Junior ISAs: Your questions answered


It is important for you to teach your children how to save money at an early age, if they learn about just what it means to save money then it will set them on their way in the big world. When they come to paying for university, saving money for a car or are planning to save for a deposit to put down on a house, then what they have learnt when they are young will help them no end. One of the best things you can do for your kids is to open up a Junior ISA as soon as possible, it is the ideal birthday or christmas present. Ok, so they won’t run around screaming with joy if they are 5 years old and open up a card with a bank book in it, but as the years go on they will soon realise that it is one of the best presents they have ever been given.


The government speaks in superlatives about Junior ISAs, they see at as being one of the best ways for kids and youngsters to save money. Junior ISAs are new to a lot of people, there are always several questions that people ask about them. To help you understand exactly what they are, we have listed the most common questions and the relevant answers below.

Who is eligible?

Any child that is not eligible for a Child Trust Fund can open a Junior ISA.

How much money can you put in?

There is a limit to the amount that you can save, at the moment you are allowed to save unto 3,720 pounds a year, you will usually have to open an account with a starting balance of 10 pounds. The cap on the amount you can save is set to increase in April 2014.

How are my savings used?

You have two options, you can either just put the cash into a cash account. You can also choose to put you savings in an account where you funds will be invested. You are able to open a Junior ISA with nearly every major high street bank and investment houses.

What does the government do?

With Child Trust Funds the government will top your account up a a given point – it used to be that they would top it up by 250 pounds when you first open an account! Unfortunately with Junior ISAs the only people to top up the account are those individuals (child, parent, family, friend etc) that choose to.