Junior Stocks & Shares ISA

Our Junior Stocks & Shares ISA is provided by Halifax Share Dealing Limited, with funds managed by Scottish Widows Unit Trust Managers Limited.

Junior Stocks & Shares ISA Overview

The Halifax Junior Stocks & Shares ISA gives you the opportunity to invest in a tax-efficient manner for the benefit of your child. The proceeds can be accessed by the child when they reach 18 years of age, and can be used for university fees, starting on the property ladder or whatever they have in mind. For a child under 16, Junior ISAs can only be opened by a parent or guardian. If 16 or 17, they can open Junior ISAs in their own name.

The Halifax Junior Stocks & Shares ISA invests in the Scottish Widows UK Tracker Fund that provides you with a medium to long-term tax-efficient investment for your child. It gives you access to the performance of a wide variety of UK companies listed on the FTSE 100 index, spreading the risk of funds you invest for your child across a range of industries. The FTSE 100 is an index of leading shares, based on market value, of the largest 100 companies listed on the London Stock Exchange.

It’s important that you understand the risks associated with investing in this fund before making an application. The UK Tracker Fund is categorised as an adventurous investment. Adventurous investments carry a much higher risk of loss but with the potential for higher growth over the medium to long-term. They may be subject to a considerable level of fluctuation in capital value and do not offer any guarantees. Your child may get back less than originally invested.

The funds are invested on behalf of the child and are transferred into a suitable adult ISA in their name on their 18th birthday. They can then choose to keep on investing or withdraw the funds.

You can invest in the Halifax Junior Stocks & Shares ISA with a single lump sum payment of at least £20 or a regular payment of at least £20 per month. Read more on how much you can invest.

Remember, the value of an investment and the income from it can go down as well as up and your child may get back less than originally invested.

The tax advantages of the Junior Stocks & Shares ISA depend on the child's individual circumstances and may change in the future.

Understand the risks

Please remember the value of your child's investment and the income from it can fall as well as rise and your child may get back less than originally invested.

If you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified financial adviser.

How much can I invest?

With the Junior Stocks & Shares ISA, you can:

  • Invest up to £4,000 in the 2014/15 tax year.
  • Invest a lump sum of at least £20 or set up a regular direct debit payment of at least £20 per month.
  • Payments will be made by Direct Debit or Cheque with your application.

Transfer funds between your Junior Stocks & Shares ISA and Junior Cash ISA accounts through the ISA transfer process (subject to minimum investment limits). Please download a Junior Stocks & Shares ISA transfer form to transfer funds to this investment, or contact your new Junior ISA provider for a transfer form.

The Junior Stocks & Shares ISA may be suitable for those looking to invest for at least five years.

Combined payments into your child’s Junior Cash ISA and Junior Stocks & Shares ISA must not exceed the annual ISA limit. For example, you could contribute £1,000 to a Junior Stocks & Shares ISA and £3,000 to a Junior Cash ISA. Additional investments can be made up to the annual limit. We will only accept payments from the registered contact. If other people wish to make contributions they should go via the registered contact.

Charges

  • No initial charge. 
  • A competitive Ongoing Charge of 0.5% per annum.
  • We’ll also be introducing a new monthly service fee in 2015. We’ll send you more details about this and how it’ll affect you before it’s introduced.

The tax advantages of the Junior Stocks & Shares ISA depend on the child's individual circumstances and may change in the future.

Understand the risks

Please remember the value of your child's investment and the income from it can fall as well as rise and your child may get back less than originally invested.

If you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified financial adviser.

Is it right for me and my child?

May be right for you and your child if you are:

  • Comfortable investing in a Scottish Widows UK Tracker Fund and that the value fluctuates over the life of the investment.
  • Comfortable with the funds being held in the child's name. On the child's 18th birthday, they will gain full control of the funds. In exceptional circumstances the funds may be released earlier.
  • Comfortable that the funds can only be moved between the Junior Cash ISA and the Junior Stocks & Shares ISA. Funds cannot be transferred into any other type of account until the child's 18th birthday.
  • Prepared and able to invest for a period of at least five years.

