Saving for your Children
Most of us will face expenses in later life such as university, new car, wedding and first home. If you can afford to start saving for your children, a nest egg in later life can be a huge benefit. Saving just £30 a month for 18 years at an interest rate of 4.5% will amount to almost £10,000. Bank and Building Society AccountsMost banks and building societies offer savings accounts specifically designed for children. These savings accounts are open to children of a certain age ranging from birth to 24 years. The interest paid on these savings accounts is often higher than that paid on standard accounts.
Some children’s savings accounts have restrictions as to how many withdrawals can be made without losing interest. How you can access your savings depends on which account you choose. Some may not require notice to be given to withdraw cash; they may be branch-based savings accounts or come with a passbook or cash card.