It is never too early to start and the longer the savings are held, even when saving small amounts, with regular returns they soon mount up. With this in mind we have developed our Junior Savings Account which can be tailored to suit your needs.
At a glance:
- £5 gift received straight away to help encourage your child to save.
- Savings can be made through an adult member's account, direct debit, cheque or debit card.
- Once a member, always a member. Your children can be part of the Credit Union throughout their life.
- We can issue cheques on request or transfer funds electronically to a bank account giving you and your child easy and convenient access to funds.
- Online access to accounts.
- Your savings are covered by the Financial Services Compensation Scheme. For more information visit www.fscs.org.uk
Who can open an account?
The account needs to be opened by an existing adult member but it can be opened for any child living at the same address. Accounts can be opened from birth, right up to the age of 18.
How does it work?
The account is opened by the member on behalf of the junior saver. The account will be in the child’s name but control of the account will remain with the adult. The maximum limit for junior accounts is currently £10,000 and there is no need to save monthly.
How do I operate the account?
Unlike full members, juniors do not have a regular income so we do not ask that they save every month. We deposit £5 into their account when they join as an incentive to help them save and they are of course welcome to save monthly if they so wish or the full member can save for them via: -
- A regular monthly sum from their payroll
- A Direct Debit from a bank account
- Debit card
How do I keep up to date with the account?
A statement is sent out to the junior around the time of their birthday and of course you are able to keep in touch via the usual methods such as phone and email. Additional statements can be requested at no extra charge at any time. Balances and statements can also be viewed online; to register, click here.
What happens when they reach 18?
At the age of 18, the junior account must change to adult status. At this point, the junior will now be considered an adult member and will automatically gain full control of the account. They will therefore have full access to any funds you have deposited in their account however, at this stage they may need to provide identification prior to withdrawing any funds.
Once 18, do they have to save regularly every month to keep the account open?
We recognise that they might be going on to higher education or may not even have left school at that stage. We do not want to lose them as a member, particularly as they may not be eligible to join again should they leave, so we are happy to maintain the account while they are in full time education. Don’t forget that once they are 18 they gain all the benefits of being a full member including the life cover and ability to use all the Credit Union’s products.
Can the junior have control of the account prior to turning 18?
Control of the account can be passed to the junior any time from the age of 8 upwards and they may change their account to adult status from age 16 should they wish to do so. An adult status means that they are a full member and are entitled to all our other products and services however, our lending services are not available until the age of 18.
How safe is it?
Just like all savings held with us they are fully guaranteed by the Financial Services Compensation Scheme.