May not be right for you and your child if:

  • You cannot invest for the suggested time period of at least five years.
  • You're not comfortable investing in a product with an adventurous risk profile which has a high level of capital fluctuation, where your child may receive back less than originally invested.
  • You're not comfortable investing without financial advice.

Please be aware you cannot invest in the Junior Stocks & Shares ISA if your child has or was eligible for a Child Trust Fund.

On the child’s 18th birthday, the funds invested in the Junior Stocks & Shares ISA will automatically be transferred into a comparable adult Stocks & Shares ISA.

Remember, the value of an investment and the income from it can go down as well as up and your child may get back less than originally invested.

The tax advantages of the Junior Stocks & Shares ISA depend on the child's individual circumstances and may change in the future.

Understand the risks

Please remember the value of your child's investment and the income from it can fall as well as rise and your child may get back less than originally invested.

If you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified financial adviser.

Making additional investments

If you have not already used your full Junior ISA allowance for this tax year, you can add more money to your Stocks and Shares Junior ISA online.

Add to your Junior ISA online:

  • If you have registered for the online service to manage your Junior ISA you can set up or amend a regular investment by logging in and going to Dealing, then selecting the ShareBuilder and Regular Investments tab. You will then be able to set up a regular subscription plan and corresponding regular investment into your Junior ISA.
  • If you prefer, you can make a lump sum investment by logging in and going to Account Management and then selecting Fund & Withdraw. You will then be able to Fund your account and once funds have cleared, the amount will show in the 'Available to invest' section at the top of this page. To invest available funds into the Junior ISA, you will need to log in and go to Dealing, where you will be able to invest the available sum.

Understand the risks

Please remember the value of your child's investment and the income from it can fall as well as rise and your child may get back less than originally invested.

If you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified financial adviser.

Common enquiries

General
What are the different types of Junior ISA?
What is a Junior Stocks & Shares ISA?
Who's eligible for the product?
Who owns the account?
Can l open a Junior ISA if my child already has a Child Trust Fund?
Where can I buy the Halifax Junior Stocks and Shares ISA?
How much can l invest?
Can I transfer an existing investment to the Halifax Junior Stocks & Shares ISA?
Who are Halifax Share Dealing Limited?
Where is my child's money invested?
If my child is 16 or 17 and has a Junior ISA, can they open an adult cash ISA as well?
What charges will my child pay?
What tax will my child pay?
Is there a minimum investment term in the Halifax Junior Stocks & Shares ISA?
Are there any risks associated with investing in the Halifax Junior Stocks & Shares ISA?
How do I access my account online?
How do I get a valuation or service my Halifax Junior Stocks & Shares ISA?
What happens if l or my child holds a Junior ISA and moves abroad?

Application
I need some help completing the application form, who should I call?
What if I’ve made a mistake on my application form or want to change any details on my application?
I have submitted the wrong bank account details on the Direct Debit Instruction, how do I change this?
How do l make my subscription to the Halifax Junior Stocks & Shares ISA?
I haven't received my confirmation documentation or some of the documents were missing. What do I need to do?
Some details are incorrect on my confirmation documentation. How do I get them changed?
How will I know how my investment is performing?
How is the return on my child's investment calculated?
When will my child's money be invested?
What if I change my mind?
What documentation will I receive after cancelling my child's investment?

Payments and withdrawals
How do I close or take money out of my child's Halifax Junior Stocks & Shares ISA?
What happens when my child reaches 18 years of age?
Can I make additional payments to my child's investment or amend the regular premium amount?
Can I change my investment amount?
How soon can I make an additional subscription?
How can I find out how many units I’ve bought?
How do I change the date my regular subscription will be taken on my Halifax Junior Stocks & Shares ISA?
Who can make contributions into the Junior Stocks & Shares ISA?
I’ve read all the frequently asked questions, but I would still like to speak to someone to help me, who should I call?

General

What are the different types of Junior ISA?

There are two types of Junior ISA: Junior Cash ISA and Junior Stocks and Shares ISA. Your child can have a Junior Cash ISA, Junior Stocks and Shares ISA or both.

