CTF 'Non-Stakeholder'- What is this?

bob_dob

Hi,
My neice has a CTF account that I see is a 'Non-stakeholder' with Nationwide. Does this mean that it isn't a straightforward savings account and that it is invested somehwhere?

Sorry for the naive question.

grey_gym_sock

no, it mean it gives no protection from vampires. but that's ok, as they don't exist, anyway.

er ... no, that doesn't tell you whether it's savings account or invested. a stakeholder has to comply with certain rules about maximum charges etc.

if she's young, then investing a CTF is generally a good idea, as investments have more chance of beating savings in the longer-term. a stakeholder could be a useful protection against charges rising, but it depends what CTF you have to start with ...

bob_dob

Aha, that makes it slightly clearer. Well I have her statement with me but still can't find out what it is. If it helps, there are no charges, only interest?

grey_gym_sock

if it looks like a savings account statement, it probably is. as opposed to saying: N units/shares held, current price X, value Z.

xylophone

http://www.nationwide.co.uk/investments/customer_support/products_no_longer_available.htm

Your niece appears to have a standard savings account CTF.
The interest rate is not brilliant? (Then none are....) http://www.thisismoney.co.uk/money/saving/article-1587114/Best-savings-rates--Child-Trust-Funds.html

Consider transfer? https://www.gov.uk/child-trust-funds/overview

bob_dob

Thanks for that.
Maybe I'll wait to see if they announce that they'll let us transfer to Junior ISAs in the budget?