Savings: Have you raided your children’s savings?

Have you raided your children’s savings?Educating your children about careful financial management, whilst encouraging then to save, is widely accepted as part of the modern parent’s role. However, new research from Santander has shown that millions of parents might not be the best people to be educating their children about careful financial management. The research, conducted by Santander, has shown: 32% of parents have dipped into their children’s savings to pay for something for themselves Less than half, 49%, of parents replace the money they take from their children, indeed 15% admit to having no intention ...

Junior ISAs launched today, but beware if your children have a Child Trust Fund

The long awaited Junior ISA (Individual Savings Account) is launched today. The Junior ISA will replace the Child Trust Fund, which was introduced by the last government, and was aimed at producing a lump sum of money for children as they turned 18. Flop In many ways the Child Trust Fund was a flop with only one in five accounts being added to by parents or grandparents, leaving most accounts with just the government contributions. Child Trust Funds received a government contribution of £250 when a baby was born plus an additional payment when the child reached the age of seven. Unlike the Child Trust ...

Government confirms higher limit for Junior ISA

Following recent press speculation the government has confirmed that the new Junior ISA, will have an annual contribution limit of £3,600, not £3,000 as was previously announced. The new Junior ISA is due to be launched later this year. The government has also confirmed that in line with the ‘adult’ version, both cash and stocks and shares Junior ISAs will be available, both types will be able to be held at the same time. The new Junior ISA has been introduced following the abolition of the Child Trust Fund (CTF) introduced by the last government. Existing CTFs will be able to continue but ...