Norwich and Peterborough child savings

jonnyb1978

Been meaning to set up a couple of account for the two kids for a good while now. After bit of research i have found Halifax regular saver and the Norwich and Peterborough to be what im looking for. The latter my first choice as as at times as it has a minumum payment of £1 a month (Some months it could only be a few quid and some alot more)

My main concern is how does being a trustee work?
I do not want the children to be able to withdraw on this on their own even when they are 18, 21 etc etc. as i want it to be used for something constructive. Uni, home deposit and the likes.
How does this work. Can it simply be in a joint account where any withdrawals need to have both signatures??

Though i was also thinking that if we do not tell them they have an account they can not withdraw at all until the right moment we tell them.! :rotfl:

martinman3

Accounts designed specifically for children are all slightly different when it comes to when the child gains access to the account. Previously, I have listed the differences for some of the best paying instant access accounts in this post.
http://forums.moneysavingexpert.com/showpost.html?p=26945205&postcount=8

If you open one of these or something similar you will need to move the money out before the child gains access and into an adult account opened in trust for the child. This could be instant access, although rates for such an account are currently very low, or a fixed rate bond, which would obviously limit your access too. NS&I have products which can be opened in trust and allow access and, when the time comes, may be useful.

All the child accounts would normally require a R85 form to be supplied to receive interest gross as the child's personal allowance would be more than the interest paid. If you open a joint account with the child then only the child's half of the interest would be paid gross, your half would be taxed at source at 20%.

Many of these account insist on sending letters to the child at their address even though they don't have access to the account yet so they would probably find out that they had an account.