Best savings account

Maz74

Hi. Ive researched but am confusing myself!....
Would like to save £50 a month in an account for my grandchild which i will keep putting in monthly which they can then have when i pass away. With interest ideally being paid montly. What kind of account is best please - maximum interest etc? Savings or ISA and with who?

pramsay13

https://www.moneysavingexpert.com/savings/child-savings-tax-free/

what account you choose will depend on a few things, e.g. who you already bank with, what age is the child, are you happy with some risk etc.

Maz74

Thank you pramsay13. 
Was just going to have an account in my name, then if more grandchildren come along whatever is in the account can go to them equally through a provision in my Will.

eskbanker

The first question to consider is whether to save in the grandchild's name (which would mean they'd automatically have access at 18) or in your own name, which would allow you to retain control if you preferred.

If the former then you'd need a child account, which may entail having it opened by one of the parents.

If the latter then you have free reign of any adult accounts....

pramsay13

If it is in your name only then the above link isn't relevant, instead use this one:
https://www.moneysavingexpert.com/savings/savings-accounts-best-interest/
Keeping it in your name means it is your money in terms of tax implications and possibly even care home fees etc. 

Maz74

Thank you for the comments and food for thought

easyasonetwothree

Go for a Regular Saver if you're committed to saving every month. They have the best interest rates. Then at the endo the term (usually 12 months) put the savings into an ISA/savings account and open another regular saver for the next term.

Eco_Miser

Maz74 said:

Hi. Ive researched but am confusing myself!....
Would like to save £50 a month in an account for my grandchild which i will keep putting in monthly which they can then have when i pass away. With interest ideally being paid montly. What kind of account is best please - maximum interest etc? Savings or ISA and with who?

Why monthly interest? Generally, it's a lower rate than annual interest (for otherwise equivalent accounts), with the effect that both provide the same number of pennies after a year and your plan is it won't be touched for many years..

Growingold

eskbanker said:

The first question to consider is whether to save in the grandchild's name (which would mean they'd automatically have access at 18) or in your own name, which would allow you to retain control if you preferred.

If the former then you'd need a child account, which may entail having it opened by one of the parents.

If the latter then you have free reign of any adult accounts....

I opened savings accounts for my grandchildren easily enough with YBS (Rainy Day Account) and also Leeds BS (Ronnie the Rhino Account). Opened in my name as trustee for them.  Just had to produce the childrens birth certificates along with my ID.

eskbanker

Growingold said:

eskbanker said:

The first question to consider is whether to save in the grandchild's name (which would mean they'd automatically have access at 18) or in your own name, which would allow you to retain control if you preferred.

If the former then you'd need a child account, which may entail having it opened by one of the parents.

If the latter then you have free reign of any adult accounts....

I opened savings accounts for my grandchildren easily enough with YBS (Rainy Day Account) and also Leeds BS (Ronnie the Rhino Account). Opened in my name as trustee for them.  Just had to produce the childrens birth certificates along with my ID.

Yes, I perhaps should have clarified that the parental opening would apply specifically if choosing a Junior ISA - as you say, it's not a condition for all types of account.