Savings for my daughter about to turn 18

xylophone

Perhaps an under 19's account from Lloyds or BOS or TSB would fit the bill if she wouldn't qualify yet for the Club Lloyds/Vantage/ Classic plus

Or perhaps a couple of them so as to get the 2.5% interest on the full £3000?

bowlhead99

richard_r wrote: »

Thanks you all for your comments. I asked my daughter to research it herself but she is not interested. The comments re the current account and dipping into the balance are so valid which I had not considered. I think I will get my daughter to leave it for a couple of months and she if the interest rates improve.

An extra £100 of interest can be incredibly valuable to a young student and therefore incredibly frustrating for you if she doesn't want to get her hands dirty by picking it off the tree herself.

The 'tough love' answer is just to not mention it again and when she is looking for cash for something in a couple of years time, make sure you remind her about how when she was 18 there was the opportunity to go and get £100 for free and she was too lazy, so you're not going to give her it yourself as a subsidy from your own pocket. She will think you are an [expletive deleted] after you have said it a few times over the years... and eventually (without admitting she was wrong) she will start to take an interest in how adults make money and plan for the future.

While it is frustrating to ignore the best possible opportunity for the money, remember that the vast majority of people never actually go bankrupt and she will earn hundreds of thousands of pounds in her lifetime from a variety of sources. If she never earns this £100 then she simply won't have a new dress or extra glass of wine somewhere along the line. In eighty years time the inheritance pot for your grandchildren who are themselves retired may be commensurately smaller by the £100. Either way it is not something you need to run around worrying about. Offer the advice and research the best accounts for your own savings and investments so you are best placed to help provide for your family later along the line.