Child trust fund and JISA

melcrafts

It appears that my child has both a child trust fund and a junior isa. The lady at the bank said she shouldn't have both, but offered no further advice. Accounts are with different banks. Does anyone know if I need to do anything or will this be OK?

sheramber

You cannot have a Junior ISA as well as a Child Trust Fund. If you want to open a Junior ISA ask the provider to transfer the trust fund into it.

https://www.gov.uk/junior-individual-savings-accounts#:~:text=You cannot have a Junior,the trust fund into it.

melcrafts

Thank you but the problem is she actually has both and I don't know what to do. Both accounts are over 10 years old.

silvercue

I have the same problem.  I opened a JISA for my son and later found out his mum had been paying into a Trust for him.    I am looking into moving the Trust to the ISA.

Problem is in one year we will have exceeded the yearly allowance.

I hope once there is just a JISA it will be OK.  

Stodge71

silvercue said:

I have the same problem.  I opened a JISA for my son and later found out his mum had been paying into a Trust for him.    I am looking into moving the Trust to the ISA.

Problem is in one year we will have exceeded the yearly allowance.

I hope once there is just a JISA it will be OK.  

Just wondered how this got resolved? Were you able to simply move the CFT into the JISA? Were there any penalties applied for the period of 'doubling up'?

Stodge71

melcrafts said:

Thank you but the problem is she actually has both and I don't know what to do. Both accounts are over 10 years old.

Just wondered if you managed to resolve this? Were you able to simply move the CFT into the JISA? Were there any penalties applied for the period of 'doubling up'?

xylophone

https://www.gov.uk/government/publications/tax-free-savings-newsletter-3/tax-free-savings-newsletter-3-october-2021

See Section 5.

You or JISA provider should contact HMRC for guidance?