Many High Street Banks and Building Societies have started a trend of offering gifts to people who open a savings account for the children with them. Some of these offers do appear to be very tempting and some are certainly worthwhile gifts. However, the bottom line is that if they are also giving a fair rate of interest for the money you are planning to save in an account, then the gift really can be considered as a bonus. With this said if their rates lack lustre, then the gift has to be seen as just a carrot to get people to invest with them.
It is always wise to do a little research before opening a savings account for your children. Gifts are great but at the end of the day it is the longer term you have to consider.
If you open a children’s savings account with the HSBC, they give a red ‘safe’ money box. You have to open the account with a minimum deposit of £10 to get the reward or they do give this when the account reaches the £10.
The Co-operative Bank Child Bonus Children’s Saving Account gives each saver £2 every year until they reach the age of 12 and then this rises to £10 until they are 18.
The Halifax offer a free calculator, coin bank, save4it card and a lovely passbook wallet if you open a Halifax save4it Children’s Saving Account with them.
Lloyds TSB Young Savers Children’s Saving Account offers savers who open an account with them an excellent Black Horse moneybox and a height chart which is to show how their money grows at the same time as they do.
The Nationwide Building Society offers a selection of money-off vouchers as well as a welcome pack to help youngsters organise their savings when they open an account with them.
The Natwest Young Saver Children Saving Account gives young new investors a handy chart and lots of colourful stickers they can use to record their savings. If the account is opened by depositing £10 or more, investors receive a voucher for Dorling Kindersley’s an e-Explore Earth Geography Book or a My First Number Book.
If you open a Bradford & Bingley FirstSave Children’s Savings Account then your children will get a free Penguin book on opening an account. For a SmartSave account they give them a free voucher discount booklet as soon as the account is opened.
Are the Gifts Worthwhile?
The gifts that are offered are all very nice and appropriately chosen to encourage children to save. However, with this said the emphasis of whether you choose to open a savings account for your children with any provider has to be based on whether or not they are offering you a fair deal on the money you plan to invest with them. The gift should only be seen as a bonus.