What would be the best bank account to open for my new baby?

Question

I am in the UK and looking for a bank or building society that is offering the best incentives for babies. Also looking to open an offshore one for her to keep the government away from her money if you could help with that too?

Answer 1

How much interest is she going to earn? She will have a tax free personal allowance of £5435 in the current year. If her interest is going to be less than that, she wont pay tax. Even an offshore bank account's interest is taxable in the Uk if you are a UK resident.

The Post Office Investment account pays interest without deducting tax and money can be paid in and withdrawn at your local Post Office.

Answer 2

If you supply the money for your baby's bank account, she can only have £100 a year interest before you become liable for tax on the rest. If the money comes from grandparents or other sources, she can get currently £5435 interest per annum before tax, but that goes up to £6035 in September, when it becomes retrospective to 6th April last.

This rule was devised to stop parents avoiding tax by passing money on to offspring.

Answer 3

WELLS FARGO is good you can try, for your information the below link.

Answer 4

wachovia

Answer 5

try an isa

Answer 6

rbs trust fund

Answer 7

You've got the Engage Child Trust Fund

http://www.financecomparator.co.uk/savin...

Maximum of £1200 per year.

And they even give you £25 in Boots voucher