What are Child Trust Funds?
The Child Trust Fund (CTF) is a savings account for children and is designed to help your child save from an early age. The government starts the savings by giving a £250 or £500 voucher (depending on your financial situation) to each child. The government will contribute an additional sum when your child reaches the age of 7. The voucher must be put into a Child Trust Fund and can be topped up by parents, family and friends to a maximum of £1,200 a year. The money can only be taken out by the child when they reach the age of 18. Who receives CTF voucher? Any child born on or after the 1st of September 2002, living in the UK and registered to receive child benefit will automatically receive a CTF voucher. The CTF will not affect any benefits or child tax credits you receive. Are there different types of CTFs? Yes, there are three types of CTFs. Smart Money credit union offers a cash savings CTF account. This is a long term, risk free account so when your child reaches the age of 18 the
