Need to Lock away some money??

skylight

Right - I may not make myself clear here!

My step-daughter is due some compensation - about £15-20k. She's currently 14 and we need to lock this away for a few years - like 5-10 (!)

This must also be in her name - with possibly us or someone else as a trustee (or equivilant). We cannot really do anything else as there is a **Possibility** that we may have to go bankrupt (this is becoming a fainter chance as the weeks go by, but obviously is not a risk we want to take with her funds being in our name)

And I don't knowwhat to do with it? Where can I put it to stop her getting her hands on it for at least 5 years minimum, and somewhere that if her father and I are unlucky to do the bankruptcy thing, it wont affect her money? And, if we are able to do something, do we even have to tell her the funds exist???

Or am I asking too much? Ideas gratefully accepted.

BWZN93

If she has a savings account at a building society/bank then I would make an appointment to see an FC based there, and put it in some kind of long term investments. Alternatively, open an account for her where she doesnt know about it and hide the information!

Maybe a 3yr bond then reinvest in another when it matures??

Jo xx

inmypocketnottheirs

Regarding the bankruptcy, I hope this does not happen. But if it does you clearly need to keep all documentation to show this money is compensation for your daughter. The Official Receiver or any other party has no claim on your daughters assets and you need to keep all paperwork to show the source of the funds. Obviously it would be better to invest directly in to an account in her name, with the settlement cheque payable to her. However I realsie this may not be simple. Atleast I would talk her into the merit of a five year bond from a high st b.s. for ease of access (i.e. getting her into the branch to sign up). Once it is locked in for 5 years she wont get her sticky mitts on it!!

HTH