How much can I pay in for my child?
You can choose to pay in from as little as £10 a month up to £25
a month – the amount that you choose is fixed throughout the
plan.
What's more, under current tax regulations, each person –
including children – can pay up to £25 a month into friendly
society plans, like Youngster Bond Extra, and benefit from the
plan's tax efficient growth.
For more information about tax, please see the tax section in
the Key Features document below.
Youngster Bond Extra
Key Features
PDF, 91KB (opens in a new window)
Of course, this doesn't mean you have to save £25 a month - you
can save from as little as £10 a month. Some people, for example,
like to pay in some of their monthly Child Benefit.
How long can the plan run for?
The plan runs for a fixed number of years, and you'll need to
agree to pay in a set amount each month throughout that period. You
choose how many years – the minimum is 10, the maximum 25.
As you probably know, children who are eligible for the Child
Trust Fund will receive their payout when they're 18. So, you may
wish to invest for your older child until they're about 18 too - to
help give them a head start in life too.
Who can take out a Youngster Bond Extra plan for my child?
Anyone can – for example a parent, grandparent, godparent or
family friend. They'll need to bear in mind they'll be entering
into a long-term commitment to make monthly payments into the plan
(the minimum is 10 years).
Please note that, unlike the Child Trust Fund, it's not possible
for several people to pay into the same Youngster Bond Extra plan.
But, your child can have more than one tax-efficient friendly
society plan at the same time (provided the total amount paid into
all such plans in their name isn't more than £25 a month).
When the plan pays out, the money belongs to the child to use as
they wish – for example, to help fund a college course or towards
the cost of a first car.
Why should I start now?
As a parent you'll want to give your child the best
opportunities you can. Costs keep going up and, as your child gets
older, things such as going to university and travelling may cost
more than you imagined.
The longer you can pay into an investment plan, the greater the
potential return should be - so the sooner you start putting money
aside for whatever path your child might decide to take, the
better.
Past performance
Information and
Application pack