Child Saver Account

10
Posted 27th Jun
Hi everybody

I've got my little one's moneys in a Lloyds Child Saver account.

I'm after a better deal. any thoughts on this anyone?

Cheerio
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10 Comments
If you know you’re not going to need to withdraw NS&I junior ISA pays 3.25% and you can add 9K per year. Withdrawals only allowed at 18.
Also worth a look at a Stocks and Shares Junior ISA. Yes it comes with risk but if you buy in now and leave it for 10+ years. Unless interest rates miraculously jump then it should outperform a cash JISA.
It all depends on your risk appetite, which you can mitigate, age of kid and how much you want to save.
We’ve just moved to a Vanguard lifestyle 80 Vanguard S&S JISA. Bottle kids won’t turn 18 for over 10 years.
Halifax Kids monthly saver, currently at 4%
Yep defo the Halifax kids monthly saver!!
Bob2460127/06/2020 19:42

Halifax Kids monthly saver, currently at 4%


It's not a true 4% though so a bit of misleading there, don't agree with how any bank market any monthly saver account
N29V12P9327/06/2020 22:58

Yep defo the Halifax kids monthly saver!!


It's not a true 4% though so a bit of misleading there, don't agree with how any bank market any monthly saver account
cliosport6528/06/2020 21:38

It's not a true 4% though so a bit of misleading there, don't agree with …It's not a true 4% though so a bit of misleading there, don't agree with how any bank market any monthly saver account


It is - it is 4% of the balance which is no different to a regular account paying 1% and you adding money in monthly. The only difference is there is usually a requirement to pay in so much each month or you lose the headline rates.

What is an issue though is that people forget this and when doing quick sums assume that they've had the full balance in for the full term. Again though, thats no different to a standard savings account.
markmc99928/06/2020 21:40

It is - it is 4% of the balance which is no different to a regular account …It is - it is 4% of the balance which is no different to a regular account paying 1% and you adding money in monthly. The only difference is there is usually a requirement to pay in so much each month or you lose the headline rates. What is an issue though is that people forget this and when doing quick sums assume that they've had the full balance in for the full term. Again though, thats no different to a standard savings account.


I agree like I said its false economy
If I transfer the money from the current child Saver account into this new one will I have to pay taxes or do anything?...
jpalma28/06/2020 22:37

If I transfer the money from the current child Saver account into this new …If I transfer the money from the current child Saver account into this new one will I have to pay taxes or do anything?...


I pretty sure children don't pay taxes, unless your child is earing quite a bit of money?

So the Halifax monthly saver you can only pay in max £100 per month, so it's not a lump sum investment.

As mentioned before, stating you don't get 4%, you do it's just because your money goes in payments so at the end of the year its not 4% on the whole balance as all the money was not there for the full year - but I wouldn't let that put you off as its still 4% per year prorata. Just keep the rest of the money elsewhere until its in the monthly saver.
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