Bank account for babies.

steven1811

Hello all,

8 weeks ago my partner and I welcomed our baby girl into the world.

I'm looking for some information or opinions about what is best.

We want to open a bank account in which anybody including our daughter is unable to touch until her 18th or possibly 21st birthday. Her grandparents on both sides and my partner and I are going to set up monthly standing orders so money gets transferred to her account.

I would like some information on which bank/building society is best to use and also which type of account. Not talking about huge sums of money going in each month. We're thinking in the region of £400 in total per month plus extra for birthdays and Christmas.

Currently don't have a passport for her just a birth certificate so opening an account must not require a passport but if it is required then we will have to get her one.

Any help is greatly appreciated

Thank you.

chambta

You'll be fine with a birth certificate.

http://moneyfacts.co.uk/savings/childrens-savings-accounts/

grumbler

MSE article: Top Childrens Savings

steven1811 wrote: »

...anybody including our daughter is unable to touch until her 18th or possibly 21st birthday.
...Not talking about huge sums of money going in each month. We're thinking in the region of £400 in total per month plus extra for birthdays and Christmas.

£400*12*18=£86400 + interest.

steven1811

Thanks Chambta I will have a look now.

Grumbler considering it's over 18 years and between four or maybe 6 people then it isn't really much between us. In years to come she will need that money.

grumbler

steven1811 wrote: »

... In years to come she will need that money.

Or will waste it on ...., ...., ....., ..... (fill the gaps) before she reaches 20. Beware, that for certain types of accounts you can only add money and have no control over what it's being spent/wasted on by the beneficiary (see the article I posted the link to).

Biggles

In a bank account, the money will be eroded by inflation over 18 years.

Much better to open an investment plan as a bare trust, which nobody will be able to touch until she is 18.

steven1811

We're both sensible and don't waste our money. I've high hope that she will be brought up to be very similar to her parents and won't just blow it. If she were to waste it then that's sadly her own fault and nothing we can do.

Thanks for your concern though

steven1811

Biggles, I have no idea what that is. I just use a current account and that suits me.

Have you any good links for more information please?

Fruit_and_Nut_Case

Another thing to consider is what's best today may not be best in one year's time, let alone eighteen. You may want to allow yourself some flexibility.

[Deleted User]

As it stands we do qualify for the children's ISA so stuck with the Child Trust Fund until the govt allows conversion to a Children's ISA meaning you have more options. Anyway these are the products we use...


6% Halifax Children's Regular Saver - Limited to £100pm.
NS&I Children's bonds - bought monthly on top of the reg saver.
Skipton Child Trust Fund - no longer added to now it's a defunct scheme so money trapped from moving to a better rate.


In the past we have used 4 year bonds from the Halifax for some of her money if the % rate is right.


None of her money is exposed to stocks & shares but its amazing how quickly it all adds up over the years...

Biggles

steven1811 wrote: »

Biggles, I have no idea what that is. I just use a current account and that suits me.

Have you any good links for more information please?

The Children's Investment Plan that I use for my g'children is this one http://www.fandc.com/uk/private-investors/savings-plans/savings-plans-range/childrens-investment-plan/.

Equally, F&C do a Junior ISA, though the amounts you are talking about would exceed the annual limits http://www.fandc.com/uk/private-investors/savings-plans/savings-plans-range/junior-isa/.