Can my child have two Junior ISAs?

Your child can have one or both types of Junior ISA. Parents or guardians with parental responsibility can open a Junior ISA and manage the account, but the money belongs to the child. The child can take control of the account when they’re 16, but cannot withdraw the money until they turn 18.

Are all junior ISAs the same?

There are two types available: a cash Junior ISA and a stocks and shares Junior ISA. Both can be used to make a long-term investment for your child, but the option(s) you choose will likely depend on your attitude to risk and which of the product features are most appropriate for your circumstances.

Why are Junior ISAs better than standard accounts?

Some parents favour Junior ISAs over standard children’s savings accounts because of the restriction on withdrawals. If the child cannot access the money until they are 18, they cannot squander the cash on a spontaneous spending spree. Junior ISAs also have a tax advantage over standard children’s savings accounts.

Do you have to be a parent to have a Junior ISA?

The government does not contribute to the Junior ISA and it must be opened and managed by someone with parental responsibility for the child. Anyone can then pay into the account up to £4,368 each year– and any interest or gains are tax free.

Can a 13 year old invest in a junior stock and shares ISA?

The funds have to be invested for at least 5 years, so if your child is over 13, a Junior Stocks & Shares ISA may not be suitable. In these plans your capital is not protected meaning there can be fluctuations in the capital value of the plan, which can vary dependent on the risk category of the funds invested in.

Which is the best cash ISA or NS & I?

While the Coventry BS Junior Cash ISA has the best interest rate, one of the main selling points of NS&I is that your funds are 100% guaranteed. But when it comes to the cash version of Junior ISAs, there’s a good chance you’ll enjoy equal protection from any of the rivals above. Why?