grandparent wants to open account for my kids

[Larkspur]

My grandparents opened accounts for each of their four grand kids when they were born. On our 21st birthdays we were all given access to them. They each had a set sum of money in them. I'm not exactly sure how they managed saving in them, but I am pretty certain they put maybe £10 per month in each of the four accounts - it was more a gesture of getting a lump sum on our 21st birthdays. My eldest cousin bought driving lessons and insured his car, the next cousin bought a car as he could already drive, I bought a nice piece of jewellery and then lived off it durin my final semester at Uni so I could quit work and focus on my career.

We also had individual savings accounts which my parents opened for us, but that was a more short-term saving account which we used for things like spending money on holiday, my sister an I even chipped in and bought a computer from that account when we were young - that is where any birthday, Christmas money etc went which was completely different from the trust account my grandparents gave us.

I can't understand the issue personally,

This exactly. If my parents or inlaws wanted to set aside money for my LOs on a regular basis, to accumulate to a lump sum, I would want them to get full credit for their generosity!

If it's a matter of perceived competition, ie one set of grandparents being a lot wealthier than the other (as in my own case) then that's something that will have to be managed/explained throughout your children's lives, and they should understand the situation clearly by the time they're old enough for access to a trust account.

 

[lindseymw]

My parents have savings account set up for both of my boys. They deposit so much a month into it, I think £10. They needed the birth certificates to open them.

The other grandparents have open premium bonds in their name as well (again needed birth certificate).

We also have saving accounts for them.

I didn't see problem with it. I just thought it was a nice gesture.

 

[Natasha2605]

I think it's a nice gesture.

 

[harrieth]

I'm not really sure why anyone would have a problem with it. My FIL has one for both my boys and I think it will be really special when they are old enough to understand that the money has come from them! They needed their birth certificates to Open the accounts though. Sorry if I have repeated everyone else

 

[AP]

I am trying to figure out the reason why I said no to handing over the certificate. I suspect it was about personal mistrust at the time. Past history of his side of the family and bank accounts just left me uneasy.

They do however have premium bonds that they pay into at xmas and birthdays, although nothing has come of them.

 

[Snow Owl]

My nan did this for me and my brothers and it was lovely when we were 18 that she surprised us with it!

The kids great granny has opened one up for them each as I assume she plans to do the same. I had no problem with it!!

 

[cocosianelle]

My MIL did this for our LO - she did ask if we wanted it in our name but I said no because she was paying the money in so she and my husband are named on there.

We did it more so to take advantage of interest rates, although they are still rubbish! The account we have for my daughter we can only pay £100 a month, which is how much we save for her.

On the flip side though my FIL gave us an amount of money for LO's 1st birthday which we've put in an overall account we have for anything given to us for my daughter.

 

[catty]

I personally feel that if my parents save enough for the kids to buy their first car then they 100% should get the credit anyway

 

[EcoMama]

My dc both have 2 with me.... An IsA each, which I pay in to monthly. A young savers each, for Christmas/birthday money to use throughout the year.
My mil has also opened savings accounts for them both, which I have no access to. But weird as they knew they had isas and they could have just put in to there, but hey Jo, I'll never understand grandparents!