Grandparent opening bank account

maman

choccybuttons wrote: »

Both my mum and mil have accounts in their names as trustee with our children. Both families have always done this. When dh grandmother died the accounts were handed over to the kids, no money lost as it's the children's money.

By lost, I assume you mean to the taxman.


I'm not sure it's quite that simple. Obviously we're trying to cover all bases as we don't know the wider financial circumstances of grandma. It isn't possible though to just put any amount of money in children's accounts. There are definite rules on how much can be given and how frequently plus there's potential deprivation of assets etc etc..

mrsHall2b

my grandad has opened a bank account for both of my girls as their first birthday pressies. these accounts cant be accessed untill the girls are 18 (except by him as he is the trustee on the account) on my youngests which we opened on tuesday she will be able to keep that account for life, when she turns 18 grandad will take his name off the account and its all set up & ready for her to use. im glad hes done it as im in no position to open one for them and feel a huge let down atleast this way they will have a bit of a start in life when they get older.

loopyloouk

thank you for all the replies they have been very helpful.

I really do not mean to sound ungrateful i am truly grateful for anything as it means my LO gets a good start when she is 18 but i am confused about what happens should my MIL pass away if she is the trustee on the account?

My FIL is very poorly and requires 24 hr home help and if anything happens to my MIL does this money get taken into account for home fees?

thanks

Loopy

maman

I'm sure there will be others along who have more experience or maybe you'd be better going to CAB or somewhere official.


It's difficult to know how to respond as you don't know the amount of money for each grandchild or the total amount to be 'given away'. Where there could be a problem would be if your MIL's bank statements suddenly showed she's given away £120 000 and then was trying to claim for care home fees.