Best children's savings account

chewie

Hi all

We save around £50 per month for our three year old daughter, with the Britannia BS. When we found out about the Halifax regular saver last year we put our £50 and took £50 from her savings and put £100 per month in to the 10% AER/gross p.a account - she got £60 interest.

I was thinking of doing the same this year but am wondering if anyone has any ideas what to do with the rest? I can't remember what the interest was in the Britannia childs saver account and am not sure I'm doing the right thing.

Thanks in advance for any advice.

Cheers

The wookie!

dancingfairy

Halifax are doing a regular saver for children which is paying 10%.

You could also consider a bond account. The Scarborough BS 3 year bond looks interesting. The rate of interest is 5.50% but you have to leave the money alone but it does guarantee it will be 1% above base rate which looks quite a good deal but you do have to add a min of £5 to it each month.

Going for a bond (not necessarily the one above) or a savings account for children that generally pays good interest may be easier than constantly looking for the best rates. It depends what you are looking for.

I think the nationwide generally does quite well for childrens accounts.

To be honest I went to money supermarket.com and put in that you wanted a child's account with about £1800 to invest- based on the assumption that you had contributed £50 a month for 3 years. You can always do what I did and it will give you loads of options to choose from but hopefully I have given you a few ideas to get you started.


I am not a financial adviser and these are just accounts that came up when I did a search for what I thought you were looking for. Please do you own research before deciding.

Good Luck

chewie

Thanks very much dancing fairy. Will check it out again.

Ta

Wookie

Viz_2

I also save £50 each month for my 4 year old daughter. It currently goes into the Halifax Save4it account. But every couple of years i intend to transfer a lump sum into a Post Office 5 year bond. Started one last year with £2900. Using these will prevent her paying the higher rate tax on interest over £100.
She also has a Nationwide childrens account for any birthday money etc.

I'll be watching this thread for potential idea's to find the best long term investment for her !