Gift Saver

Our Gift Saver could be a great way to build up a sum of money for a child. It offers the flexibility of saving regularly or just when you want, and will allow you take money out for the child up to three times a year.

4.60% Gross* each year / AER† (Variable) Book an appointment

	Interest rate	Balance	Gross* each year	AER†
	Variable	£1 - £20,000	4.60%	4.60%

Open in branch or agency
The maximum age for a child opening this account is 17 years
The account can be opened on a trust basis or by the child if they are 14 or over
Pay in from £1 to £150 each month. You do not have to pay in money each month.
Maximum balance £20,000
Interest is paid each year on January 1
Up to three withdrawals can be made each year
Closing the account counts as a withdrawal

Summary Box
Calculate your savings
Help & guidance

Summary Box

	Summary Box
What is the interest rate?	4.60% Gross* each year / AER† (Variable) (See the meaning of 'Gross' and 'AER' at the bottom of this page.) Interest is calculated each day on the money in the account and paid on 1st January every year.
Can Principality change the interest rates?	Yes, variable interest rates can go up or down. If you have £100 or more in the account, we will give notice of any reduction in interest rates at least 14 days before the change takes effect. For more information on changes to interest rates, see the section Changes to interest rates in our Savings Terms and Conditions.
What would the estimated balance be after 12 months based on a £1,800 deposit?	£1,844.45 This is based on you paying in £150 a month for 12 months, making the first payment on the day the account was opened, no money being taken out of the account and no change to the interest rate.
How do I open and manage my account?	This account is for people under 18 (referred to as ‘the child’ in this summary box). The account must be opened for a child under 14 as a trust account For a child aged 14 to 17 the account can be opened as a trust account or managed by themselves. The child and the trustee (if appropriate) must be UK residents (see your Gift Saver account terms) You must be 18 or over to open this account on behalf of someone aged under 18. The account can have up to four adult trustees. When the child reaches 18, we will move the money to an Instant Access Account or the nearest equivalent we offer at the time. The account can be opened in a branch or at an agency. You must keep at least £1 (the minimum balance) in the account. The most you can pay into the account each month is £150, in one or more payments. You don’t have to pay in money every month. If we do not receive the first payment within five business days of the account opening we will close it. If the account reaches £20,000, you cannot pay any more money into it. The account can be managed in branch, at an agency or by post.
Can I withdraw money?	Yes, you can make up to three withdrawals from a Gift Saver account every calendar year. Closing the account counts as a withdrawal
Additional information	Service charges and costs may apply to the account. These are set out in our Tariff of Charges. In certain circumstances we may refuse an instruction for using an account. These circumstances are set out in our Savings Terms and Conditions. Children are not exempt from paying tax. If the total amount of interest earned is more than the tax-free Personal Savings Allowance, tax may have to be paid directly to HM Revenue & Customs (HMRC). If a child earns more than £100 in interest from money given by a parent, the parent may also have to pay tax. For more information, visit gov.uk and search ‘interest on savings for children’. The interest rates quoted above were correct on 10/08/2023.

Calculate your savings

Savings calculator

Initial deposit

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Amount must be less than 25000

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The results displayed were dependent on the information you provided and are for illustrative purposes only and are by no means an indication of being suitable for your individual circumstances.
The calculations assume interest is paid gross* of income tax on the entire balance on an annual basis
It has been assumed that no withdrawals or additional deposits would be made from the account during the saving duration, and that the interest rate also remains the same during this time (note that interest rates on variable rate savings account are subject to change, and when fixed rate deals end, there is no guarantee that the same rate will be available in the future).

Help & guidance

Guides Read more for top tips on saving and answers to your savings and ISA questions.

Before you apply, please read the Gift Saver Terms & Conditions

As the child, signatory, or trustee will be bound by the Account Terms of the account and their information is held in accordance with our privacy policy, you should read, print and save the below documents for your records.

We recommend that you print and keep a copy of these terms and conditions for your records.

Please also read the following:

^ Tax-free means UK Income Tax and Capital Gains Tax is not deducted from the interest you earn. This depends on your individual circumstances, and may change in future.

* Gross interest is the rate of interest before income tax is deducted at the rate set by law.

† AER stands for Annual Equivalent Rate and illustrates what the interest rate would be if interest were paid once each year on the whole balance, including previous interest payments.

Putting money into your savings account Once you've opened your savings account, for most accounts you should pay money in within 5 business days. Click here for information on how you can do that.

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