HMRC warns you could have thousands in 'unclaimed' savings pot - how to check
More than half a million Brits have been urged to complete a simple check to see if they are eligible to claim thousands. HM Revenue and Customs (HMRC) has revealed 671,000 young people aged 18-22 have yet to claim the money in their Child Trust Fund.
The average savings pot in the fund is worth £2,212. The tax-free savings initiative was created by the government to encourage children to develop a 'savings habit throughout adulthood' - but closed in 2011.
Every child born between September 1, 2002, and January 2, 2011, will have an account - with a minimum of £250 plus interest thanks to the government's deposit. Even if your parents did not set up an account for you, the government will have sorted it out on your behalf, and you can withdraw funds from the age of 18.
It's important to note that these savings are not held by the government but in banks or building societies. Third-party agents are currently offering services to retrieve the funds on your behalf, but these companies will take a commission of up to 25 per cent. To avoid unnecessary fees, you can search for your account yourself with just your National Insurance number and date of birth.
"Thousands of Child Trust Fund accounts are sitting unclaimed – we want to reunite young people with their money and we're making the process as simple as possible," said Angela MacDonald, HMRC's Second Permanent Secretary and Deputy Chief Executive. "You don't need to pay anyone to find your Child Trust Fund for you, locate yours today by searching 'find your Child Trust Fund' on GOV.UK."
Gavin Oldham from The Share Foundation, which helps Brits find their Child Trust Funds, added: "If you are 18-21 years old, the government would have put money aside for you shortly after birth. This investment would have grown quite a bit and it's in your name. The Share Foundation has linked over 65,000 young people to their Child Trust Fund accounts. It's easy and free to find out where your money is. Go to findCTF.sharefound.org or GOV.UK to locate it today."
Last year, more than 450,000 customers successfully located their Child Trust with just their NI number and DOB. You can find your national insurance number on the HMRC app or on a pay slip.
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