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Bank accounts and other investments held on behalf of a child

There are age restrictions as to when a child can hold their own bank or building society account. Certainly, to open an account for a child aged under 11, a parent or guardian will need to open the account and hold it in their name on behalf of the child. Where a person holds an asset in their name on behalf of another person, this is known as a 'bare trust' (see UK2.7.1).

Whether or not the child can open an account in their own name at 11 years old depends on the rules of the relevant bank or building society. Some banks require the young person to be aged 16 or over.

Often an account held by a parent or guardian on behalf of a child cannot be transferred into the child's own name until they are 18 years old. The relevant bank or building society will able to provide details to the adult as to how the account can be