Saving for our 1 year old

NurseMoneySaver1122

So we have a one year old and a few hundred pounds that we’ve managed to put aside so far. We’d like to set up an account for her but aren’t sure what’s best to go for.

Because we’re talking long term, we’re a little afraid to open an account for her, and in years to come (god forbid!) hit financial hardship then have to use all her savings before we can get access to any financial help. 

We’re also concerned at her automatically having access to the money at 16, regardless of what the future holds. I’d love to think we’ll have the most astute, sensible child at 16 years old. But I don’t want years of hard saving to then just be splashed out on the latest tech!

So that being said, does such children a account exist? Or are we better off saving in our own account? Or even under the mattress 🤦‍♀️

Any advice would be super appreciated

Albermarle

Yes there are children's savings accounts 
Top children's savings accounts: 3% interest - MoneySavingExpert

and Junior ISA's , including Junior Stocks and shares ISA's , which are better for saving long term .

Top junior ISAs: 2.4% children's ISA tax free - MSE (moneysavingexpert.com)

However the only way to prevent your child getting control of the money at 18 , is to actually not open a children's account and just use an account in your name.

Swagerstart

Hey lovely I'm approaching the worrying age my son is turning 13 this year and I have kept his investment safe as long as possible. What I did when my child was 1 was put some aside in the top children's saving account and then put some aside in an adults saving account. That was my child didn't have access to everything. Recently I've got my son a hyper jar account and that has been fantastic. No fees and he can only put money in specific jars. He has 60.00 he has saved himself.  He also has £30. In an emergency Jar and also has a savings account where he knows exactly what has been saved for him. We also talk as well about best saving accounts and why it's important we get the best interest rate. I hope this helps. 

Jami74

NurseMoneySaver1122 said:

Because we’re talking long term, we’re a little afraid to open an account for her, and in years to come (god forbid!) hit financial hardship then have to use all her savings before we can get access to any financial help. 

I don't believe that you can take money out of a childs account to spend on your own financial hardship, once the money is in an account in their name it is no longer your money to spend. If that is a worry then it might be better to open a savings account in your own name.

jimjames

Jami74 said:

NurseMoneySaver1122 said:

Because we’re talking long term, we’re a little afraid to open an account for her, and in years to come (god forbid!) hit financial hardship then have to use all her savings before we can get access to any financial help. 

I don't believe that you can take money out of a childs account to spend on your own financial hardship, once the money is in an account in their name it is no longer your money to spend. If that is a worry then it might be better to open a savings account in your own name.

Although in that instance the money would be disregarded for access to financial help as the OP was worried about precisely because it isn't their money but in the child's account.

Nurse2047

I would recommend the Santander mini savings account if you bank with them.
I also have a s&s isa for both my kids and SIPPs with fidelity. Only £25 goes in each month each account but hoping compounding helps. They also have Some in premium bonds. If you are worried about their access at 16 I would save into your own s&s isa and then you can gift to them when needed. 

Keep_pedalling

Are you in Scotland? If not yo7 child will not be able to remove anything from an ISA until they are 18.