Best savings or bonds for granchildren

[Sunshineismyfavourite]

Can anyone recommend savings accounts or bonds for grandchildren? My DH and I would like to start to save money for our 2 GC. We have a small lump sum to start and would like to make monthly payments of around £50 each. Will want to keep them for at least 18 years or until they inherit.

How much control do you want over when they can access the money. You mention 18 years, but not how old the grandchildren are now. So do you want them to have access at age 18, or is it a later age?

For greatest control, use your own ISA. Within a Stocks & Shares ISA you could have an investment in one fund which you are saying is for grandchildren. You keep control so can change your mind whenever you like on that, so if you needed the money you could take it out. When you decide to give it to the grandchildren, you gift them the money (known as a PET - Potentially Exempt Transfer) so there is no inheritance tax if you live longer than 7 years following gifting the money (and tax reduces on a sliding scale if you died within the 7 years). Gift rules may change over the 18+ years but I would not worry about that.

This might not be what you want but we recently decided best way to save for our 4 was to open pensions for them all. They can’t get it till they are old BUT it will grow into an amazing foundation for them to build on once they are adults and keep them a bit safer when old.

Santa, excellent idea!!

If /when I have some I think I will do this as well.
As well as investment