"For every person who has ever lived there has come, at last, a spring he will never see. Glory then in the springs that are yours."Pam Brown
|
| |
Credit for Qualified Retirement Savings Contribution
Credit for Qualified Retirement Savings ContributionHere we are again its tax time. And with all the turmoil in our country not to mention in our private lives, Uncle Sam expects us to sit up and take notice of the time of year and file our tax returns ...
Moneynet slams long term returns on Child Trust Funds - and questions why National Savings does not offer a scheme
Child Trust Funds: Moneynet Questions Long Term Viability In Face Of Poor Returns* Standard CTF schemes set to deliver 'a measly' £500 at age 18* Moneynet asks why National Savings does not offer a CTFAS the government this week reportedly commits to ...
Young, Self Employed, No Accounts And No Savings. How Did I Get A Mortgage?
I was having considerable problems getting a mortgage to buy my first home about four years ago. If I was to believe everything I had heard, I was the ideal candidate for a mortgage - young, a first-time buyer and with an annual income of about £30k. ...
|
|
|
| |
Interest rates on children's savings accounts some of the most heavily marketed of all savings products can leave kids badly out of pocket, online financial data service Moneynet warns today.
In some cases, the difference in rates can be several per cent (see data below), meaning that over a period of years the accounts are typically held for the longer term the end savings pot can vary significantly.
High Street lenders are particularly aggressive when it comes to promoting their kids accounts as they hope to retain the business as the child turns into an adult, said Moneynet chief executive Richard Brown.
But as our data shows, with a difference of several per cent between the best and the worst paying accounts, parents should really do their homework before choosing a suitable account to hold longer term savings for their kids.
One of the best accounts, Scarborough Building Society's Children's Savings Bonds, delivers an attractive 5.75 per cent. A full one per cent above the current Bank of England base rate, it is also 3.50 per cent higher than one of the worst paying accounts, Norwich & Peterborough Building Society's Easy Plus, which delivers a relatively meagre 2.25 per cent.
There are literally hundreds of accounts out there, and of course with the launch of the Child Trust Fund giving kids' saving an extra dimension, parents need to be vigilant when looking for the best options, said Richard Brown.
When it comes to Child Trust Funds, there is not a lot in it: most of the cash-based accounts offer broadly similar interest rates. But for ordinary High Street children's accounts, parents are best advised to avoid gimmicky marketing such as free piggy banks, and focus on what really matters the interest rate.
****************************
Three of the most attractive children's savings accounts:
* Scarborough BS: Children's Savings Bonds 5.75 per cent Age 0 to 18 min dep £5 max £5000
* Chelsea BS: Ready Steady Save 5.10 per cent Age 0 to 15 min dep £1 max £5,000, instant access
* Halifax: Save4it 5.05 per cent - Age 0 to 16 min £1 max £5,000 - instant access
Three of the least attractive:
* Norwich & Peterborough BS: Easy Plus Account 2.25 per cent - Age 0 to 23, min £1 max £4,999
* Universal BS: Young Savers 3.40 per cent - Age 0 to 16 3.40% - minimum £ 1 - max £10,000 instant access
* National Savings Children's Bonus Bonds 4.10 per cent Age 0 to 16, five yr term min £24 max £3,000
And the best Child Trust Fund:
Britannia BS Child Trust Fund 6.00 per cent - minimum £250 voucher from Govt - £1200 maximum can be paid in each year. Rate includes a bonus of 1.25% for 2 years. No withdrawals allowed until child reaches the age of 18.
Source: http://www.moneynet.co.uk/, June 3, 2005
About the Author
About Moneynet.co.uk
Moneynet.co.uk is the UK's most established personal finance research and data website. The company offers consumers a wide range of low cost financial products: from mortgages and personal loans; to car, home and medical insurance; credit cards; savings accounts and best-buy fixed rate products.
http://www.moneynet.co.uk/
E-mail: online@moneynet.co.uk
|
|
|
|
|
|
Saving energy pays off for San GabrielPasadena Star-News, CA - 52 minutes agoCity officials responded by holding a series of meetings to explore energy saving projects and create a time table for implementing them, ... |
Arizona courts ordered to find cost savingsArizona Republic, AZ - 20 hours agoAlong with ordering court officials to look for cost-saving measures on their own, McGregor also set priorities of where to look. One included finding ways ... |
|
