Halifax Child Saver Account

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lizzyd66

Guest
I am looking to set up a regular savings account for both my kids to pay for expenses when they are leaving school (college or whatever). The Halifax Child Saver looks good but involves two accounts, one where the money accumulates for a year, you then get a bonus on it and it transfers to another account (Acorn) where a lump sum builds. The interest rate seems good - 7.25% aer on the yearly sum then 3% for the other account. Has anyone here looked into it? I'm just wondering if I want to save for a 10 year period would I be better to put it elsewhere? Any thoughts would be welcome.
 

ClubMan

Frequent Poster
Messages
43,899
In my personal opinion ... for a 10 year timeframe you would be better off going for a low charges unit linked fund rather than a deposit account offering 7.25% for the first year (?) and then 3% thereafter. Note that 7.25% on 12 monthly contribitions of €x does not mean 7.25% on €12x! And 3% is well below inflation at the moment. There are lots of existing threads on "children's savings" options. Use the search:

Searching Askaboutmoney.com using Google
 

redstar

Frequent Poster
Messages
431
Just recently looked into this account. The Child Benefit is paid into the Halifax Child Saver a/c and earns 7.25% interest at the end of the year. The entire Child Saver a/c amount is then swept into a Acorn deposit a/c, where it earns 3%. The Child Saver a/c builds up again (from zero) for another year at 7.25%.

Is this good value ?

One thing i noticed is the direct debit for the Child Saver a/c is between 10 and 200 euro monthly. But Child benefit is Euro160 for one child, so what happens if saving for more than one child ?
 

staunton

Frequent Poster
Messages
61
Just curious but would it not be a good deal to wait 12 months get the higher interest rate and then simply transfer the lump sum to a deposit acc ie Halifax flexi saver (5+%)from the acorn account (3%).
Sounds simple but I presume there must be something preventing this.
 
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