Children's savings opinion

pink_phantom

My mother wants to save for my neice and nephew (Her grandchildren Age 2 + 3) in an account where their parents cannot touch the money and the children have no access until they are 18 (due to a bad experience with previously saved money being spent). She has about £500 each for them in a lump sum and wants to continue to save about £25 each per month. Which account would be the best because she wants total control over the money that she is saving for them and not their parents? My other question is, will she need their birth certificates to do it because it will be awkward to obtain them.

iwanttosave_2

could it not be put into your childs trust fund?

pink_phantom

No because it's not for my son it's for my neice and nephew. They have a child trust fund each but they are accessable when they are 16.

iwanttosave_2

ahh yes forgot it was so young that they let them have it. Sorry

cloud_dog

pink_phantom wrote:

No because it's not for my son it's for my neice and nephew. They have a child trust fund each but they are accessable when they are 16.

Feel free to correct me but I thought CTF's were only accessable on/after the childs 18th birthday?

An alternative might be to consider opening up an investment fund (Investment Trust) for the children in trust. I'm sure it is ok for your mother to open the accounts (with both lump sum and monthly savings) in her name with them being nominated owners. Usually the forms you complete are done in your name but with the childs initials / name.

Obviously, the above assumes yoo would be happy investing the money rather than a building society account.

cloud_dog

pink_phantom

cloud_dog wrote:

Feel free to correct me but I thought CTF's were only accessable on/after the childs 18th birthday?

An alternative might be to consider opening up an investment fund (Investment Trust) for the children in trust. I'm sure it is ok for your mother to open the accounts (with both lump sum and monthly savings) in her name with them being nominated owners. Usually the forms you complete are done in your name but with the childs initials / name.

Obviously, the above assumes yoo would be happy investing the money rather than a building society account.

cloud_dog

I meant to say 18 sorry. I wil tell her thankyou.