Use your child - best child savings account

David.Taylor

Just applied for the Halifax regular saver account at 4% for my sons and wanted to leave feedback which I'm afraid is not good.
I applied online for my first son and received an email saying my application had gone through and would take a few days to process. I then applied for my second son and it just keeps going to an error page online. Being as the only other way to open this account is in branch I made a visit to my local branch. I had to wait in a Que for 20 mins and was then told that you have to leave it a couple of days between online applications even though they were for different children (which is not stated online), so I asked to open the second account in branch and was advised they could make me an appointment for another day but they didn't have a regulated colleague available but when I complained one miraculously was free. I advised the colleague that I wanted to fund the Children's regular savings accounts from my children's young savers accounts and was advised that they can only be funded from a current account none of which is clear and as I cannot afford to fund there regular savers makes the account a misleading waste of time. I'm afraid Halifax's customer service is absolutely appalling too with all the people in the Que in front of me also being advised that they couldn't help them either. I have banked with Halifax for 5 years now and am really disappointed by the way that they have treated me as a potential customer and current customer and when I rang to log a complaint I was put on hold for 20 mins while my complaint was logged and the operative then cut me off.
While this account may be appropriate for you please be Warned that the information online is far from complete and in some cases misleading and customer services couldn't be much worse. On that basis i would not recommend Halifax or this account.
David

xylophone

Are the boys old enough to hold a current account?

http://www.which.co.uk/money/banking/bank-accounts/guides/best-childrens-bank-accounts

It might be possible to move some money from young saver into a current account for each child?

Or perhaps you could fund the regular saver from your own current account and "repay" yourself from the young saver, keeping a record of each transfer?

Flobberchops

David.Taylor wrote: »

Just applied for the Halifax regular saver account at 4% for my sons and wanted to leave feedback which I'm afraid is not good.

This is similar to the experience I last had when in a Halifax branch - fairly oblivious staff, no clear queuing system, random walk-ins being seen before me although I'd made an appointment, and when the advisor finally saw me I got the impression I was an inconvenience to her and she got rid of me as quickly as possible. It's a good thing that I only really use Halifax for their fairly decent savings products, I'd be looking to switch if they were my main current account providers.

Anyway: yes, the Kid's Regular Saver has to be funded by Standing Order, which by definition will have to come from a current account (although this needn't be a Halifax one).

The "couple of days between applications" statement sounds like complete B.S. made up on the spot by a member of staff who wanted to get rid of you, I'm afraid. This is a savings account, not a loan or insurance product, so I can't see any reason there would be a wait period between applications.

The Kid's Young Saver account allows unlimited withdrawals so you could just withdraw from those to your own current account, and have the Standing Order go out the next day. A bit of a hassle but arguably worth it for the extra interest if you pass by a Halifax at least once a month.

Your choice of course, I wouldn't blame you for not wanting any more to do with them. Still, you have to do what's best for your boys.

David.Taylor

Thanks for your responses.

My eldest is only 7 so i think too young for a current account.

Not sure if i can be bothered to go into town every month to withdraw from their young saver to then transfer it but thanks for the suggestion.

I must add I rang back about my complaint after recieving a text saying we were cut off by which time i was fuming but the woman i spoke with was absolutly brilliant really sympathetic, appologetic and keen to take my feedback and couldnt do enough to resolve my complaint. Why can they not put people like her in branch then they wouldnt need a complaints department.

Need to take some more time doing some more research to find the best option for them

pollyjw

Hi, after many hours of searching i still can't find a definitive answer - can anyone here enlighten me please?

I understand a child can earn up to £200 interest on money given by parents each year without it being taxed (£100 from each parent).

I have three children. Does this mean they can all earn the £200 or do they need to split the allowance between them?

Sorry to ask what seems like a very basic question, i have searched many money advice sites and the government site but to no avail!

xylophone

https://www.gov.uk/savings-for-children

It is per child, per parent.

pollyjw

Thanks Xylophone. I appreciate your taking the time to reply and sending the link. I had read that article (I only say this as it's one of my pet hates to see people posting questions when they haven't bothered to do any research themselves ;-)) but wasn't sure if my comprehension was right. I did hope it was the case that each child could benefit from the tax free amount and will certainly bow to your knowledge on this one! Happy saving!!

xylophone

Post 3 here covers the ground

https://forums.moneysavingexpert.com/discussion/5174362

Tangerine999

My son is 12 and is about to receive a £13K compensation payment for an injury sustained. The payment needs to be locked until he is 18 so will have 5-6 years until it can be accessed. What would be the best (low risk) way to invest the money?

Many thanks

xylophone

"Save" rather than "invest"?

http://uk.virginmoney.com/virgin/savings/learn/childrens-accounts/

The Young Saver can be held in trust and you can opt to retain the trustee status after the age of 16.

Does he have a JISA?

http://www.thisismoney.co.uk/money/saving/article-1583863/Best-savings-rates-Junior-Isas-children-s-accounts.html

If the only stipulation is that he cannot access the money until he is 18, perhaps you could pay the cash into the Virgin Young Saver, move up to £4080 into the JISA before 6 April, move £4128 into it on 6 April, and follow suit in 18-19 and 19-20?