The Junior ISA gives children their own tax-free savings account, which family and friends (or anyone else) can pay into but from which no withdrawals can be made until the child reaches 18.

To help you keep track of the savings a statement is issued every October. Money paid into the Junior ISA is a gift to the child and cannot be returned to the person making the payment.

Key Features

• Tax-free variable interest rate which increases as the balances rises
• Available to children under the age of 18 who were not eligible for a Child Trust Fund 
• Start your child's savings with as little as £1 and add more whenever you like
  
• Save up to £3,600 in the current tax year (statutory limit for 2011/12) 
• No one can withdraw money or close the account until the child (the account holder) reaches age 18
•  Account can be opened by transfer of an existing Junior ISA
• Transfer to another Junior ISA account allowed after 45 days' notice
• Interest added to the account annually on 1 October 

Interest rates
To see all of our current ISA interest rates please click here: ISA rates

*aer stands for Annual Equivalent Rate and illustrates what the annual rate would be if interest was compounded. ^Interest is described as being tax-free as it is currently exempt from income tax. The future tax treatment of Individual Savings Accounts may vary.