Invest Your Savings with Us and Get a Head Start

Children grow up fast which means it is essential to consider saving when they're young. By saving from just £10 to £25 a month with Scottish Friendly's Child Bond immediately you could aid them when they are older. For instance helping to pay for university fees or for the deposit on a property.

You can invest in a tax-free savings plan for any child with a Scottish Friendly Child Bond. It's tax-free as it's a friendly society savings plan, which means that under today's fiscal law it grows free of income or capital gains tax. It's a wonderful way for parents, grandparents, family members and friends to make a major financial difference when the kids are older.

Basically the Child Bond is a with-profits investment plan: It invests for long-term growth as well as a certain degree of security, in stocks and shares, fixed interest funds and cash.

The invested amount accrues by means of the addition of potential yearly bonuses and at the point where the bond matures there is a tax-free payout. The value of bonuses is arrived at based on how much profit we make and how we distribute it. Please be aware that bonuses are not guaranteed.

The Child Bond can last for a minimum of ten yrs, but if you want you can invest for longer if you decide to - perhaps to coincide with an 18th or 21st birthday. You can save either monthly, annually or with a lump sum payment.It is totally up to you. Please note if the plan is cashed in prior to the end of the term, the amount the child will receive may be less than the amount paid in.

If you go for the monthly option, you can commence saving from as little as £10 a month - up to a maximum of £25 a month. Or you can make once a year payments of up to £270 a year.

You can also make all of the premiums in one go through our lump sum funding plan. If you invest the maximum possible amount of £2,340 for a decade, this actually invests £270 a year into the Child Bond - a total of two thousand seven hundred pounds. The minimum lump sum of £1,040 will yield £120 a year for 10 years - a total of £1,200. This provides a route for you to pay all your premiums at once and is particularly popular with grandparents who like the reassurance of knowing all premiums for the entire term of the plan are taken care of.

Life cover is also included with this plan, so you should consider if this is fitting for your financial needs.