Making a regular contribution into a beanstalk account is a great way to build a lump sum for your kids or yourself as your savings grow over time without having to put in a large amount all in one go.
If you put £30 a month (which is the average monthly contributions that Beanstalk users set for their kids) then in 10 years, you could end up with over £4,600 if your investments grew at 5%.
Regular contributions can also benefit from something experts call “pound cost averaging”. It won’t always work but as the stock markets can fluctuate a fair bit in the short term, investing gradually means you may average out these fluctuations as opposed to investing one lump sum where you might hit a good time or bad time to buy.
Setting up a regular contribution is easy
- Click on tools on the app menu and then tap 'Regular contributions"
- You will see all the accounts that you have open and the current regular contribution
- Click 'MAKE CHANGES' and you can enter a new monthly amount or amounts, click 'SET NEW' and 'CONFIRM' and that is it.
We collect regular monthly contributions by Direct Debit on or shortly after the 18th of the month. Whenever you make a change to a regular contribution, we will confirm the change to you via email 7 days before the contribution is collected.
How do I cancel regular contributions?
By far the easiest way to cancel a regular contribution is in exactly the same way. Go to the regular contribution tool, click make changes and set the value to £0.
We will stop collecting the monthly contribution but please make sure you make the change by the 11th of the month to stop collection in that month.
You can always start again or change how much you want collected in exactly the same way.