Savings, ISA's and other investments for children.

(11 Posts)
sleeplessbunny Tue 11-Jun-13 13:48:19

I opened a junior ISA for DD, investing in units in a fund that spreads risk. I am pretty happy with it and so far it has hugely out-performed any savings account (not guaranteed though, obv). It can't be touched until she is 18 so I'm happy to play the long term game for the time being (she's only2)
I used these people, the charges are very low compared to others I researched and they always seem nice on the phone.
www.h-l.co.uk

Turniptwirl Sat 01-Jun-13 10:38:37

I agree stocks and shares might be a good bet while interest rates are so low, as long as you can leave them for the long term. The advantage of junior isa is it can't be touched (unless god forbid your child has a terminal illness or dies) so will be there for your child when they turn 18 regardless. With an isa or other plan in your name, if times get hard there could be temptations to use it.

If you can afford it, try and maximise your own and your child's isa allowances as the interest is tax free.

principessa112 Thu 30-May-13 16:43:40

you might find this guide useful, its got loads in it about your savings options - www.legalandgeneral.com/childrenssavings

Notmadeofrib Wed 29-May-13 15:18:24

Premium bonds do not protect you against inflation and are at best a punt.

Depending on your time frame then consider a junior stocks and shares ISA. Anything on a longer term basis is (depending on your attitude to risk) better invested in something that protects against inflation (it's a silent killer). Then select a provider on the basis of their charges - a not so silent killer of returns.

Think carefully if you don't use your own ISA allowance whether you wish to put something in your childrens name as they can access at 18... if you want to retain some control it may be better to keep in your name. The only thing to be aware of is that ISA's in your name are not protected from bankruptcy (circumstances will depend for childrens investments).

tino2000 Tue 28-May-13 20:02:20

Does anyone know of any offers on opening a child investment plan i want to open one for my son but would like to get something free like M and S vouchers etc for being a new customer, every penny counts in todays economic climate. thanks shelley.

Choccybaby Fri 03-May-13 18:27:31

Ahh posted too soon

If its a decent sum and your child is of the right age you might be best opening a junior isa as above. You've got to be aware that you will not be able to get at this money again though and it will go to you child when they are 18, when they can do whatever they like with it .

I think the overall interest for Primium bonds isn't too bad at the moment so not a daft idea and you could then get at the money if you needed to in the future.

Choccybaby Fri 03-May-13 18:21:07

Depends on how much you have to invest, how old your kids are and whether you might need it back or are happy for them to have complete control when they are 18.

If you use a normal type account you only have to pay tax if the interest is more than £100 in a year (possibly per parent- best check if you think you might go over it).

twentyten Tue 30-Apr-13 21:15:17

We got a Halifax child isa which gives 6 per cent if a parent has an isa.

EmilyR111 Tue 30-Apr-13 21:10:07

Message deleted by Mumsnet for breaking our Talk Guidelines. Replies may also be deleted.

Jibberoo Fri 26-Apr-13 08:45:03

I'm having a major headache finding an investment solution. Nothing is giving more than 3% return and then there's tax on top. One thing to remember is if you open an account in your child's name they will pay tax in interest earned (unless its isa).
Also with isas u need to move the money around every year to get the best returns.

wreckitralph Fri 26-Apr-13 08:39:00

We are moving back to the UK next year and I have saved a little for my very young children, but not much. Where we live we have no access to ISA's for them or other similar savings programs and I know nothing about what I can do for them.

As soon as I hit the ground, I'd like to invest the little that I have and start saving some money for their future.

Can anyone please share with me what investments they have been doing for their children or tax efficient savings plans. I was thinking of buying some premium bonds - pointless or not such a bad idea.

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