ensure their investment is treated in line with their wishes.

The Bond Estate Nomination feature ensures the proceeds of the Bond are paid to your Bond Estate Nominees if you die (and are the last surviving Life Insured) before the end of the Bond Term. This ensures that Bond Benefits pass to them outside of a Will and without going through the normal probate and estate procedures. Bond Estate Nominees can be changed at any time.

Future Activated Transfers allows you to have the ownership of your Bond transferred to another party (such as a child or grandchild) upon your death as Bond Owner or certain period after your death. The Transferee receives full ownership of the Bond in its tax-advantaged state.

Alternatively, a Bond Guardian can be appointed to act on behalf of a Bond Owner in the event of death, legal, physical or mental incapacity. The role of the Bond Guardian is to ensure that the original intentions for the Bond are carried out and must act in the best interest of the Education Beneficiary. The Guardian can act with restricted or full powers as elected by the Bond Owner.

What fees are applicable?

There are no fees for establishment, additional contributions, claims/withdrawals or for exiting your Bond.



Management fees apply and consist of Futurity’s Management fee as well as investment management fees charged by Underlying Managed Funds on the Bond’s expansive investment menu. The total of these fees have a percentage impact on the net asset value of the selected Investment Options and is reflected in their unit prices.

What happens if the Education Beneficiaries completes their education and there are still funds left in the Bond?

If there are still funds left in the Bond and all education claims have been finalised, then the Bond Owner can either nominate a new Education Beneficiary or continue to make Other Withdrawals for non-education purposes. If the Bond Owner doesn’t nominate a new Education Beneficiary, you can fully withdraw funds or decide to continue holding it as an Insurance Bond with Tax Rules applying.

What is the difference between an Individual Education Bond and a Family Education Bond?

The Family Education Bond is a savings and investment structure to fund the education needs of multiple Appointed Education Beneficiaries under one flexible Bond. Up to 10 Education Beneficiaries at any one time can be appointed under a Family Education Bond.

The Family Education Bond can operate like a special education purpose Family Trust structure with the inbuilt tax effectiveness of a traditional Education Bond. You as the Bond Owner have discretion to appoint and remove from a wide field of potential Appointed Education Beneficiaries from the Family Class and/or Friends Class.

An Individual Education Bond is set up with one individual Education Beneficiary per Bond. This one-to-one structure ensures that all the Bond’s benefits are earmarked and invested for that single Education Beneficiary. This provides certainty that each Education Beneficiary’s Bond is aligned to their specific age, education goals and timeframes. There are no restrictions on the number of Individual Education Bonds that can be taken out.

Education Loans

Can an Education Loan be used to pay school fees up front to obtain the school discount?

Yes. The Tuition In Advance Loan has been designed specifically for that purpose.

Can I make lump sum repayments?

Yes, you can. There are no penalties for paying out your loan early. Please contact the team on 1300 345 456 if you would like to make a lump sum repayment.

Can I use the loan to help pay for my child’s laptop?

Yes. The Futurity Education Loans can fund any education costs listed on your school fee invoice. This could include additional costs such as music lessons, uniforms, school camps or electronic devices.

How do I apply for next year’s fees?

Your loan can continue to be used for future year's school fees subject to successful completion of your existing repayment schedule. As an existing customer, if you require a higher loan limit, you can apply for a limit increase via the Education Loans Portal.

How do I check my account details?

The Education Loans Portal provides secure access to your loan account details.

How do I pay the school?

Once your application is approved, you can access the Education Loans Portal anytime to pay your school fee invoices via BPAY®.

How is the Service Fee calculated?

The Tuition Instalment Loan charges a 3% annual Service Fee that is based on the approved loan limit.

The Tuition In Advance Loan charges a 6% annual Service Fee that is based on the loan draw down amount.

For both loans the Service Fee is applied to your loan account on your first drawdown and repaid as equal instalments over the loan term. Use our loan repayment calculator to estimate the total annual Service Fee and relevant loan repayments that would apply to your chosen loan limit and payment frequency. The details of the assumptions used when calculating the estimate can be accessed below the calculator.

What if I only want to fund some of my school fees?

We are aware that sometimes you may only want assistance with funding part of your child’s school fees. Please contact us on 1300 346 456 to discuss if we can create a tailored instalment plan.

What is a Futurity Education Loan?

We offer loans that are designed to take the pressure off paying large private school fee invoices more manageable.

The Tuition Instalment Loan helps to pay for school fees by term or semester and the Tuition In Advance Loan helps to pay for school fees annually in advance.

Either loan spreads the annual cost of your child’s tuition into weekly, fortnightly, or monthly repayments.

Who are the loans suited for?

Currently, the Futurity Education Loans can only be used to fund the costs associated with private/independent schools that do not offer a repayment plan. For assistance with the costs associated with government schools please contact the school directly as most will offer some form of financial assistance.

Why does my Futurity Education Loan have 11 monthly repayments instead of 12?

