Student saving account for a level study

scfcrob

All,
would appreciate some advice.
My 16 year old daughter has just started college and is studying A levels.
She is in the fortunate position of having a small lump sum (£500) and a £50 monthly amount from her Nan that she is able to save.
Where would she get the best interest rate?

Lokolo

When does she want to use it by?

Is she planning on going to university or not?

scfcrob

She is planning to go to Uni in 2 years and may need it then

Lokolo

Ok well I assume she earns less than £6k a year from any jobs she may have.

She can open a normal savings account to put the £500 in then put the regular amount in the same savings account.

http://www.moneysavingexpert.com/savings/savings-accounts-best-interest#bestbuys

Kaupthing Edge have a 6.55% savings account. This would be a good one to open.

She must then fill in an R85 form the bank so that she gets her interest tax free (if she earns under then £6k I stated earlier)

jennifernil

You need to be 18 to open an account with Kaupthing Edge.

Kess

I'm in a similar boat. I've just opened an Alliance & Leicester Premier 21 current account for my 16 year old son (pays 10% interest on up to £1000), but haven't yet found an optimum savings account. Kaupthing and the other top savings accounts seem to be for 18 year olds.