If you cannot see your children and have no address to send them a gift why not start a savings account for them?
You can save large or small sums, save regularly or deposit a lump sum, or save for the long term or short term. We’ve split this guide into three different account types:
- The top children’s regular savings accounts, which let you save up to £100 a month, usually for a fixed term of a year – so are good for small sums. They often pay high rates of interest, but tend to have withdrawal restrictions. For a more detailed explanation of how the interest works and pros and cons, read our full adults’ Regular Savings guide.
- The top easy-access children’s savings accounts, which let you add money at will and usually allow unlimited withdrawals – so are good for larger amounts. Here, rates can change with the Bank of England’s base rate, ie, the official borrowing rate which it charges other banks and lenders when they borrow money, and as providers change their competitive stance.
- The top children’s fixed savings, which give a guaranteed rate for a set period, but you can’t take your money out during that time. These can be great for certainty on your return, but are only suitable if you’re happy to lock cash away for the entire term.
Saving for a child today is a wonderful gift for their future. Not only can they start their adult lives with some savings in hand, but getting kids involved early with saving also helps them learn important lessons about money. Here are some of the savings options for children that can help you start saving.