Can teenager open 30 day savings account

ianian99

my nephew is saving up to go back to america next year and I mentioned a 30 or 60 day account to him so he wouldn't be temted to dip into it.
he's just popped in and asked me about it but I really dont know who does them etc and if a 13 year old can get one.
i'd be grateful if anyone can give him some advice please

ReportInvestor

Yes he can.

Only under 18s can open children's accounts, but under 18s can have adult accounts.

If you want to tie him in even more, consider the Harpenden BS 18 Club account - only accessible at 18, but Harpenden do guarantee that this will be their best paying account . And it is - currently paying a massive 5.15% :T

Even better for suspicious relatives is the Scarborough "Young Super Saver" @ 4.75%. This doesn't mature until the little b******s 23rd birthday :rotfl:

jonesMUFCforever

ReportInvestor wrote:

Yes he can.

Only under 18s can open children's accounts, but under 18s can have adult accounts.

If you want to tie him in even more, consider the Harpenden BS 18 Club account - only accessible at 18, but Harpenden do guarantee that this will be their best paying account . And it is - currently paying a massive 5.15% :T

Even better for suspicious relatives is the Scarborough "Young Super Saver" @ 4.75%. This doesn't mature until the little b******s 23rd birthday :rotfl:

If he's 13 now and is saving for an American trip NEXT year how can your advice of an account where he cannot access the funds until his 18th birthday be justified?
Your assumption that children can open adult accounts varies from my experience as well, as most accounts have a minimum age of 16 (Mini cash ISA) or 18 (most current accounts where an o/d is possible)

ReportInvestor

Good point about the timing of the trip .

My general point about children and adult savings accounts (not current accounts or ISAs) remains valid.

Kazza242

ianian99 wrote:

my nephew is saving up to go back to america next year and I mentioned a 30 or 60 day account to him so he wouldn't be temted to dip into it. i'd be grateful if anyone can give him some advice please

Notice accounts for under 16's are scarce, as they are usually available to over 16's (and sometimes over 18's).

If you want an account that he'll have difficulty dipping into, then you could go for a childrens regular savings account. They usually pay high rates of interest than normal savings accounts and many do not permit any withdrawals during the account term, which is usually 1 year.

Halifax' Children's Regular Saver account pays 10.00% interest. To qualify for the high rate, a deposit of at least £10 (up to a maximum £100) is required every month. The account runs for 1 year and no withdrawals are permitted during that time. This is a great way to ensure that your nephew builds up his savings throughout the 1 year account term, without dipping into it. After the account matures, the funds and interest are swept into a nominated savings account, like the Halifax Save4it account. The Halifax Children's Regular Saver must be opened and operated by an adult (i.e. you or his parents/grandparents) and held for him in trust. When it matures and the funds are swept into his nominated account, he can then access his money.

For more information, follow the links:
Halifax's 10.00% Children's Regular Saver

Halifax Children's Regular Saver FAQs

As an alternative, there is the Halifax Young Saver Monthly Savers account. It is available to under 21's and aims to help young people save regularly for something specific. There is an annual bonus, providing they don't miss more than one payment and don't make more than one withdrawal a year - 5.30% AER/gross p.a. (including bonus), 2.55% AER/gross p.a. (excluding bonus).

Other childrens savings accounts (easy access, but pay a good rate):

- Saffron Walden BS Ladybird Club Account paying 4.90% or the v4 account also paying 4.90%.

- Chelsea BS Ready Steady Save paying 4.85%.

- Halifax Bank Plc Save4it paying 4.80%.

- Yorkshire BS' Children’s Accounts: Freedom or Oneday, both pay 4.80%.

- Nationwide BS Smart Account(PDF) paying 4.76%.

Important: Make sure that one of his parents registers his account to receive gross interest, otherwise 20% will be automatically deducted from his interest. The form is called R85 and can be downloaded from: http://www.hmrc.gov.uk.

ianian99

just the ticket, thanks a bunch kazza