Children's savings accounts

noname123_2

Does anyone know if there is a saving account for children where, while the child is under 18, both parents have to sign for money to be withdrawn?

Alternatively, can anyone suggest a children's savings account which doesn't allow any withdrawals before the child is 18 and which doesn't necessarily require money to be paid in on a regular basis?

Unfortunately the amount of money in question (an inheritance) is too high for it to be transferred into their child trust fund.

xylophone

The money will be held in bare trust for your child - both you and your husband can be trustees so that the account will appear as Mr XY Mrs XY Trustees for Miss/Master XY - the account can be set up with both to sign.

Make sure that you keep a record of the source of the money.

If appropriate, register an R85 for tax free interest. Your child has his own tax free allowance just as an adult does - if the amount in question is so large that the interest would take him over the personal allowance see http://www.hmrc.gov.uk/taxon/ten-percent.htm for this tax year and https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/293747/Fact_sheet_template_-_10__tax_9.pdf for thereafter.

You could contribute annually to the CTF up to the appropriate amount - CTF will be transferable to the more flexible JISA from April 2015. https://www.gov.uk/government/news/government-to-allow-child-trust-funds-to-transfer-to-junior-isas

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

Remember that when the child turns 16, the R85 will need to be rescinded and any overpaid tax reclaimed from HMRC on an R40 form.

It is possible to hold a variety of accounts in bare trust (including fixed rate bonds) but you would need to check with the provider.

noname123_2

That makes sense, thank you (have been googling but with little success)