Our Junior Cash ISA is a great way of saving tax-free^, for children under the age of 18. You can Invest from £1 up to £3,720 in the 2013/2014 tax year. For the 2014/2015 tax year you can deposit up to £3,840 between 6 April 2014 and 30 June 2014.
Following a recent Government announcement the Junior ISA allowance will increase by £160 to £4,000 from 1 July 2014 until 5 April 2015. This limit can be divided between a junior cash ISA and a junior stocks and shares ISA.
- Anyone can pay money into a Junior Cash ISA - parents, grandparents, other family members and friends
- Earn a great variable rate of 3.25% tax-free^ p.a./AER*
- Although all the money saved in the Junior Cash ISA belongs to the child, there is no access to the money until the child reaches 18 years of age
- Interest is paid annually to the account on 30 September and finally when the child reaches 18
The Junior Cash ISA can be opened for any child under the age of 18, provided they were not eligible to have a Child Trust Fund** and they do not already have a Junior Cash ISA with another provider. The child must also be a UK resident.
Please read the Junior Cash ISA opening guide for further information about opening the account for a child.
Managing the account
Once you have opened the Junior Cash ISA, you can pay money in whenever you like up to the annual maximum investment limit. Plus we'll send you an annual statement so you can watch your child's savings grow.
If you would like to talk to us about the account, give us a call or pop into a branch.
Paying money in
Anyone can pay money into the Junior Cash ISA - parents, grandparents or other family members and friends. These payments can be made in the following ways:
- Cash or cheque in branch
- Pop a cheque in the post
- Arrange an electronic payment from your bank or building society account or set up a standing order to make regular deposits
- Transfer money from another Coventry account
- We will also accept transfers of Junior ISAs held elsewhere subject to Junior ISA regulations
- There is no access to any of the money invested in a Junior Cash ISA until the child reaches 18 years of age. All funds saved into the account belong solely to the child and they can only make a withdrawal from the age of 18 onwards
- Funds held in the Junior Cash ISA may be transferred to another ISA provider subject to Junior ISA regulations
- Interest is paid annually on 30 September and is added to the Junior Cash ISA. When the child reaches 18 the final interest payment will be credited and the account will then be transferred into an adult cash ISA
The Junior Cash ISA can be opened for any child under the age of 18, provided they do not already hold a Child Trust Fund* and they do not already have a Junior Cash ISA with another provider. The child must also be a UK resident.
Children under the age of 16 will need an adult with parental responsibility for them (known as the Registered Contact) to open and manage the account on their behalf. If the child is 16 years of age or older (up to the day before their 18th birthday) they can open a Junior Cash ISA in their own name, without an adult being named on their account.
A Registered Contact is a parent, or someone who has been given parental responsibility for the child. It could also be the child themselves, if they are 16 years of age or over and opening the account in their sole name. The Registered Contact must be a UK resident.
The Registered Contact has responsibility for opening and managing the Junior Cash ISA and will receive all correspondence, until the child reaches their 18th birthday. However, once the child reaches 16 years of age, he or she can ask for the Registered Contact to be removed from the account, meaning the child would then have sole responsibility for managing their Junior Cash ISA.
Child under 16
- the Junior Cash ISA must be opened by the 'Registered Contact'. This is someone with parental responsibility for the child
- The Registered Contact will need to complete the application form and sign the declaration
- The application form will also include the child's details
Child aged between 16 and 18
- the Junior Cash ISA can be opened in the child's own name if they wish
- They will need to complete the application form, include their National Insurance number and then sign the declaration
- Where the child is aged 16 or over, they can choose to have an adult with parental responsibility named on the account. The adult will need to complete and sign the application form and sign the declaration
Returning the application form to us
Once the application has been fully completed please return it to us together with a cheque for the opening deposit. Please make any cheques payable to the child, do not make cheques payable to the Society.
We will carry out an electronic check to confirm the identity of the Registered Contact. If we require identification (ID), details will be included in the application pack. The ID documents we will need to see for the child will normally be their birth certificate and medical card.
Once the account is open, we'll then post a welcome pack confirming the Junior Cash ISA details.