Having less than 12 monthly repayments ensures that your loan is fully repaid prior to the issue of school fee invoices for the following year.

Education Loans for Schools

Can anyone apply for an Education Loan?

Applications are generally accepted from all Australian Citizens and Permanent Residents over 18-year-old that have an income sufficient to service the repayments.

How are school invoices paid?

Once a loan is approved, customers are provided with access to the Futurity Education Loans Portal where they can view their account details. In addition, customers can draw down and pay their school fees from their loan at any time via BPAY®.



Alternative payment methods can be arranged if the school does not accept BPAY®.

How is Futurity regulated?

Futurity is regulated by the Australian Securities & Investment Commission (ASIC) and Australian Prudential Regulation Authority (APRA). Our Australian Credit Licence Number is 236665.



Our Education Loan products are regulated under the National Consumer Credit Protection Act 2009 (Cth) (NCCP) which includes the National Credit Code (NCC). Applicants for a Tuition Instalment Loan and Tuition In Advance Loan are assessed on their capacity to repay and are subject to a credit check. As part of our Responsible Lending obligations we are also required to ensure the loan itself is suitable for their needs and that they can demonstrate the capacity to repay.



Our regulatory obligations extend to adhering to the Australian Competition and Consumer Commission (ACCC) and ASIC guidelines for debt collection as well as a fully compliant Hardship policy and procedure.

How much does it cost?

The Tuition Instalment Loan charges an annual Service Fee of 3% of approved loan limit.

The Tuition In Advance Loan charges an annual Service Fee of 6% of the approved draw down amount.

The fee is applied to the loan account on first drawdown and repaid as equal instalments over the loan term.

Neither product charges an Application Fee or ongoing interest.

What happens if a parent misses their loan repayment?

Repayments to a Tuition Instalment Loan or Tuition In Advance Loan are made using a Direct Debit authority from a nominated bank account. Using the Futurity Education Loans Portal, customers can view their upcoming repayment schedule. If a scheduled repayment is not made, Futurity will contact the customer to arrange a reschedule of the missed repayment. A dishonour fee of $10 is charged to recover the cost of reprocessing the transaction.

What happens when parents are in financial difficulty?

Futurity adheres to the requirements outlined under Section 72 of the National Credit Code. We work with customers to assess their current financial circumstances and may provide a range of short to medium term solutions, including but not limited to repayment deferral or reduced repayments.

What is the Futurity Education Loans Portal?

It is a dedicated portal for parents. It gives them 24/7 access and control to manage their current loan, pay school invoices directly to the school, view their account balance, make changes to repayment schedule and also apply for a loan increase.

Which education costs do Futurity Education Loans cover?

Futurity Education Loans are designed specifically for private/independent school fees where the school does not offer a weekly, fortnightly or monthly instalment option.



They can be used to pay for any expense listed on a school invoice, including levies, music lessons, uniforms, school camps or electronic devices.



Parents can apply easily through our online application form and will hear back in two business days with a decision.

GET IN TOUCH WITH US

Invest in your Family’s lifelong education

Contact us

Futurity acknowledges and pays respect to the past, present and future Traditional Custodians and Elders of this nation and the continuation of cultural, spiritual and educational practices of Aboriginal and Torres Strait Islander peoples.


Subscribe

Stay informed with insights, market research & business news.

Please enter a valid email address.

Contact Us

1300 345 456

EdSaver
  • What is an Education Bond
  • Tax Benefits
Education Bonds
  • Bond Products
  • Investment Strategy
  • Investment Options
  • What is an Education Bond
  • Tax Benefits
  • Cost of Education Calculator
Education Loans
  • For school administrators

EdSaver
  • What is an Education Bond
  • Tax Benefits
Education Bonds
  • Bond Products
  • Investment Strategy
  • Investment Options
  • What is an Education Bond
  • Tax Benefits
  • Cost of Education Calculator
Education Loans
  • For school administrators
Education Loans
  • For school administrators
Financial Advisers
  • Financial Adviser Resources
  • Financial Adviser News
Contact Us

1300 345 456

Financial Advisers
  • Financial Adviser Resources
  • Financial Adviser News
Insights
About Us
  • News & Publications
  • Contact
  • Governance
  • FAQS
  • Privacy Policy
  • Complaints Policy
  • General Advice Disclaimer
  • Target Market Determination
  • Terms & Conditions
  • Modern Slavery Statement
  • Whistleblower Policy
  • LinkedIn

Copyright © 2022 Futurity Investment Group Ltd ACN 087648879 — All Rights Reserved



®Registered to BPAY Pty Ltd ABN 69 079 137 518


The information in this website contains general advice only and does not take into account your objectives, financial situation or needs. Before you act on any advice in this website please consider whether it is appropriate to your personal circumstances. You should also read the relevant Product Disclosure Statement and download the Application Form which are both available on our website, or you can obtain a copy by calling us on 1300 345 456.

Product issuer and finance provider is Futurity Investment Group Limited, ACN 087648879, AFSL 236665, ACL 236665.