Best Value Savings for a Child

MrsT_6

Hi everyone

Bear with me, this is the first time I have posted on the site My daughter is looking for the best savings account for her little one who was a year old last month. Can anyone help. She was wondering if ISA's were the way or perhaps there is something better. Obviously she is looking for the best long-term rate of interest and doesn't want anything that is linked to the Stock Exchange. Any ideas??

virgin_moneysaver

As far as I am aware as the child in under 7 years of age the account would be a fiduciary account(i.e. held in the name of an adult re the child but technically the adults account as a child cannot sign until they are 7)

Also ISA minimum age I believe is 16 . So, I think you are limited to banks/b.soc childrens account or their childrens bonds(tend to be locked away for 2-5 years) or maybe accounts with the Post Office

Yorkieds

I think Friendly Societies offer excellent savings account for children.
YDS

Yorkieds

Hi Mrs T

Go to the 'Thisismoney.com' web site
Click on Savings finder, then
Savings for children, then
Guide to Investing for Children, then
Articles headed 'Investing for Children'

Bit long winded but worth a visit, hope it helps.

Regards
YDS

Unbelievable_2

Scarborough BS has a 3 year Children's Bond. It guarantees to be BOE base rate plus 1% for the 3 year term (currently 5.5% but will be 5.75% soon). You can put in between £10 and £150 a month. ;D

Watch out for the tax implications though :-[

Bubba

I have a 14 month daughter and have just opened an Alliance & Leicester savings account for her. The rate of interest is currently 5.25% which I think is very good - she did have a Portman account which only paid 4.6%.

dunstonh

Can i refer you to this thread as there are now two on the go which are identical

http://forum.moneysavingexpert.com/cgi-bin/yabb/YaBB.cgi?board=Savings;action=display;num=1093440121

Note that the comments regarding friendly societies may not be appropriate after reading that thread. At least not until next tax year when the friendly societies move over to CTF.

MrsT_6

Thank you everyone who responded to my question there is some very useful information there which I will be passing on to my daughter.

Many thanks