Which ISA

rainingcatsdogs

Afternoon my daughter has just turned 18 and her junior ISA has now ended - we didnt have anything like this and im not very informed of it but as a lower income house ive saved for her since she was born and want to continue to do so. I appreciate she will have to manage it from her on but want to help her - what should she do with the junior isa funds - is it a life time isa?

Ch1ll1Phlakes

Hi. Well firstly you'll no longer be able to add money to her ISA directly however you can continue to do so by giving her the money directly and then she will have to add the money to her ISA herself.

On the idea of a Lifetime ISA, it depends on what the ISA savings are going to be for. If she's thinking about buying a house in the future (though may be hard to know or plan for this at 18) a Lifetime ISA may be useful but they are some drawbacks which MoneySavingExpert's website explains well.
Lifetime ISA (LISA): how they work & best buys

If you or her are unsure about what the funds will be used for at this stage or whether she will need access to them, I would suggest you keep them in a Cash ISA (you can transfer the funds from her Junior ISA to one - please don't just withdraw them). That could be a fixed ISA for a year or more or alternatively a easy access ISA which means she could withdraw the funds if and when she needs them. Note: a flexible easy access cash ISA would be useful here but I don't want to overload on info.
https://www.moneysavingexpert.com/savings/best-cash-isa/

If you think you know a plan of action, let us know and the forum can give you further guidance.

Ch1ll1Phlakes

Also will add this for you to read as it outlines the Junior ISA and what happens when someone reaching 18. 
Top junior ISAs: 4.15% children's ISA tax free - MSE

refluxer

Ch1ll1Phlakes said:

Further to this, your daughter probably has a Child Trust fund which she can now access.

If she has a Junior ISA, then she won't (or shouldn't) also hold a Child Trust Fund as a child can't have both.

Ch1ll1Phlakes

refluxer said:

Ch1ll1Phlakes said:

Further to this, your daughter probably has a Child Trust fund which she can now access.

If she has a Junior ISA, then she won't (or shouldn't) also hold a Child Trust Fund as a child can't have both.

Correct don't know how I forgot that.