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Saving account for child - don't wish it to convert (sorry, new to all this)

I have a romantic idea to sort of secretly save money for my two currently ver little children. I don't want the rest of the family to know, particularly. I'd quite like to surprise them when they are older and want to (for example) buy an instrument or go on a school trip we couldn't ordinarily afford.

Anyway I'm new to saving. Growing up, I only had a bank account, no ISAs etc.

So my questions. I've got two, really.

1) So when I'm browsing and looking at the "young saver" accounts - I'm surprised to see that they all seem to convert to a much lower rate of interest after a year. What's all that about??

2) If I want to keep the paperwork arriving on the mat to a minimum, and to be able to pay in in cash, what's my best option?

many thanks


  • LHW99
    LHW99 Posts: 4,309 Forumite
    First Anniversary Name Dropper First Post
    You could try children's bonds frm NS&I. You buy them in multiples of £25 and the interest is fixed for 5 years, and you can then roll them over until the child is 18 (or not). If you buy them at intervals, they mature similarly.
  • genieuk
    genieuk Posts: 341 Forumite
    First Post First Anniversary Combo Breaker Mortgage-free Glee!
    We started off years ago with Nationwide and were drip feeding accounts.
    Now we have been with Halifax for nearly 10yrs.
    There Junior ISA is 3% not sure if they still offer a linked ISA with a bonus.%
    We also have regular savers at 4% on the anniversary of the account it is transferred into the ISA and another regular saver opened.

    Now easier as youngest had a child trust fund and wasn't eligible for the JNR ISA but they have now changed the rules.

    JNR ISA - no withdrawals till 18

    I have four kids the older 2 are 21 & 18 the money I saved for them gave to them at 18 and they used it towards uni.
    June 2011 £145,943.13
    Dec 16 £74,537; Feb
    Aug 17 £59,399.96
    Nov 19 £0.00
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