A Junior Cash ISA is similar to a bank or building society savings account, however like other cash ISAs any interest earned is free from tax.

With a Junior Stocks and Shares ISA, you can put your child’s savings into investments like shares and bonds. Any profits made from the shares or bonds are free from personal tax.

Investments are riskier than cash but could give your child higher growth over the longer term.  Remember the value of a Junior Stocks and Shares ISA can go down as well as up, and your child may get back less than the amount invested. Withdrawals can’t be  made until your child turns 18.

The tax advantages of ISAs depend on the child's personal circumstances which, like tax rules, can change.

What is a Junior Stocks & Shares ISA?

This is a tax efficient medium to long term investment for children for their future. You can invest up to £4,000 in the 2014/15 tax year. Once the child reaches 16 years of age they can assume responsibility for managing their Junior Stocks & Shares ISA if they wish. At 18 years of age the Junior Stocks & Shares ISA matures into a full Adult Stocks & Shares ISA and the child can either continue with the ISA, make their own contributions or make a full or partial withdrawal.

Who's eligible for the product?

Eligibility is restricted to children between the ages of 0 and 18, who do not have or are not eligible for a Child Trust Fund.

They have to be resident in the UK at the time of opening or the child of a crown employee abroad.

A child can only contribute to one Junior Cash ISA or one Junior Stocks and Shares ISA in each tax year.

Who owns the account?

The child owns the funds of the account, which cannot be accessed or closed until they reach 18 years of age.

Can l open a Junior ISA if my child already has a Child Trust Fund?

Unfortunately the HMRC regulations mean that if the child either holds or was eligible for a Child Trust Fund they will not be able to open a Junior ISA. Typically children born between 1st September 2002 and 2nd January 2011 will be eligible for a CTF. This means you cannot open a Junior ISA for them. For further general information on the Child Trust Fund and Junior ISA, please see Money Advice Service website.

Where can I buy the Halifax Junior Stocks and Shares ISA?

You can only invest in the Halifax Junior Stocks & Shares ISA online. If you would like any help completing your application form, call Halifax Share Dealing on 08457 22 55 25 (Lines are open 8am to 9.15pm, Monday to Friday and 9am to 1pm on Saturdays) who will be able to answer any of your product or application form queries.

If you need advice on the Halifax Junior Stocks & Shares ISA you’ll need to speak to an Independent Financial Adviser. You might have to pay for independent financial advice.

How much can l invest?

The maximum that can be invested in the Halifax Junior Stocks & Shares ISA is £4,000 in the 2014/15 tax year. Combined payments into your child’s Junior Cash ISA and Junior Stocks & Shares ISA must not exceed the limit.

The minimum investment in the Halifax Junior Stocks & Shares ISA is £20 – either as a lump sum or regular monthly payment.

You can also make a combination of regular payment and ad-hoc payments (for example on birthdays) as long as the total contributions do not exceed the statutory maximum.

Can I transfer an existing investment to the Halifax Junior Stocks & Shares ISA?

You cannot transfer an existing investment to the Junior Stocks & Shares ISA, however you can transfer Junior ISAs between providers and between a Junior Stocks & Shares ISA and a Junior Cash ISA. The Halifax Junior Stocks & Shares ISA will only accept transfers in cash. Please see the transfer forms.

Who are Halifax Share Dealing Limited?

Halifax Share Dealing Limited is wholly owned by Lloyds Banking Group. Halifax Share Dealing is the ISA Plan Manager and Administrators of your Halifax Junior Stocks and Shares ISA.

Where is my child's money invested?

Your child's money is invested in the Scottish Widows UK Tracker Fund managed by Scottish Widows Unit Trust Managers Ltd.

If my child is 16 or 17 and has a Junior ISA, can they open an adult cash ISA as well?

Yes, during the ages of 16 and 17 a customer can have and contribute to both an adult cash ISA and a JISA using both allowances, however they will not be able to contribute to an adult Stocks & Shares ISA until they reach 18 years of age.

What charges will my child pay?

