Best thing to do with lump sum for child's future?

sarahs999

Hello,I have a small sum (about £1,000) from my godmother to put towards my son's university fees. He's one! Anyway, bearing in mind that that's 17 years of possible interest, I wondered which would be the best place to put it? He has a separate account for birthday money etc but I want this to be locked away. There's a chance that more money could be added to it in the future too, but not on a regular basis.Thanks for your advice,Sarah

ReportInvestor

Who is his Child Trust Fund with? These accounts currently pay more interest than ordinary children's savings accounts e.g. Yorkshire BS 6% (5.25% pa + 0.75% 12 month bonus).

The CTF certainly "locks it away" until your lad is 18. You can add to a cash CTF on an irregular basis.

If you were able to organise regular payments to your son there is always the 10% Halifax 1 Year Bond Children's Regular Saver.

sarahs999

Thanks, but I want to be in charge of the money! The CTF is just for him, which is fine, but this has been given specifically for further education. I'm guessing a high-interest account for children, but I just wondered if there were any other investments that might be more profitable...
Also, I had a 10% account with halifax but they closed it because I didn't arrange the payments quickly enough. And I don't really want to pay a regular amount anyway, so it probably wasn't the best choice. His birthday money is with their save-4-it for kids, which pays 4.5ish I think.