Put money away till the children's 21

xylophone

The money belongs to the children but in view of their ages they cannot give good receipt for it.
A Bare Trust account can be opened for each child. Each child will have the right to access and control at age 18.

https://www.skipton.co.uk/savings/childrens-savings-accounts/childrens-trust-saver   Up to £50,000 each

Or you could try

https://www.mansfieldbs.co.uk/saving/trust-savings-accounts/

https://www.suffolkbuildingsociety.co.uk/savings-products/family-tree-trust-saving-for-children-under-18-years-2/

https://www.bucksbs.co.uk/savings/trust-accounts/trust-instant-access/

https://www.harpendenbs.co.uk/savings/trust-instantaccess/

poseidon1

k2004 said:

I've have two grandchildren their mother passed away and the local authority has  parental responsibility their mother left an insurance policy of £140.000.I'm a kinship here for them the money is with the solicitors at the minute they have been no help because there be getting the interest. children are 15 and 16 I would like to put this money away and kept safe for their future 21 trust anybody can help thank

You have previously raised this self same issue in a previous thread below -

https://forums.moneysavingexpert.com/discussion/6626431/put-money-away-till-the-childrens-21#latest

Before anyone  else add new responses, please clarify whether  the mother left a will and if so what did it state?  I note in this regard your cryptic reference to age 21, whilst everyone here  is of the view that age 18 vesting is the relevant age. Do you have information to the contrary?

If no will, then a statutory trust for the children arises by virtue of intestacy - the following article explains the trustee's powers and obligations in that scenario -

https://phillips-law.co.uk/insights/news/dying-intestate-with-minor-children/#:~:text=When a child inherits under,one) alongside another appointed adult.

OP before you progress with any investment action, best to clarify exactly what you are dealing with.

 Regardless of the form of trust, you have an obligation to register it with HMRC ( bare trusts  are not exempt), so best to get things right from outset.

xylophone

( bare trusts  are not exempt),

BUT see below

https://www.gov.uk/hmrc-internal-manuals/trust-registration-service-manual/trsm23160

Where individuals (often parents or guardians) open bank or building society accounts for the benefit of a minor child, this typically creates a bare trust with the individual holding the bank account on trust for the benefit of the minor child.

This may also be the case for bank accounts opened for persons who lack mental capacity.

Though there is no general exclusion from registration for bare trusts, trusts created as a requirement of opening a bank account for a person under the age of 18 or a person lacking mental capacity are excluded from registration as express trusts (Sch3A(6A) of the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017).

k2004

No the mother did not leave a will

poseidon1

k2004 said:

No the mother did not leave a will

OK then you are bound by intestacy rules which requires the children's cash be passed to them at age 18,  so you can forget about arrangements where you control their monies until age 21.

@xylophone has listed possible building society candidates that offer trust savings accounts although you will note the interest rates are not brilliant.

A further possibility is Cater Allen bank below, but only if the solicitor can effect an introduction to them on your behalf

https://www.caterallen.co.uk/accounts/specialist-banking/solutions-for-trusts/fixed-term-deposit-account-for-trusts

Finally, NSI growth bonds offer better returns and are available to bare trusts. So you could consider one of  the building societies ( Skipton?) as a holding account, with the bulk of the children's cash invested in one or other of the various growth bonds on offer below -

https://www.nsandi.com/products/guaranteed-growth-bonds

https://www.nsandi.com/files/asset/pdf/guaranteed-growth-bonds-application-form-trustee.pdf

MarzipanCrumble

Just to look out of the box for a moment........

How good is your relationship with your grandchildren?  What about gently educating them about money and investment?  Give them the pros and the cons - maybe illustrate it by giving them a small amount of money to put in a suitable investment and for them to monitor it - does it lose money, stay steady or gain?