Wealthy migrants applying for UK Tier1 investor visas can secure permanent residence in the UK by investing in UK education bonds.
The Education Bond Programme is a smart way for international students to finance a UK education by investing in the UK and qualifying for permanent residency. The returns from the investment will fully pay for UK education and college fee yearly, while retaining the full investment.
The bond scheme will provide 4% return and requires one time £50,000 management fee.
The minimum subscription price is £2 million and the combined portfolio will produce a net annual income of £40,000 per million invested in Education Bond per year, before tax but after paying the Programme’s management fees. The income of £40,000 will pay for the student’s secondary school or higher-education tuition fees.
International students can achieve Indefinite Leave to Remain after the 5-year term of their investment
Lendco is a qualifying investment under the Tier Investor visa rules. The bond combines an investment into AA-Rated UK Government Bonds with an investment into asset-backed UK construction projects.
- Dependent children at the date of application who are under 18 will receive permanent residence at the same time as the main applicant, even if those children turn 18 during the Programme. f the student is over 18, the student will be the principal applicant.
- No top-up option possible under tier1 investor rules
- Set up fees are refundable at the end of the Programme and annual management fees are paid from the proceeds of investments.
The education bond scheme provides investors with two investment options
1. Stability Option
The Stability Option enables the Bondholder to allocate their £2 million investment in two parts: £1 million (50%) in United Kingdom Government Bonds with 0% interest after management fees, and £1 million in higher-yielding, secured Bonds issued by the Programme’s special lending company with 4% annual interest before tax but after paying the Programme’s management fees.
2. Opportunity Option
This option is for those Bondholders seeking a higher income, and prepared to take on a bit more risk exposure
The Opportunity Option enables the Bondholder to allocate all of their £2 million visa-qualifying investment in higher-yielding, secured Bonds issued by the Programme’s special purpose lending company with 4% annual interest so providing a total income of £80,000 a year.
Once the investors has been granted Indefinite Leave to Remain in the UK, they can liquidate their investments made through the Programme, have their capital returned and their participation in the Programme will come to an end.
