A few months ago I opened Halifax Children’s Regular Saver accounts for my two young nieces. It was an easy choice to make because it pays a whopping 10% for a year.
The Halifax is the highest paying account for kids at the moment and you can save between £10 and £100 a month but there are conditions. At the end of the year and every subsequent year, the capital and interest is transferred to an alternative instant access account called Save4it which pays 4.8%, not a bad rate in itself although there are better. However, if you miss a payment during the year or close the account before the year is up, the interest plummets to the lower rate for all the money you’ve already saved….
Continue reading this article at the Motley Fool