Savings I can't spend!

LianeB

Sorry if this had been done before!

I am looking to save a regular amount of £25 p/mth for my young son.
We currently have a children's account with Barclays which I know doesn't pay much interest but it only has a small amount in.

However I would like to save the regular amount for him in an account which i can't withdraw from or get easy access to, from for a number of years if at all possible.

Does an account like this exist??


TIA

Astraeus

LianeB wrote: »

Sorry if this had been done before!

I am looking to save a regular amount of £25 p/mth for my young son.
We currently have a children's account with Barclays which I know doesn't pay much interest but it only has a small amount in.

However I would like to save the regular amount for him in an account which i can't withdraw from or get easy access to, from for a number of years if at all possible.

Does an account like this exist??


TIA

I presume you're seeking it as a means of imposing upon you self-restraint? You could open an account on trust for your son which only he can access upon achieving majority. Alternatively a seek scan of MSE pulls up this link: http://www.moneysavingexpert.com/savings/child-savings-tax-free.

The top result, at Halifax, allows monthly deposits of at least £10 and does not allow withdrawals.

jimjames

Don't put it in a savings account.

Use children's ISA or investment plan and you won't have easy access to the money.

xylophone

He has a CTF/JISA?
https://www.gov.uk/child-trust-funds/overview

If he has a CTF it will be transferable to the more flexible JISA in due course.

http://www.thechildrensmutual.co.uk/family-articles/savings/can-you-transfer-your-ctf-to-a-junior-isa/

LianeB

Hi thanks for the replys.

He doesn't have a CTF as he is only 17months old and the halifax one you can actually withdraw from and is only for a year.
He has a childrens instant access account which I save small amounts as and when we can but I would like to save a regular amount which I can leave for when he reaches 18. I will look into the ISA thanks

xylophone

If you have an ISA with Halifax, then the 4% JISA will be open to your son.

http://www.halifax.co.uk/isas/cash-isas/junior-cash-isa/

With so long a time scale, you might prefer to consider the stocks and shares option. Halifax do offer this, otherwise

http://www.moneysupermarket.com/savings/junior-isas/
might be worth a look.

atush

I would choose a S&S Jisa or an investment trust Jisa.

bugbyte_2

My son has the Halifax JISA @ 4% which he cannot access until 18 years of age. There is no monthly saving requirement and is incredibly easy to open. To get 4%, a parent must have a cash ISA with them also. These aren't particularly competitive, so my wife opened one with £1 and does not intend to put any more in. As with all JISA's, you must understand the money is your child's, not yours, and he can only access it when he is 18. You can however switch between JISA's if the rate becomes uncompetitive.

Don't be put off with the names ISA and JISA - they are just tax free savings accounts. As regards S&S (stocks and shares) JISA's, these are investments, not savings, and you really should be clued up about fees, market risk and different types of funds IMO before getting involved with these.

Niv

I wanted to do the same thing for myself some years ago, what I did was open a S&S ISA. I think that would be a good idea in your case too (albeit a JISA).

bugbyte_2

On another thread, there was someone complaining they needed an appointment to open the account at Halifax, so make sure you phone them first, or do it on line.

My wifes child benefit goes into a S&S ISA for their futures, but I spent 6 months researching platforms and funds first.

planteria

£25/month is perfect for a Child Tax Exempt Savings Plan. i would open one of those:)