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Childrens savings without access til they are 25
Matt17
Posts: 171 Forumite
Are there any savings accounts or investments where I can invest a lump sum now and that the children who are 8 and 5 wont be able to access until they are 25?
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Comments
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Who is providing the capital, parents or others?0
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Grandparent0
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And under what circumstances is the capital being provided - for example, gift or legacy?
If a legacy, what are the precise terms of the will?0 -
It will be a gift0
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It looks as if you will need a discretionary trust with the grandparent as settlor and perhaps you and the grandparent/another relative as trustees.
http://www.hmrc.gov.uk/trusts/types/discretionary-accum.htm
With so long a time scale, you might wish to consider stock market investment.
Example http://www.hl.co.uk/investment-services/fund-and-share-account/faqs has information about setting up a trust account.
The alternative is to use a bare trust for each child but be aware that the child would then have the absolute right to access and control at the age of 18 (16 in Scotland).0
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