There is arguably nothing more important than securing the future of your child. This can only be done with a concrete financial plan that takes into account their most essential needs such as education, health and food.
Some of the savings plans that you should consider include:
- The vision tax exempt savings plan for children
Under this plan, you have the future of your child secure by saving as little as £25 per month. Under this you will be exempt from income tax.
The jumpstart savers account
Under this program, your child can have a debit card of their own from the age of eight, provided there is consent from a parent/guardian. Your child is able to spend or save the amount of money on the card, it’s assumed this card is a new way to administer a monthly allowance and so would be topped up by the guardian. It requires a strong sense of financial sense for this.
- The head start savers account
The interest rate for this type of account has been linked to the base rate that is enjoyed in England. One of the advantages of this plan is that you can you can deposit any amount of money. Further to this, you can withdraw money after a 95 day notice has been issued.
In order to ensure that you use the best saving solution for your child, you need to explore the services that are provided. Some of the options and the factors that could influence the choice that you make in picking the accounts include:
- Accounts that have instant access and one that can be done on a daily basis
- Whether the account has a withdrawal option at any time or if it requires a notice period
- Savings that have different levels of interest paid on them at different time
For all the financial services of your child, make sure that all the basic considerations have been made. This includes the nature of the saving to be made. This can be divided into short term and long term plans to help you come up with a better savings initiative. Further to this, the needs of the child have to be taken in to account. You should also note keenly the terms and conditions that come with the different savings plans.