Saving for a deposit for my child

richardmichaelwiggett

Hi, My wife and I are about to bring a child into the world and something her parents did for her I would like to do for my child but not sure of the best account. 
I would like to put aside £50/£100 per month for the next 18 years giving our child a nice deposit for a house. I would rather like to keep this in my name so I can gift it when they are 18. What would the best account / way to do this? 
Many Thanks

george4064

Consider these children savings accounts: https://www.moneysavingexpert.com/savings/child-savings-tax-free/
Note that article includes details about Junior ISAs (JISA), which may be of interest.

Any specific questions feel free to post them here.

cloud_dog

richardmichaelwiggett said:

Hi, My wife and I are about to bring a child into the world and something her parents did for her I would like to do for my child but not sure of the best account. 
I would like to put aside £50/£100 per month for the next 18 years giving our child a nice deposit for a house. I would rather like to keep this in my name so I can gift it when they are 18. What would the best account / way to do this? 
Many Thanks

Two things....

1. You need to consider how much goes in the child's name and how much goes in your name (for the child).  Something to consider, might there be more children?
2. As mentioned above, you really should look to utilise the child's Junior ISA, and for 18 years you really should really invest in a stocks and shares JISA.

It doesn't have to be all or nothing, and cash savings (from parents) could be built up later in life (giving the investments as much time as possible to grow).

You may also, want an account in the child's name for monetary gifts from friends and relatives where they would like the child to have access to the money 'at some point', i.e. at age 5, 7, 9 (whatever).

xylophone

I would like to put aside £50/£100 per month for the next 18 years giving our child a nice deposit for a house. I would rather like to keep this in my name so I can gift it when they are 18. 

Why not open a stocks and shares ISA in your name and use that? Below might suit

https://www.vanguardinvestor.co.uk/investing-explained/stocks-shares-isa?cmpgn=PS0220UKBABIS0001EN&gclid=EAIaIQobChMImOOVq5rU6AIVRrDtCh2ZEA2kEAAYASAAEgLxgPD_BwE&gclsrc=aw.ds

https://monevator.com/using-vanguard-lifestrategy-funds-life/

Notepad_Phil

Is this going to be your only child or could there possibly be another one or two (or more), and if so then will you definitely always have the means to afford to put similar sums away for each child until they all got to 18?

Things like Junior ISAs hadn't been invented when we started putting money away for our kids, but even if they had, I think I would have still kept the vast majority of our savings for them going into investments (not cash) sheltered as far as possible within mine and Mrs Phil's ISAs. The reason for doing this was to ensure that we could share the resulting money out as fairly as possible when they needed it as investments can have very different results depending on the dates that the investments started.

Certainly think about a Junior ISA for any cash that they receive from relatives, but if you do go for investments then I'd think very hard before using them for what you yourself are putting away for them.