Barclays Junior ISA

Barclays Junior ISA

Barclays don’t currently offer a Junior ISA but they do offer a range of Junior Savings accounts. 

You can find some information on Junior ISAs below.

What is a Junior ISA?

Junior ISAs work in a similar way to adult ISAs by allowing you to save money for your child without paying Income Tax (or Capital Gains Tax) on the interest or returns you receive.

You can open a Junior ISA as long as you’re either the parent or guardian of the child, but the money belongs to the child. This means that you (or any friends and family) can pay money in, up to the annual JISA allowance each tax year, but you won’t be able to make any withdrawals until the child turns 18. Once your child turns 16, they’ll be able to take control of the account and add money to it if they want to, the money then passes fully to the child when they reach 18.

Types of Junior ISA

Just like adult ISAs, there are 2 types of JISA that you could choose to open:

Junior Cash ISA - Junior Cash ISAs work in a similar way to a normal savings account, except that you don’t pay UK Income Tax on the interest your money earns.

Junior Investment ISA - Junior Investment ISAs can offer a potentially higher rate of return on the money as savings are invested in the stock market. And you also won’t pay UK Income Tax or Capital Gains Tax on any of the returns.

However, it’s important to consider that the value of investments – and so, the amount in the JISA – could go down as well as up.

Why use a Junior ISA?

Recent research suggests that the vast majority of parents with children under 18 believe it's important to save on behalf of their child, but over half of those questioned said they hadn't heard of Junior ISAs. Launched in November 2011, junior ISAs offer each eligible child an annual allowance - just like an adult ISA allowance - which can be put into a cash ISA and a stocks and shares ISA, in whatever proportion the adult opening the account chooses.

Are there any regulations that make a junior ISA different from an adult ISA?

Junior ISAs are quite similar to regular adult ISAs in terms of rules and regulations. It's important to note that the junior ISA limit can be divided between a cash ISA or a stocks and shares ISA in whichever proportion you wish. You can also switch a Junior ISA from a cash ISA to a stocks and shares ISA, and vice versa.