My savings are depleting in huge amounts now!!

SFindlay

cleoeasta said:

 We had been saving a bit every month into the govt recommended junior isa scheme. They wrote & said is £6.8k in 19 Feb. It took us a while to get him to nationwide to get a new isa but when I checked yesterday to transfer his kids savings one into a new “adult” one (which we will have to help him manage) the amount had dropped to £5.3k. That’s 2 years worth of our savings in a month. I have seen the “can go up aswell as down” text but not sure what to do now. Feel a bit cross that govt we’re promoting such a risky saving process tbh. Anyhow I’d it best to just “leave it” until market comes back? I’m not sure what to do.

The government do not recommend the product you buy into, they do recommend putting savings into an ISA as it means you wont pay tax so you have not been misled in any way!!! 
You say you will need to help manage your sons adult ISA however I advise you seek some professional help regarding that as from what you have said I'm not sure you understand how ISAs work!!! The bottom line is if investing you have to be ready to lose money as theres no guarantees, if you want guarantees then you should have opened a cash ISA.  

cleoeasta

Thank you all. I don’t think it automatically transferred to an adult S&S isa but I will check. I think the problem is that I hadn’t fully understood the isa & that it was S&S that carried this level of risk. I think I will leave it where it is as we don’t need it urgently & keep my fingers crossed that we get through this current crisis & eventually at least some of the value recovers. 

Alexland

cleoeasta said:

Thank you all. I don’t think it automatically transferred to an adult S&S isa but I will check. 

https://www.gov.uk/guidance/close-void-or-withdraw-investments-from-a-junior-isa-as-an-isa-manager#childs-18th-birthday
"After age 18, the investments will become subject to the terms and conditions of the ‘adult’ ISA. Managers may decide to send the new or amended terms to the child before their birthday."

I think I will leave it where it is as we don’t need it urgently & keep my fingers crossed that we get through this current crisis & eventually at least some of the value recovers. 

If it doesn't recover eventually then the world has much bigger problems than our ISAs!

Albermarle

that I hadn’t fully understood the isa & that it was S&S that carried this level of risk.

It is most likely that the fact that it carries some risk, means that it will have actually grown nicely over previous years.

So despite the recent drop it is very likely there is still more money than you would have had ,  if it had been kept in a safe savings account. That is the whole point of long term investing. The value goes up and down but normally the long term trend is up.

Maybe worth having a read of this 

https://www.moneysavingexpert.com/savings/investment-beginners/?_ga=2.53612712.1079067175.1585992456-416810279.1528033817