Children’s trust fund

[MrGrumpy]

We have a fund with One Family for youngest child. However he will be coming into some money shortly and we would like to put it in their. Is there a limit at all ?

 

[midlife]

Nine grand a year I think, I thought junior USA were better? Been a while since I looked though.

 

[Milkfloat]

We had a child trust fund, but the return was terrible so I converted to an junior ISA years ago. We pump money into that ISA yearly up to the limit, anything left is is children’s savings accounts. I did look into starting a pension for them, but have not done anything about it yet.

 

[Eric Olthwaite]

Well done for putting something away for your child.

One Family charges are quite high (1.14% a year), you might want to consider a lower cost reputable provider e.g. Vanguard (more like 0.15% a year) e.g. their Junior ISA

https://www.vanguardinvestor.co.uk/investing-explained/stocks-shares-junior-isa

 

[MrGrumpy]

To be honest I can't even remember setting this up, need to dig out the paper work, it was around the time I think the then Labour government encouraged or provided a starter account to save for your child ?? Worked out ok at the time as our other two boys had savings accounts and all birthday, Christmas money gifts all went in. Anyway will look at a junior isa as its more than £9k going in.

Edit just noticed the junior ISA is £9k limit a year as well. Might need to split the money in the first year.

 

[Buck]

If it the CTF set up by the government then whatever is in there automatically goes to the child when they become 18.
this and the higher charges made us not invest in this (as advised by our IFA) and instead set up separate savings accounts and ISAs for them. Thankfully the eldest who is now 18 has a sensible head on his shoulders, the youngest may well be a different kettle of fish as he would spend every last penny in a flash!

 

[MrGrumpy]

If it the CTF set up by the government then whatever is in there automatically goes to the child when they become 18.
this and the higher charges made us not invest in this (as advised by our IFA) and instead set up separate savings accounts and ISAs for them. Thankfully the eldest who is now 18 has a sensible head on his shoulders, the youngest may well be a different kettle of fish as he would spend every last penny in a flash!

ha yes ! eldest is tight as a ducks @rse . Middle son would spend his last penny. Youngest can save but likes to spend!

 

[midlife]

I think my child's CTF went bust, Ryker I think it was..

 

[DCLane]

I've put £70 a month away for each child since they were born. It's then their money for university/a car/house deposit/etc. They know it's there and will be what they get, with us not providing anything else.

Son no.1 got his at 18 and, thanks to a family member part-funding him, hasn't touched it whilst at university. He lives very frugally so has a decent sum.

Son no.2 gets his next year, with a small bit extra from the Child Trust Fund. He's had bikes though and we've funded his racing.