MoneySavingExpert.com (MSE) founder Martin Lewis has issued a warning to steer clear of using third-parties that charge you to trace lost Child Trust Funds – you can do it yourself for FREE. MSE has seen evidence of one claims firm targeting young people on social media and charging £100s for its services. Here’s what you need to know and how to avoid getting caught out.
You might have £100s in a Child Trust Fund without realising it
If you were born in the UK between 1 September 2002 and 2 January 2011, you would have had a Child Trust Fund (CTF) set up on your behalf – effectively a tax-free savings or investment account that parents and guardians could put money into.
Crucially, everyone was also given a sum by the state to start it off. This was normally £250, but in some cases could be £500. The money was set to be accessible when the child turned 18 – giving young people some cash to start their adult life.
According to the latest figures from HM Revenue and Customs (HMRC), there are 671,000 young people aged 18 to 22 who have unclaimed CTF accounts, worth on average £2,212 each. CTFs can become ‘lost’ if parents or guardians lose track of the account and its paperwork, for example.
Beware online ads offering to help you find your Child Trust Fund
Read the full article – www.moneysavingexpert.com/news/2024/10/child-trust-fund-claims-firms-warning/
