Saving for a child? (Not comfortable handing over at 18)

atush

I think using the whole of your wife's ISA for the child isn't a good idea esp if not using the full allowance. She should, if not filling the ISA each year, use part of it for the child and part for the adult.

snoopyfan28

hi i was was thinking the same ting about my sons savings (he's 4) so i asked at my bank if there was any way to keep some control of the money. they said i cound wait till he's nearly 16 then put the money in a childs fixed bond for five years, so he cant spend it till he's 21.

hope this helps.

6022tivo

childs fixed bond for five years

Which will allow early withdrawals with interest penalties.. Yet again, poor advice from the high street...

opinions4u

6022tivo wrote: »

childs fixed bond for five years

Which will allow early withdrawals with interest penalties.. Yet again, poor advice from the high street...

It depends on the provider, doesn't it?

Many term deposits don't have early withdrawal options. Some could be opened with the parent as a trustee, which means that the child has no ability to close the account early.

Yet again, misguided criticism from a poster who doesn't consider the wider picture.

RedfordML

OP, ditto. Give an 18 yr old a couple of grand and see it spent on Ibiza on booze and birds!!

I will give a small sum on there 18th, but will wait until they are 25 for the true amount they will receive, then hopefully it will go towards a car, start a buisness, house dep etc etc (the exciting things in life)

Rikki

NS&I has childre's' bonds which don't mature till twenty one. You can reinvest at the end of each five year bond for another five years, the end date always being their 21st Birthday.

There was a maximum amount for each bond, it was £1,000 per issue. You just invest a £1,000 as they release a each issue.

Miles16v

Rather than start a new thread on a similar topic, my first was born 11 days ago and has been accumulating cash gifts.

Whats the best account to go for for interest rates?

opinions4u

Northern Rock and Lloyds TSB for a 3% easy access rate.

Halifax Kids Regular Saver for a 6% rate ... certain conditions to be met.

Halifax, Northern Rock and Nationwide also have fixed rate accounts suitable for children's cash.

Worth taking a look at Junior ISAs too. I'd be going for a stocks and shares version.

carlpayne

I would recommend to concentrate on long time investment which can be used for your Son's Education.

atush

I would go for the halifax regular saver, then open an investment trust savings plan in your name with the child as designee. saving from birth means you really should be looking at equities over cash. Have a cash acct for birthday/pocket money etc.