Jun 25 2007
Britons aiming to secure the financial future of their loved ones through investment in a child trust fund (CTF) now have a new way of doing so, it has been revealed.
Under the terms of a new scheme introduced by the Family Investments company and Nectar loyalty cards, parents and grandparents can boost their child's trust fund by simply going out shopping.
The initiative allows Nectar cardholders to transfer the points they accumulate into a specified CTF account and add to the cash value of the fund that will be opened only when the child reaches the age of 18.
Miles Bingham, marketing director of Family Investments, said: "The proposition from Nectar is very exciting for new parents and a unique way of adding extra value to their child's fund.
"As any parent will know, bringing up a child is an expensive business, however, with the Nectar CTF it's good to know that all those vital purchases are actually helping your child again in the long term as the Nectar points are converted into their fund."
Rises in the base rate of interest in the UK look set to spark a price war among providers of CTF accounts, Sean Gardener from MoneyExpert suggested last week.
