Available only from Friendly Societies, a Tax Exempt Savings Plan allows you to make regular monthly savings to build up a lump sum for the future.
Where a child is concerned, saving for important life events such as further education, a gap year or driving lessons can ease the financial burden.
- Affordable premiums – from £5 to £25 per month.
- Special Friendly Society tax exempt savings allowance - available for every UK resident, including children.
- A guaranteed lump sum for your child at maturity.
- You choose when your child receives their money.
- Can mature on a birthday or run for fixed number of years – the plan must always run for at least 10 years.
- Potential annual bonuses could increase the value of your plan even more.
- Invests in our With Profits fund.
- Not just for parents – grandparents, godparents or any other adult who wishes to help a child save for the future can take out a plan for that child.
- Available to children under the age of 18.
- Premiums and term must be fixed at the start and cannot change.
It is important to remember that if you do not pay all the premiums due or if you surrender early, the child will receive an amended “surrender value” and this would generally be less than you had paid in.
In certain circumstances, the guaranteed sum on maturity may be less than you have paid in.
The addition of any bonus is not guaranteed and depends upon the performance of the underlying With Profits fund, our expenses and other factors. Past performance is not a guarantee of future performance and rates may be higher or lower than in previous years.
Please ensure that you read the full Key Features document contained with the application before applying for your Child TESP. You should also read the Key Features below and the Frequently Asked Questions. If there is anything you do not understand then you should contact us for clarification.
We are not able to offer advice and therefore if you require advice on whether this is the right product for you, you should seek advice from an independent financial advisor who may charge for this.
Tax treatment is based on our current understanding of rules which may change in the future and will depend on individual circumstances.
For any further details on any of our products please get in touch:
Where are my premiums invested?
The premiums are invested in the Kingston Unity With-Profits Fund which invests in a mixture of assets such as property, fixed deposits, shares and cash.Find out more