A staggering £1.4 billion in unclaimed Child Trust Funds could belong to you
London: Thousands of young folks in the UK might be sitting on a hidden stash of cash, and they don’t even know it! A charity recently pointed out that a whopping £1.4 billion is just lying around in unclaimed Child Trust Funds (CTF).
So, what’s a Child Trust Fund? It’s a tax-free savings account set up for kids born between September 1, 2002, and January 2, 2011. Over 50,000 young people have already claimed more than £100 million after finding their accounts.
The government kicked things off with an initial payment of either £250 or £500. The money belongs to the child and can’t be touched until they turn 18. Families could also add up to £9,000 a year, with the average fund sitting around £2,000.
But here’s the kicker: many families lost track of their child’s CTF provider over the years. This means that 728,000 people could potentially claim that £1.4 billion without even realizing it’s theirs!
If you’re wondering whether you have a Child Trust Fund, the first step is to contact your CTF provider. If you’re not sure who that is, ask your parents or guardians. You can also reach out to HMRC to help track down your provider, but make sure you have your National Insurance Number handy.
Once you find out where your account is, claiming your money is pretty straightforward. The CTF matures when you turn 18, and you can then withdraw the funds or transfer them to an adult ISA. Just remember, if you don’t take the money out, it’ll stay in an account that no one else can access.
For more info, check out the guidance on Gov.uk if you’re unsure about managing your account once it matures.
