Saving for my nephew

woody9452

Hi

Sorry if the answer for this is elsewhere but I'm all confused

I would like to set up some savings for my 2 month old nephew

I want to save by standing order or direct debit for about £30-50 a month for him. I don't want to access it until he is 18 years old

I don't want to do anything risky and don't want to have to worry about it, just would like to get an annual statement or be able to view it online.

I can get his birth certificate etc if I need to go into a bank and get mum and dads signature but want it to be in my name...

Any help would be greatly appreciated

Thanks

xylophone

You could hold an account in bare trust for your nephew. Remember that the capital and income will belong to the child absolutely.
See http://www.hmrc.gov.uk/tdsi/children.htm re R85 and what must happen at 16.

CLAPTON

the riskiest thing you can do is to save in a savings a/c as this will almost certainly suffer from loss of value due to inflation over the 18 years

woody9452

Thanks for replies

How would I set up a bare trust account?

I tried cob building society but as I'm not a parent I can't. Same with lloyds bank ?!

Mojisola

woody9452 wrote: »

I would like to set up some savings for my 2 month old nephew

I want to save by standing order or direct debit for about £30-50 a month for him. I don't want to access it until he is 18 years old

I always say this on these threads - you don't know what this little boy will be like at 18.

If you won't mind if your years of savings are spent in a couple of months of wild partying, drink and drugs, go ahead. If you want the money to be spend on "sensible" things, keep the money in your name and give it to him as and when appropriate.

woody9452

That's a very good point!

I had a couple of grand off my nan when I was 18 and it went on clothes!! I want him to have a car ill put it in my name!!

Thank you!!

woody9452

Following that what's the best account to have with the intent of not ever touching it?

Thabkd

westy22

I have a Children's Plan with Aberdeen Asset Management and subscribe by monthly DD to 2 of their Investment Trusts (ITs). It is set up in my name but with my daughter as the Nominee / Beneficiary.

They have several well performing ITs including Murray International and Asia Pacific both of which have done excellently for me over the past few years. Initial costs are just 0.5% Stamp Duty and also the Ongoing costs are low.

It may be worth a look (other ITs are also available).

http://www.invtrusts.co.uk/aam.nsf/investmenttrusts/investchildren