Dd has

[Seasawride]

£25,000 lump sum compensation claim. She’s 19 and off to uni in sept. Obviously wants a house in the future. Is a life time isa a good idea? Thanks

How is she paying for Uni? Investing in herself would be best long term.

For now I would maximise the interest possible via current bank account (some do pay interest up to a certain balance). The rest I would put in whatever gives highest interest rate between instant access savings and Cash ISA.

If it is decided that it will be used for an initial home deposit, then a LISA may be useful but you would need to drip feed it, I am not aware that £25k can be put in as a lump sum. Check the details for how much can go in during each period to get the Government topup.

Avoid all debt - so allocate some towards a low cost car purchase in the future. More likely to need a car before a house.