You are here: Home - Saving-Banking - News -

This week’s top paying children’s savings accounts and junior ISAs: Get up to 5%

0
Written by: Rebecca Goodman
06/01/2023
Children’s savings accounts and junior ISAs are paying some of the highest rates on record. Here are the best on offer this week.

Savings rates have been climbing across the board, and that includes children’s accounts too.

The boost to interest rates is largely because of several consecutive rises in the Bank of England base rate, which is predicted to rise further this year.

If you’re looking for a savings account for a child, now could be a good time to open one as there are no guarantees to how long rates will remain at these levels.

This week’s best children’s savings accounts

The market-leading savings account for kids comes from Halifax and it pays 5% AER/gross on a minimum monthly deposit of £10.

You can put in up to £100 per month, and £1,200 over the 12-month bond. Interest is paid annually and it can be opened online or in a Halifax branch. It’s available for children up to the age of 15, and to open one, you will need to open, or already have, a Kids’ Saver account from the bank.

Other top junior savings accounts as picked by Moneyfacts include:

  1. HSBC MySavings instant access account: It’s for children aged seven to 17 and pays 3.75% AER on balances up to £3,000 and 1.25% above this. You can start saving with £10 and while there are no penalties for withdrawals, children under 11 wanted to withdraw £50 or more will need a parent or guardian’s signature.
  2. Leeds Building Society The Ronnie the Rhino Youngsaver (up to 18), DinoSaver, and The Vault (for children aged 12 and over): These pay 3.65% AER and can be opened with £10. For children up to the age of 11, unlimited withdrawals are allowed if signed for by the authorised signatory on the account. Between the ages of 12 to 17, the child can make one withdrawal per week of between £10 and £250. Additional withdrawals, or any over the amount of £250, will need to be signed for by the account holder and the authorised signatory.
  3. Kent Reliance Demelza Children’s Savings Account Issue 7: For children under 18, the account pays 3.25% AER on a minimum £10 deposit and up to £25,000 can be banked. Withdrawals are allowed without penalty or notice, the varying limits apply depending on the child’s age. Once a year Kent Reliance will donate 0.25% of the total average annual balance held in Demelza accounts to Demelza Hospice for Children, a registered charity.

This week’s best junior ISAs

Coventry BS’ Junior Cash ISA (2): Pays 3.8% and has a minimum opening investment of £1. The ISA can be opened and managed in branch, via the post or by telephone.

Some of the other options for junior ISAs, which are all variable, include the following:

  1. Skipton BS Junior Cash ISA Issue 5: Pays a variable rate of 3.75% on a minimum opening deposit of £1. Interest is paid annually, and opening and ongoing management of the ISA needs to be done in branch or via the post.
  2. Loughborough BS Junior Cash ISA: Pays 3.5% on a minimum opening investment of £1. It can be operated via branch or by post.
  3. Monmouthshire BS Junior Cash ISA Issue 4: Pays 3.5% and requires £10 to open. It can online be opened in branch or via an agency though it can be managed over the phone or online as well as branch.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Your right to a refund if travel is affected by train strikes

There have been a wave of train strikes in the past six months, and for anyone travelling today Friday 3 Febru...

Could you save money with a social broadband tariff?

Two-thirds of low-income households are unaware they could be saving on broadband, according to Uswitch.

How to help others and donate to food banks this winter

This winter is expected to be the most challenging yet for the food bank network as soaring costs push more pe...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week