Use your child - best child savings account

Josephus_2

Hey - Lloyds TSB U19 Account offers 2.5% AER

Josephus_2

Under 19's account
Under 19's account Interest Paid Quarterly
AER % Gross % Net %
£1+ 2.50 2.47 1.98

bonkers_3

Phoenix life (Formally Brittanic Assurance) Savings plan going for 10 years through a financial and economic boom. Cashed in and made a £500 loss when i would have expected in that economic climate to have made about 30% to 50%. Would have made a shed load more by putting in normal bank account. Moral: Never trust Insurance companies, especially this one.

becky_rtw

Hi All,

I need an account for my nephew who's 1 next month that I will pay into every birthday and xmas till hes 16...so not a regular one - doesnt matter too much about interest rates but I dont want him getting at it till then (or my sister for that matter) - any ideas and what do I need to take to the bank to open a childs account??

Pee

Nationwide will do these accounts. He won't be able to sign until 16 I'm not sure if you can specify a higher age, but if you don't tell him and your sister about it and hide the book technically if he was having a few problems in his late teens you could keep the book and the money safe until he settled down.

becky_rtw

Thats fine - 16 is good for me anyway - I'm hoping he'd use it for something sensible but it will ne nice just to get a lump sum from that age (I got a small one from my granny and used it to help with costs of buying books my a levels )

JustJewels

Hi all,

I have a dilemma - the Halifax Regular Saver that I opened when my son was born will mature in 3 months. Sad to see it end cos it was a 10% one.

As the trustee for my son, and taxpayer, I need to make sure that the annual interest does not exceed the £100 threshold. No danger of that this year cos it'll only earn about £60 interest, but next year it might.

I really don't want to put the extra into his CTF cos that means I'll have no control over it for the next 17 years, and the interest on the CTF is a paltry 2% at the moment.

What to do, what to do? I've been flirting with the idea of putting the whole lot in Zopa under my name, cos 8 - 9% is better even after tax than 2% tax free - but I just don't like the idea that borrowers can default

Any ideas?

Cheers

JJ

aligerdie

I've just applied for thre Halifax childrens regular saver at 6%.

I've opened it for dd1, however I wouldn't mind applying online for dd2 and ds1 also. Can I be trustee on accounts for the other 2 little ones too?

Halifax website says this:

"One account per person - you can only open 1 account for one child. However, other people can also open an account for the child too e.g. relatives, friends. Accounts can only be held by 1 or 2 trustees jointly on trust for a child. Only 1 account per trustee per child"

It's not clear to me that i can open one for all 3 in my name, babies are teething and I'm tired today, so it doesn't seem to be sinking in!

So sorry for the stupid question

JustJewels

Hi Aligerdie

My understanding is that you, as a parent, can only open 1 Regular Saver per child, which means that if you have 3 children then you can open 3 different accounts - one for each child.

The rule is 1 trustee per child, and you can get friends, relatives, neighbours etc to each open an account for each child. However, any friend, relative, or neighbour, can only open 1 account with the Halifax for your child(ren).

Therefore, you can't open 5 accounts for just your eldest child (in your name as trustee).

I'm only guessing, but this rule may be aimed at simplifying reporting of interest (and tax) by Halifax to HMRC.

Hope that helps

JJ

jonnyb

JustJewels wrote: »

Hi all,

I have a dilemma - the Halifax Regular Saver that I opened when my son was born will mature in 3 months. Sad to see it end cos it was a 10% one.

As the trustee for my son, and taxpayer, I need to make sure that the annual interest does not exceed the £100 threshold. No danger of that this year cos it'll only earn about £60 interest, but next year it might.

I really don't want to put the extra into his CTF cos that means I'll have no control over it for the next 17 years, and the interest on the CTF is a paltry 2% at the moment.

What to do, what to do? I've been flirting with the idea of putting the whole lot in Zopa under my name, cos 8 - 9% is better even after tax than 2% tax free - but I just don't like the idea that borrowers can default

Any ideas?

Cheers

JJ

check out this thread about alliance and leicester current account paying 6% up o £2500.
my son's regular saver is also due to expire, and the money is going in one of these for him.
remember the regular saver can carry on if you want it to, but the current interest rate will be lower (4% I think)
http://forums.moneysavingexpert.com/showthread.html?t=1773427