The Dogmother Posted September 20, 2018 Share Posted September 20, 2018 My dad would like to put some money from my late mother's estate into some form of savings account for my daughter. Said daughter is over 18, so an adult, and away at university, so he would like it to be an account other than her current one so that she doesn't spend it! Any ideas? Can he open an ISA for her as she is an adult? Quote Link to comment Share on other sites More sharing options...
Lewis Posted September 21, 2018 Share Posted September 21, 2018 Sorry to hear about your Mom, C. Similarly when my grandad died I opened a Skipton Lifetime ISA, the government give a 25% bonus with the idea that it goes towards buying a house or retiring so if you put in £4000 they add £1000. It's all done online so R can do it while she's at uni which is what I did - not sure if you are able to open one on her behalf. Quote Link to comment Share on other sites More sharing options...
The Dogmother Posted September 21, 2018 Author Share Posted September 21, 2018 Thanks Loo-is, I will look into that. I will pop down to the Nationwide tomorrow and ask them as well. Quote Link to comment Share on other sites More sharing options...
Blackrocksrock Posted September 21, 2018 Share Posted September 21, 2018 I wanted to open an account for my grandson and could not as the parent would have to and I wanted to save it for him for when he was older, and when they were an adult they had to do it themselves. Hope this helps but best to ask in case it has changed any since then. Quote Link to comment Share on other sites More sharing options...
The Dogmother Posted September 22, 2018 Author Share Posted September 22, 2018 I have made some phone calls and need to do more research, but it looks like a Bond or Trust will be best, especially as we can open it for her and I can be a Trustee on it if we want to go that route. The 5 year Bonds/Trusts seem to bring a decent return, 2% fixed rate in some cases. Will keep looking Quote Link to comment Share on other sites More sharing options...
Patricia W Posted September 22, 2018 Share Posted September 22, 2018 I’m wondering about setting up pensions for my grandchildren as an alternative to ISA’s. Might be worth looking at that option too. Quote Link to comment Share on other sites More sharing options...
The Dogmother Posted September 22, 2018 Author Share Posted September 22, 2018 1 hour ago, Patricia W said: I’m wondering about setting up pensions for my grandchildren as an alternative to ISA’s. Might be worth looking at that option too. Hmm, hadn't thought of that... thanks Quote Link to comment Share on other sites More sharing options...
Valkyrie Posted September 22, 2018 Share Posted September 22, 2018 I'll ask my financial adviser in the morning - it's way past his bedtime (we were at a "do" so back late), but he's been telling our two which ones to open accounts with and add to their funds. Quote Link to comment Share on other sites More sharing options...
Valkyrie Posted September 23, 2018 Share Posted September 23, 2018 Depends on what he wants her to keep it for, what the intended use will be and also depends of the amount of funds to be invested for her. But here goes - we helped match DD's savings into a mortgage account, but we did set aside the same funds for both siblings to keep it equal and fair - and our interest rate is better long term than theirs at the moment - don't ask I have no idea but it's good to not keep your eggs all in one basket! If I hear him trying to talk about money to me I have the attention span of ooh squirrel! Then my eyes glaze over and he says "you are not taking this in are you!" Ummmmmm So I hope that's of some use for you and anyone else - No he can’t, but can give her the money to do so herself. Very Long Term – Pension As she is not earning he can only put in £2880 and Government will top up to make it £3600 per tax year (see below). Long Term – LISA Life Time Savings ISA – You can put in £4k per tax year and government will add 25%, you can then use this towards a purchase of a house, as long as you haven’t ever bought one before. Or alternatively towards a pension – but this is not recommended. So if there is no prospect of buying a house do not go for this option. £4k could go in now and another £4k when the new tax year starts – 6th April 2019. Medium Term– Stocks & shares ISA Short Term – Cash Savings in an ISA or non ISA savings account – you can get fixed terms so the money would only be accesses after say 1 or 2 years or longer, but interest rates are pretty poor. As I say what is the intention for the money – is it for short access after Uni, or long term use? My choice would be LISA – to help with a deposit for a house £4k can be paid in each year until the house is bought. And if we are talking a lot of money start a pension - as she is not earning then you can only put in £2880 and Government will top up to make it £3600 per tax year. Quote Link to comment Share on other sites More sharing options...
The Dogmother Posted September 23, 2018 Author Share Posted September 23, 2018 Thanks Val, and thank M for me. I have been looking online and calling around; found the Coventry BS, which offers a 5 year fixed rate ISA at 2% with no access (that's what we'd tell her!) and the bonus is that I can open it for her. I need to text Madam (assuming that she will answer ) and get a notarised copy of her passport. Quote Link to comment Share on other sites More sharing options...
Valkyrie Posted September 23, 2018 Share Posted September 23, 2018 Hahaha - we get that with number one son - but if you put a £ sign first she may respond - like he does! I think our lot are with the Newbury Building Society. Very few of those left that haven't been taken over by the banks. Quote Link to comment Share on other sites More sharing options...
Patricia W Posted September 23, 2018 Share Posted September 23, 2018 I was recommended setting up pensions for them because the government then also puts something in. And there are other tax advantages for us at our age. 1 Quote Link to comment Share on other sites More sharing options...