Give your children a head start financially

There is such a vast selection of financial products available on the market for you to make the most of including instant payday loans for when you need a little help until your next wage packet arrives, to special mortgages for those who want buy a property to let. However, one financial product that many, especially those with children, in the UK are taking advantage of is special savings accounts for children.

From the moment your baby is born, you are now able to start putting some money away for their future, which could help them purchase their first property, buy their first car or even be used to treat them to a gap-year exploring the world before they settle into the sensible, fast paced, and often scary world of adulthood.

The great thing about savings accounts for children, is you can usually save as little as you can afford each month, and you can even open a savings account for your child whether they are one year old or 15 years old!

Here is a quick guide to what financial options are available to those living in the UK and want to give their child a little financial boost in the future:

One of the most popular methods of saving for children is to open a standard savings account for children with a high-street bank. Almost every bank in the UK offers these accounts, with many being valuable to all children under the age of 16 years old. These accounts are opened by parents on behalf of their children, and when the child turns 16 years old control is then removed from the parents and given to their child. There are also some accounts where this age is slightly higher at 18 years old, therefore there is something to suit all needs and preferences.

When opening a savings account for children you will often be required to make ea small initial deposit to open the account, which averaged about £10. There are also some accounts which will require you place a fixed amount, such as £10 per month into the child’s account, whereas others have no fixed amount allowing you to save as little or as much as you can afford.

Alternatively, you could look into open a Junior ISA. These accounts work in a similar way to a standard savings account, but are usually tax free, which is great for those who are serious savers on behalf of their children. With a Junior ISA, you will also find that there is a limit on how much you can place into the account which until April 2018 is £3,600.

One of the easiest ways to find the best type of savings account for your child or children is to use an online comparison tool. After inputting a few relevant details into the comparison tool, you will quickly be presented with a good selection of suitable products. You can then compare all options in one go, and even apply online.

 

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