Turning 18? You could be eligible for free money in a Child Trust Fund!
If you turned 18 after 1 September 2020, there could be a hidden stash of cash waiting for you in a dormant account known as a Child Trust Fund.
What is a Child Trust Fund?
Child Trust Funds (CTFs) are tax-free savings accounts that are available for everyone born between 1 September 2002 and 2 January 2011. You may already have access to the information related to your (or your child’s) trust, but if you don’t, read on …
This quick video explains what the Child Trust Fund is and how to access it:
How much could my CTF (Child Trust Fund) be worth?
It really depends, as the amount contributed by the Government was based on household income, funds could be held as cash or as investments, and parents, friends or relatives could also add to the pot.
But to give you a rough idea of what you can expect, the average balance of a CTF for those born between September 2002 and August 2003 is about £650, according to a recent report from the Institute for Fiscal Studies. The same report found that more than half (55%) of those CTFs have a balance of £500+, and just under a quarter (23%) have £1,001 to £5,000 in them.
There are a few ways of finding out if you have a Child Trust Fund and what it is worth.
- Child Trust Funds can be found using the Government Gateway service, which requires a login or registration. The Child Trust Fund unique reference number, or national insurance number is also needed.
- The Share Foundation charity runs a free finding service., which can support your tracing query.
So, if you were born between 1 September 2002 and 2 January 2011, or you are a parent of a young person born between those dates, and the child is 16 years plus, it is worth checking if you have money coming your way!