childrens savings accounts

molotour

There are a few childrens savings accounts paying 3% right now. If anyone has young kids why cant we use these accounts to save ? The parent still has full control of the account. Am i missing something ? why has martin never mentioned this?

jimjames

There are adult accounts paying 3-5% now.

If you want to save for your kids then use kids accounts.

If you're suggesting using kids accounts for your own savings then that's not a legitimate way as the money is legally theirs.

molotour

there are no adult instant access accounts paying 3-5%. The best is 1.5%. Most banks dont allow kids under 7 to access these accounts so the money may legally be theirs but in reality they cant access it. I would be using these accounts to benefit the whole family not me as an individual so morally i dont see the problem

zolablue25

I think JimJames was probably referring to the Current accounts where those interest rates are definitely available

molotour

yes but the childrens accounts have maximums of 20k and some of 50k not 2-5k

Mojisola

molotour wrote: »

yes but the childrens accounts have maximums of 20k and some of 50k not 2-5k

So does Santander 123.

glentoran99

jimjames wrote: »

There are adult accounts paying 3-5% now.

If you want to save for your kids then use kids accounts.

If you're suggesting using kids accounts for your own savings then that's not a legitimate way as the money is legally theirs.

So money that I put in a 6 month olds account is legally theirs? Despite them not having the capacity to talk never mind make decisions?

molotour

yes 123 is the only equivalent but the childrens account does not have all the baggage of the 123

molotour

yes i agree reality supercedes legality

Mojisola

molotour wrote: »

yes 123 is the only equivalent but the childrens account does not have all the baggage of the 123

No, but the money is still yours whereas if it's in a children's account, it belongs to the child.

zolablue25

glentoran99 wrote: »

So money that I put in a 6 month olds account is legally theirs? Despite them not having the capacity to talk never mind make decisions?

Surely you don't really need to be able to talk or make decisions to receive a gift?