Contributing for a child
Wouldn't it be great to sow the seeds of financial growth that could blossom for your grandchildren, nieces, nephews or a little one you care about?
When it comes to investing for youngsters, there are a few paths you can take.
We offer 3 options...
Kick-start a Junior ISA if they don't already have one
Give a gentle nudge to kick-start a Junior ISA with us.
Contribute to boost their existing Junior ISA with us
Contribute to a child's Scottish Friendly Junior ISA.
Kick-start a Junior ISA
Parenthood can be hard work, especially when children are little. Let’s face it, sorting a Junior ISA may not be on top of their to-do list. That's where you can help as a loving grandparent, aunt, uncle or family friend.
Why not initiate the Junior ISA application process for them? It’s child’s play and takes three simple steps.
Suggest it to your the child's mum, dad or guardian with a friendly nudge.
Once set up, from just £10, you can start investing in their future. Simple.
Remember, the value of investments can go down as well as up and the child could get back less than you've paid in. Tax-free means the funds grow free from tax, with the exception of tax we've already paid on their behalf (such as dividends from UK shares). Tax treatment depends on individual circumstances. Tax law may change in the future.
Contributing to an existing Junior ISA
Has your grandchild, niece, nephew or a little one you care about already got a Junior ISA with us? Fantastic. You can chip in right now. By doing so, you'll be encouraging a positive saving habit, which could give them a head start in life.
Only mum, dad or legal guardian can open a Junior ISA on behalf of a child.
As long as the total contributions fall within the annual allowance (£9,000 for the current tax year) anyone, including doting grandparents, aunts, uncles and friends, can contribute.
The money belongs to the child and can only be accessed by them once they turn 18.
Making the most of your ISA allowance
Maximise the potential of your own ISA allowance to invest for a child you care about. You can use your allowance and stay in control of when you give them the money. It might also be handy if the child doesn't have a Junior ISA or if they've already used up their yearly allowance.
With a Scottish Friendly Investment ISA, you can begin investing with just £10 a month. Keep things hassle-free by having a separate policy, which we like to call a ‘pot’ within your ISA named for the child you care about, making investing simpler.
What you need to know
Investment ISAs are considered medium to long-term investments of at least 5 years - but ideally 10 years or more - and harness the growth potential of the stock market.
In the current tax year, you can invest up to £20,000, representing the maximum tax-free savings or investment amount across all your ISAs.
Tax-free means the funds grow free from tax, with the exception of tax we've already paid on your behalf (such as dividends from UK shares). Tax treatment depends on individual circumstances. Tax law may change in the future.
Remember, the value of investments can go down as well as up and you could get back less than you've paid in.
Proud to be a mutual
Scottish Friendly isn’t just another financial services provider. We’re a mutual. Your interests are ours.
That’s because, unlike most financial organisations, we don't have shareholders to pay. You’re what matters most.
Plus, we’re not just friendly to our customers. We’re friendly to our communities and the world around us.