Parents looking for the lowest-charging savings plan for their children should look no further than engage Mutual Assurance.
The financial institution was listed as the lowest-charging, tax exempt savings plan for children by the Financial Services Authority (FSA).
The FSA results were based on a child aged 15 or under saving £25 a month or placing £270 a year into the fund.
Another benefit for the plan is its tax exempt growth potential and this combined with a tax free lump sum payout to give the child a head start in their financial future provides security for UK parents.
There are also competitive low cost life insurance premiums available and a choice of stock market or deposit based investment funds.
Parents should be wary though as the value of stock market based investments can fall as well as rise and a saver may not get back all that they invest. Also with a deposit based fund the interest earned is not guaranteed.Click here for more information on savings accounts.
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