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Child Trust Fund question

Hi there,
I'm wondering whether to make a regular saving into my child's Trust Fund account or not - is it the most efficient place to save - will it be tax free?
Also, if I save loads of money in there, I want her to use it for something really useful like paying Uni fees or helping buy a house or something. can I make sure she doesn't just fritter it away? Like put a lock on it or something or will all the cash be hers to use when she reaches 18?
If so, should I be saving money into a sepeaerate trust fund?
Thanks for your help!

Replies

  • Hi there,
    I'm wondering whether to make a regular saving into my child's Trust Fund account or not - is it the most efficient place to save - will it be tax free?
    Also, if I save loads of money in there, I want her to use it for something really useful like paying Uni fees or helping buy a house or something. can I make sure she doesn't just fritter it away? Like put a lock on it or something or will all the cash be hers to use when she reaches 18?
    If so, should I be saving money into a sepeaerate trust fund?
    Thanks for your help!

    Hi Flemenca
    The Government should have sent you a ??250 voucher and because its effectively free money, we would recommend that you deposit this asap. The returns are free from income tax and capital gains tax so its definitely worth using the voucher. With regards to not letting her fritter it away, its also worth teaching her the value of money. Financial education for children is a very important part of the CFT. However, if you're still unsure about the CTF, invest some money here and save some in other children's savings accounts.


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