my child has inherited 7k - where to put it?

gele

As the title says my daughter [11 in Jan] is to soon receive 7k from her grandad. I have been looking at JISIs @3% which will lock the savings away til she's 18 which I like the idea of. Can anyone advise is there anything better I should be looking at that isn't too complicated and are there any downsides to going with a JISI for her. [she has a CTF at the moment which I would look to transfer in at the same time.
Thanks

xylophone

If you pay up to the maximum into the CTF before transferring it, you should be able to subscribe the balance to the JISA immediately afterwards.

See post 4 here https://forums.moneysavingexpert.com/discussion/comment/69511807#Comment_69511807

http://www.moneysupermarket.com/c/news/how-to-transfer-a-ctf-to-a-jisa/0085961/

https://www.gov.uk/junior-individual-savings-accounts/overview

This would get the whole sum into the JISA which would become available to your daughter when she becomes 18.

The Halifax currently pays 4% on a JISA if the parent holds an ISA with them.

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

Otherwise http://moneyfacts.co.uk/isa/junior-isa/

gele

Thanks. I hadn't thought of putting anything into CTF first, but if I can do this, then transfer it to a JISI and then pay in the remainder all in one tax year, that makes good sense as you say.
That will be my daughter sorted then I'll have to think about what to do with the money I have been left - not a fortune but a nice little sum. When I get around to that [and it'll most likely be in the new year as dad has a few bills to pay first[ I'll probably be back for more advice!
Thanks again for your help.

atush

I would use an Investment Isa over a cash one, Or at least split 50/50.