£1000 to put in savings for 14yr old - where?

itsrainingmen_2

My daughter has £1000 which was in a ordinary Post Office account. We took it out of there as it was getting next to nothing in interest but I have yet to find an account to put it in. I need to pay it in somewhere before the end of October. She doesn't need instant access to the money and wants it to get the highest interest it can.

Any ideas gratefully received and advice about making sure that she doesn't have to pay interest on it either.

Thanks

allan2006

most building societies offer accounts for under 16s, i`d glance over whats available and the rates online. Sometimes they come with freebies like moneyboxes and things to encourage saving, dont be distracted from the interest rate though.

oramgepekoe

Children's saving rates are currently quite poor and many other savings accounts are not available to the under 16s. However someone on MSE pointed out a few months ago that Nationwide fixed rate bonds (not their e-bonds) are available from age 7.

http://www.nationwide.co.uk/savings/bonds/fixedratebonds/

eg. 3% for 18 months
http://www.nationwide.co.uk/savings/bonds/fixedratebonds/summary/summary-18-month-fixedratebond-annual.htm


To avoid tax being deducted on interest (which I think is what you meant to ask) you fill in form R85 when you take out the account.

Careful_ly

If you are willing to split the cash, this may be a good home for upto £500 @ 5%
http://www.bathbuildingsociety.co.uk/future-builder.html


HTH

itsrainingmen_2

Hi all, thanks for your advice. You were right Oramgepekoe I did mean tax!!

rb10

oramgepekoe wrote: »

Children's saving rates are currently quite poor and many other savings accounts are not available to the under 16s. However someone on MSE pointed out a few months ago that Nationwide fixed rate bonds (not their e-bonds) are available from age 7.

http://www.nationwide.co.uk/savings/bonds/fixedratebonds/

eg. 3% for 18 months
http://www.nationwide.co.uk/savings/bonds/fixedratebonds/summary/summary-18-month-fixedratebond-annual.htm


To avoid tax being deducted on interest (which I think is what you meant to ask) you fill in form R85 when you take out the account.

Similarly, Halifax's fixed rate bonds are available from age 7 (or from birth with a trustee). For some terms, Nationwide's rates are higher, for others, Halifax's are higher.

http://www.halifax.co.uk/savings/guaranteed_reserve.asp