Savings for grandchild?

freccle

I want to put a little bit away per month for my yet unborn grandchild. Not very much - about £25. To be left untouched until she/he is around 18. Where's the best place to save it please?

save-a-lot

Have you thought about starting a pension?

http://uk.biz.yahoo.com/28092006/401/invest-pension-child.html

save-a-lot

there is no minimum age to start one

freccle

Thanks but I was thinking they'd probably need the cash before they were 55.

Blowsy

Child Trust Fund...
You can contribute £1200 per year.
Child has access at 18 yrs old

or...

NS&I Childrens Bonus Bonds
Child has access at 16 (or 21 if you time the final 5 year renewal right)

Mikeyorks

Blowsy wrote: »

Child Trust Fund...
You can contribute £1200 per year.
Child has access at 18 yrs old

Fairly certain the CTF can only be opened with the initial Govt (£250) voucher. But, thereafter, grandparents etc can add funds to it ... up to a max contribution, from all sources, of the £1200pa.

If the OP wishes to set up something outside of that - some options here :-

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

jennifernil

How about one of the childrens' regular savers? I am doing one with Halifax for our grandson, it pays 10% at present.
The balance is transferred each year to a lower paying account, so you may want to move it then. They can get their hands on it at 16, but if you don't tell them about it................................