Ideas on how DD can spend £22K Child Trust Fund - when it matures soon

[RaggedNature]

In about 3 months time DD will be 18 years old.

CTF will be worth approx £22k.

I will encourage her to save some of course.

But has anyone got any ideas or suggestions for positively spending it?

A car, driving lessons are two I've thought of.

(P.S. Not sure if she wants to pursue higher or further education - she seems non-plussed at the moment.)

Not to touch it. Maybe a small car and driving lessons. She'll regret it if she fritters it.

NB we've paid for her to have driving lessons and for her theory test, and will pay for her practical test, once they are back up and running. As we are lucky enough to live somewhere with good public transport, neither she nor we think it is a sensible plan for her to aim for her own car. She's not hugely interested in going travelling, which might change at some point but there isn't really anything she wants or needs to spend it on currently.

She’s almost an adult op, so if she want to fritter it away, there’s nothing you can do...
Has she asked your advice?

4k into a life time isa, 16 into another savings account and transfer over to LISA every tax year, in 5 years she will have 25k for a house deposit.

That leaves 2k to spend. Wait out Covid then get a I month interail ticket plus (cheap) travel expenses.

Encourage her to transfer all of it into a S&S ISA. Once you dip into savings, the floodgates have opened and it’s so much easier to dip in again and again. Plenty of online research regarding investment diversification and information about which sectors to invest in. It’s her money - it’s in her own interest to actively manage it or spend it since she has plenty of time (assuming no FT job). Does she not want to go onto higher education?

Agree with sansou.

I think let her access some for frivolity.
Travel is incredible. If she wanted too seems not at present.
. Spilt it into different accounts and make the main one one of the Isa perhaps seem almost untouchable.
I'd try and make sure she had main living account with 500 float that she adds too with wages and perhaps funds lessons from.
Second float for holiday saving, clothes etc again perhaps 500...

Emergency fund float... Perhaps 1000 that she must not touch.

Then the rest in stocks and shares ring fenced for house deposit etc.

With the money broken down... Hopefully she would never need to touch the real capital.

My 2 children have received £15000 each from a relative. One is nearly 18 so I was thinking the best thing would be to invest in a LISA. But what should he do with the rest? My DD is only 8 so what would be best for her?

She could "spend it in another savings account if she wants?
That's what mine did, lump sums are always needed for houses, college, weddings etc.

I lied to mine and told her she had to give it to me for her savings. She has enough for what she needs now and wants to start driving lessons as soon as she can.

Put 3-5k aside to go travelling when the world's back to usual and save/invest the rest towards a house deposit