CTF discussion area

cloud_dog

altyfc wrote:

Why do so many here talk of interest-based CTFs...?

It is well known that the stock market - over the course of 18 years - typically outperforms interest rates, and usually my some margin.

Aaron

I too have a Selftrade CFT for my daughters money BUT, it comes down to individuals risk attitude and if people are wither not comfortable with stock market risk or they wish to have a degree of protection for their child(s) money then they are correct to go for a savings based account.

I have to be honest if I was fortunate enough to be in your position (deposit £1200 pa) I would not continue with putting it in a CTF (once a reasonable level is reached), I would be tempted to put it into a pension vehicle.

cloud_dog

trubster

I have 2 kids and both of them have CTF accounts with britannia, I dont want to be "Gambling" with there money but who is the best BS to go with for a no-risk long term saving option for CTF? am i best off staying put?

Also, I am annoying barclays because they have really annoyed me over the years, I have set up 4x £1 Transfers a week into the accounts (1x CTF + 1 Halifax Save4It A/C) because I was told it costs them over £1 to send the money (Not sure if anytruth in it but, whats a quid at the end of the day?)

Thanks, Kev

cloud_dog

trubster wrote:

I have 2 kids and both of them have CTF accounts with britannia, I dont want to be "Gambling" with there money but who is the best BS to go with for a no-risk long term saving option for CTF? am i best off staying put?

Thanks, Kev

A savings CTF account is as safe a CTF as you can get (assume the account is covered by normal BS compensation rules should the BS go bankrupt, i.e. 90% up tp about £32k).

I think Brittania is pretty good, although you may want to look at:

http://www.moneyfacts.co.uk/savings/bestbuys/savings_childtrust.aspx

............and keep an eye on their rates as interest rates go up and down.

cloud_dog

GT60

hi just read about the ctf getting one next week so we are told tryed to work out what to do with it but it has cabbaged my head can someone tell me where to put it gathered under the bed is no good.
help please ta thanks

cloud_dog

niall24 wrote:

hi just read about the ctf getting one next week so we are told tryed to work out what to do with it but it has cabbaged my head can someone tell me where to put it gathered under the bed is no good.
help please ta thanks

The most important thing is to do something.

If you are unsure then just open a Building Society based (savings account) CTF; you can always move providers or even move it into an investment based CTF if you wish later. Have a look at the link I pasted above for the top providers. Then just take the voucher and ID into a BS and open the account.

cloud_dog

plzhelpmesave!

is there such a thing as a CTF tart?!

have had mine thru for DD (aged 4 months) and places like ASDA, boots etc are offering £20-30 in vouchers if yu pay in extra £10 a month. Is it worth doing to get the vouchers?
any replies appreciated - thanks!

ReportInvestor

Current top cash CTF rates are Yorkshire BS 6.8% and Britannia 6.75%.

Although there are not many CTF providers, the competition at the top is much fiercer than over "ordinary" children's accounts.

£20+ worth of vouchers for a £250 + £10pm investment will beat that easily, so yes, it's worth it if you're in to that sort of thing and can spare the time to switch around & know what you're doing on fund investment - e.g. check the cost of going in and out of individual stakeholder CTFs and be sure you are happy with the risk element.

On the Cash CTF front the winners may be those who pick the societies that merge (and pay a windfall), rather than those that pick the top rates.

But who is to say which those are?
Not me, but if pressed I'd go for Ipswich BS in the short term and Skipton BS for the medium term.

In the meantime a top interest rate is a "bird in the hand" and given the recent talk about the value of big mergers from the incoming Nationwide boss, you can't rule out windfalls from even the largest societies like Britannia & Yorkshire.

## - Wealth warning. Sometimes children are eligible for merger windfalls, sometimes they aren't.

pamaris

Hello,

I have a question. I have 2 kids– age 2 and 5. The 2 yo is eligible for the trust fund but I have not received my voucher yet because we have been overseas for the past 2 years. I am in the midst of applying for child benefit; it should all be sorted soon.

So, my son (2 yo) will have a CTF by my daughter (5 yo) won't. I am going to invest son's CTF + £10 per month in some sort of medium/ high risk vehicle.

What are the options/ alternatives for my daughter? Just a savings account? I am not a wage earner so (at this point) I can file form r85 to avoid tax on the interest. However, I would like to get a similar return on the investments for both kids. Is there a way for me to be tax efficient for my daughter, with the possibility of returns higher than a savings account?

Thanks!

pamaris

OK... I think a plan is coming together. I am going to open the F&C stakeholder plan for the CTF. For the non CTF I am going to use the F&C children's investment plan... though I am not sure whether I will make it a designated plan or a bare trust. I think for the latter plan I will have to contribute a little more due to slightly higher fees, and 3 years less to mature.

Deedee73

Hi everyone, just thought I'd share my experience with you all.

Last week I did an online payment into DS CTF. All went well and smoothly, however, when the letter came to confirm payment, my payment had gone into another child's ctf!!

After a few phone calls and a 5 day wait it has been sorted, reason given "Human Error on the confirmation letter." Now this is not correct because when I first phoned I asked for DS's balance and any pending payments, there were none, which is when I gave them all my online details and proof of payment! So, just be aware that there "may" be missing transactions, or, you may have a payment made into your ctf that you have no idea about where/who it came from!