Fixed Cash ISA for 17 year old

psarinuk

Hi,
I am trying to open a fixed cash ISA for my daughter who is 17 years old.
Tried all the top 1 year choices advised by MSE and they are asking for 18 years as minimum age: OakNorth Bank, Shawbrook Bank & UBL UK.

I thought that the minimum age for a cash ISA is 16 years! Am I missing anything? Any recommendations on where to apply with a good rate?
Thanks.

Doctor_Who

Gov.uk says 16 or over to open a cash ISA. Must be the individual providers' T&Cs imposing the limit of 18 - not sure why.

https://www.gov.uk/individual-savings-accounts#:~:text=You must be:,over for a cash ISA

xylophone

I thought that the minimum age for a cash ISA is 16 years! 

Yes but not all providers offer them. 

https://www.kentreliance.co.uk/news/making-the-most-out-of-isas#:~:text=Anyone can open a cash,over more than one account).

Kent Reliance offers I yr Fixed Rate ISA (5.72%) from age 16.

refluxer

When I last checked for a similar reason, some of the bigger banks and building societies who allow ISAs to be opened from 16+ include the Principality BS, Yorkshire BS, Virgin Money, Ford Money and Santander but there may be others.

Of those, I think Virgin is paying the highest for a 1 year fixed rate cash ISA at the moment and you can get an even higher 'exclusive' rate if your daughter was also to open a current account (presuming that a young person's current account would qualify - I don't know so you'd need to check).

One thing to be aware of is that a 16 year-old may not pass any online ID checks, so I'd be prepared to have to post off (or visit a branch with) suitable ID documents. The majority of children's savings accounts require application by post or a branch visit to open, so I'm not sure what'll happen when a young person tries to open an ISA online.

BTW - does your daughter earn more than £18,570 in income and savings interest to actually make an ISA worthwhile ? One important thing to bear in mind is that, despite ISAs normally being tax-free, any money paid into your daughter's adult ISA by you still counts towards the £100 interest rule and could be potentially liable to tax at your own rate (it's only a Junior ISA that gets around this).

psarinuk

xylophone said:

I thought that the minimum age for a cash ISA is 16 years! 

Yes but not all providers offer them. 

https://www.kentreliance.co.uk/news/making-the-most-out-of-isas#:~:text=Anyone can open a cash,over more than one account).

Kent Reliance offers I yr Fixed Rate ISA (5.72%) from age 16.

Just tried to apply ISA with Kent Reliance. The aplication page is stuck and unable to proceed due to "unable to meet age requirements".😮‍💨

refluxer

psarinuk said:

xylophone said:

I thought that the minimum age for a cash ISA is 16 years! 

Yes but not all providers offer them. 

https://www.kentreliance.co.uk/news/making-the-most-out-of-isas#:~:text=Anyone can open a cash,over more than one account).

Kent Reliance offers I yr Fixed Rate ISA (5.72%) from age 16.

Just tried to apply ISA with Kent Reliance. The aplication page is stuck and unable to proceed due to "unable to meet age requirements".😮‍💨

The relevant quote from that page looks like it's probably been lifted from a generic help article about ISAs that they've obtained from elsewhere and it could really do with personalising - if Kent Reliance themselves don't offer ISAs to 16 and 17 year-olds, then they really should state that there otherwise it looks misleading.

"Anyone can open a cash ISA as long as they’re aged over 16 (although some providers only accept savers who are 18 and over)"

xylophone

Just tried to apply ISA with Kent Reliance. The aplication page is stuck and unable to proceed due to "unable to meet age requirements".😮‍💨

According to Money Facts, the minimum age is 16 and no maximum age!

Go to Cash ISAs/Fixed/ Kent Reliance/ View Further Details.

xylophone

I wonder whether the problem is in applying on line if under 18?

xylophone

I have had a look at offerings from Leeds BS -

https://www.leedsbuildingsociety.co.uk/savings/cash-isas/1-year-fixed-rate-cash-isa/?utm_source=money.co.uk&utm_campaign=1YRFRISA&utm_medium=paidaggregation&utm_customertype=b2c_savings

What is the interest rate?

Annual Interest

5.50% Tax free§ p.a./AER† fixed until 30 September 2024

How do I open and manage my account?

Eligibility:

• This account is only available to individuals aged 16 and over. You must be a UK resident for tax purposes, or if not, you must be performing duties as a Crown employee serving overseas and paid out of the public revenue of the United Kingdom (typically a serving member of the armed forces, or a diplomat), or be married to, or in a civil partnership with someone who is.

Account opening:

• The account can be opened through any of our branches, via our website at www.leedsbuildingsociety.co.uk or by post.

psarinuk

Opened one with Virgin Money, fixed 1 yr cash ISA @ 5.61% AER.
Thanks for all the help.