Savings

cleverish2001

Hi there looking for some help here my sons father passed away and an insurance policy has left my son with £23000 I’m looking to save this for him till he’s 18 he’s only 14 just now where is the best place to go I’ve been to Santander and cause the amount it would need to be put into 3 different accounts I would rather it was all in one account any help is appreciated 

Alter_ego

Is the amount twenty three k or two hundred and thirty k? Presumably they are thinking of the 85k fscs amount

cleverish2001

Twenty three thousand 

Alter_ego

No reason for 3 accounts then. Unless they have a max for their accounts. Even 3 accounts with the same provider would not protect all of 230k

cleverish2001

Yeah cause he’s a child they have limits on two of the accounts one is 123 mini and other is junior Isa the third account which has no limit is the fixed bond renewing ever year 

Alexland

If the child still has a Child Trust Fund and has not contributed any money already in this birthday year then £9k could be added now, it could be transferred into a Junior ISA (Coventry BS pay 2.95%) and another £9k could be added this tax year then the rest £5k can be added from 6th April 21.

refluxer

The Santander 123 Mini account looks to be the best bank account for the first £2k, but you can do a lot better elsewhere for the rest if you're looking at fixed rate bonds and Junior cash ISAs. I would actually avoid fixed rate bonds altogether personally, as the best Junior ISAs are currently paying substantially more.

There's more info on Junior ISAs in the MSE guide here. If the phone/branch/post approach isn't convenient for the current top three recommendations, then there's always the Halifax @ 2% (still branch only, but branches nationwide) and Tesco do one you can manage online @ 2.25%. Note that all of these rates are variable, so can and do change from time to time. Also - you can't hold both a Child Trust fund and a Junior ISA at the same time. You can transfer the contents of a CTF into a jISA, but not all providers accept transfers.