Parents with children aged 15 to 23 are being urged to check whether they could be missing out on thousands of pounds sitting in forgotten Child Trust Fund accounts.
MoneySavingExpert (MSE), the consumer website founded by Martin Lewis, has warned that young people born between September 1 2002 and 2 January 2011 could have money waiting to be claimed.
The average balance in dormant accounts is around £2,200, though some families have completely lost track of the savings.
In a Facebook post, MSE said: “They could be sitting on an average of £2,200 and have absolutely no idea about it.”
Under the scheme, the Government automatically paid £250 into accounts for all eligible children, with some receiving £500 depending on family circumstances.
It is estimated that around 750,000 people currently have unclaimed Child Trust Fund savings.
Children born up to 31 July 2010 received an initial Government contribution of £250 or £500, with some qualifying for a second payment at age seven.
For those born between August 2010 and January 2011, the top‑up at age seven was withdrawn and initial payments ranged from £50 to £500.
Martin Lewis website urges families to check forgotten Child Trust Funds
|MARTIN LEWIS
Every Child Trust Fund contains money, regardless of whether families made additional contributions, and some accounts have grown to £10,000.
Families who believe they may have lost track of an account can use HMRC’s free Find a Child Trust Fund service to locate the provider.
Applicants need their own or their child’s National Insurance number, the child’s date of birth and a Government Gateway account.
Those tracing an account for an adopted child must also provide adoption details.
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Money in a Child Trust Fund cannot be accessed until the account holder turns 18, at which point it can be withdrawn or transferred
| GETTYResponses to MSE’s post highlighted the wide variation in balances: one parent said their son has £5,000 waiting for him next year; another said both daughters received around £4,000 when they turned 18, with their funds moved into ISAs.
Others reported far smaller sums, including one parent whose 15‑year‑old has £65.
At the top end, one family said their son received nearly £10,000, which he split between investing, buying a car and an easy‑access savings account.
Families are being encouraged to check whether they have an account to trace, as eligible young people may already have access to savings that have remained untouched for years.