10 Year savings plan

Taffy1955

I am looking at starting a some form of savings plan over a 10 year period for a grandchild. Looking at saving a small amount each month which cannot be accessed without having penalties imposed - any ideas? Or should I look at other savings plans?? Any advice is appreciated.:beer:

CLAPTON

Taffy1955 wrote: »

I am looking at starting a some form of savings plan over a 10 year period for a grandchild. Looking at saving a small amount each month which cannot be accessed without having penalties imposed - any ideas? Or should I look at other savings plans?? Any advice is appreciated.:beer:

why do you want penalties for withdrawal?
don't you trust yourself?

dunstonh

Looking at saving a small amount each month which cannot be accessed without having penalties imposed

That doesnt go with modern thinking. All the pressure from Govt and regulators is on the ability to exit without penalty.

stocks & shares ISAs dominate this sort of thing or regular contribution unit trust/OEICs with a designation to the child.

Taffy1955

I was under the impression these were the best interest ones, I used a similar one many years ago, Friends Provident - Also, its a good way on stopping anyone cashing early?

bowlhead99

If the child has a junior ISA (or doesn't have one yet but you get the parents to open one) you can contribute to that. No withdrawals before age 18. That may suit your timeline. The accounts can hold cash, or stocks and shares-based investment funds.

Taffy1955

That sounds like a plan

Many thanks

Taff

bigfreddiel

bowlhead99 wrote: »

If the child has a junior ISA (or doesn't have one yet but you get the parents to open one) you can contribute to that. No withdrawals before age 18. That may suit your timeline. The accounts can hold cash, or stocks and shares-based investment funds.

Trouble with this is at 18 the child has control of the ISA and could just blow it all on a holiday.

Better off to start a pension no access till at least 55

Cheers fj

bigfreddiel

I always find it strange how many people don't offer advice but just criticism on the posters reasoning. They just ignore the question totally.

Good luck, you have my 2p worth above.

Cheers fj

Taffy1955

For some, thats what they actually live for!

Cheers

Sam_J12

As Bowlhead suggested, I think a junior ISA sounds perfect. Simple and easy to set up, allows investments in stocks should you wish and the money is in the child's name. I can't really think of a reason not to start one - I will be doing so for my child shortly.

Taffy1955

Thanks, it seems the simplest route to take.

Cheers

Taff