Can I open an ISA for my 18 year old son?

skyrocket123

My son is 18 and is about to inherit a sum of money.
He is currently typically irresponsible with money and I worry he will blow the lot so want to look at ways he can maximise it without blowing the lot.
I know that he is classed as an adult at 18 but in truth he isn't mature enough to handle this money responsibly. (I love him to pieces but that's the truth)
Would I be able to open an ISA for him?

YorkshireBoy

skyrocket123 wrote: »

My son is 18 and is about to inherit a sum of money.
He is currently typically irresponsible with money and I worry he will blow the lot so want to look at ways he can maximise it without blowing the lot.
I know that he is classed as an adult at 18 but in truth he isn't mature enough to handle this money responsibly. (I love him to pieces but that's the truth)
Would I be able to open an ISA for him?

In his name you mean? Without him knowing? That's a bit dangerous. What if he suddenly grows up and opens his own ISA in February, declaring "I haven't subscribed to another cash ISA this tax year"?

Or did you mean open one in your name for his money? In order for you to be able to do that he'd have to gift you the money wouldn't he?...because you'd be declaring that the money was your own when you made the application.

skyrocket123

:rotfl:I don't think he's in much danger of suddenly growing up this year unfortunately. He's also unlikely to come into this kind of money in a lump sum again so I don't want him to blow it.
I mean open one in his name not mine. Is that possible?

Keep_pedalling

At 18 the money is his to do with as he wishes and you have no right to withhold it from him. The best you can do is to provide some guidance on putting at least some of it away for future use such as his first house purchase.

dunstonh

I know that he is classed as an adult at 18 but in truth he isn't mature enough to handle this money responsibly. (I love him to pieces but that's the truth)

Unless the Will states an age in it, you will have no power over this money and it should go directly to him. If he doesnt want your support in setting things up, there is nothing you can do about it.

Would I be able to open an ISA for him?

No. You can aid him with any admin but only he can open it.

Malthusian

You need to talk to your son rather than asking strangers on Internet forums how you can hide his money.

If he acknowledges his profligacy and wants to stop himself spending the money, there are ways he can do this, such as opening a fixed term bond for X years that does not allow early access.

If on the other hand he wants to spend the money, then he's an adult and the time you could do anything about it has passed.

Tom99

[FONT=Verdana, sans-serif]Providing he agrees, there is nothing stopping you preparing all the paperwork for him to sign. Maybe you could discuss with him putting the money into a fixed term ISA so that he can't touch it for x years.[/FONT]

xylophone

He might want to consider a Lifetime ISA?

alanq

Tom99 wrote: »

[FONT=Verdana, sans-serif]Maybe you could discuss with him putting the money into a fixed term ISA so that he can't touch it for x years.[/FONT]

If I recall correctly, all Fixed Term cash ISAs must be accessible although there will be a penalty for early access. Some non-ISA fixed term accounts on the other hand forbid early access.

RG2015

SkyRocket123.

I do sympathise and applaud your intentions but an ISA would not help even if you could do this. You need to get your son to look after his inheritance because he wants to not because you want him to.

Perhaps you can suggest that he spends some and saves some. Try to sell to him how he would benefit by having a large sum available to him in the future.

Is the inheritance from a loved relative? Ask him if he thought that they would have approved of him spending all the money with very little to show for it. Is that what they would have intended him to do with the legacy?

tibbles209

I understand you have good intentions in wanting to stop your son from blowing all this money irresponsibly, but this is his inheritance, not yours, so what you want to happen with the money ultimately doesn't matter. He is legally an adult, so if he wants to waste his money he has every right to do so, and you cannot withhold it from him just because you do not approve.

Speak to him. Try to make him see what an opportunity this is and guide him in the right direction. Thereafter all you can do is cross your fingers and watch how things pan out.