There are no initial or exit charges for the Halifax Junior Stocks & Shares ISA. There is a an Ongoing Charge of 0.5% per annum which is taken from the value of the fund. For further information, please read the Key Investor Information Document (PDF) of the Scottish Widows fund in which your money will be invested and the separate Terms & Conditions (PDF) of the Halifax Junior Stocks and Shares ISA. We’ll be introducing a monthly service fee in 2015 and will be contacting all our customers with further details nearer the time.

What tax will my child pay?

Any growth in the Halifax Junior Stocks and Shares ISA is free from personal income or capital gains tax, although Halifax Share Dealing is unable to reclaim the 10% tax credit on UK dividends. The tax advantages of ISAs depend on the child's personal circumstances, which, like tax rules, can change.

Is there a minimum investment term in the Halifax Junior Stocks & Shares ISA?

There is no minimum term in the Halifax Junior Stocks & Shares ISA. However, it is important to remember that (except in very exceptional circumstances i.e. terminal illness or death of the child) the funds cannot be accessed until the child has reached 18 years of age.

Are there any risks associated with investing in the Halifax Junior Stocks & Shares ISA?

As with any investment product you need to remember that the value of your investment can go up or down and your child may get back less than invested. Please read the Key Investors Information Document (PDF) for further information on the risks of investing in the Scottish Widows UK Tracker Fund. The tax advantages of ISAs depend on the child's personal circumstances and tax rules may change in the future.

How do I access my account online?

To register for the online service simply go to the Halifax Share Dealing online service registration page and follow the instructions. You will need your Personal Reference Number (PRN) when registering. Your welcome letter will detail your PRN.

If you are an existing HSDL customer registered for the online share dealing service your Junior Stocks & Shares ISA will be automatically available once the application process has been completed.

How do I get a valuation or service my Halifax Junior Stocks & Shares ISA?

You can obtain a valuation of your Halifax Junior Stocks & Shares ISA via the Halifax Share Dealing online service. Here you can also increase or reduce your direct debit, make a one-off payment, set up a regular investment plan and service your investment.
For any enquiries please call Halifax Share Dealing on 08457 22 55 25 (Monday - Friday 8am – 9.15pm, Saturday 9am - 1pm) who will be able to provide you with help with any other servicing related queries.

What happens if l or my child holds a Junior ISA and moves abroad?

If you (the registered contact) or your child move abroad you can keep your Junior ISA ‘wrapper’ however you can’t make any further contributions. Halifax Share Dealing Limited can only deal with UK residents (or Crown employees working overseas) therefore we would ask you to transfer your Junior ISA to another provider.

Application

I need some help completing the application form, who should I call?

Call Halifax Share Dealing on 08457 22 55 25 who will be able to answer any of your product or application form queries. Halifax Share Dealing cannot, however, provide advice. Lines are open 8am to 9.15pm, Monday to Friday and 9am to 1pm on Saturdays.

What if I’ve made a mistake on my application form or want to change any details on my application?

If you need to change any of your personal details on your application form after you have submitted it, please write to Halifax Share Dealing Limited, Lovell Park Road, Leeds, LS1 1NS who will make the changes for you or call HSDL on 08457 22 55 25 (8am to 9.15pm, Monday to Friday and 9am to 1pm on Saturdays).

I have submitted the wrong bank account details on the Direct Debit Instruction, how do I change this?

If you are paying by Direct Debit you need to complete a new mandate form. Please call Halifax Share Dealing on 08457 22 55 25 (8am to 9.15pm, Monday to Friday and 9am to 1pm on Saturdays) to request a form, or download one from the Junior Stocks & Shares ISA page.

How do l make my subscription to the Halifax Junior Stocks & Shares ISA?

You can make an initial subscription by cheque and enclose this with your application form. All further subscriptions must be made by direct debit, and you should enclose a direct debit instruction with your completed application form. Of course, as long as you do not exceed the maximum contributions allowed you can send in both a cheque and set up a Direct Debit.

You can set up a regular subscription plan or make one off subscriptions via the Halifax Share Dealing online service once your direct debit is in place. Please allow 10 working days from our receipt for your Direct Debit Instruction to be processed.

I haven't received my confirmation documentation or some of the documents were missing. What do I need to do?

If after 5 working days you have not received your confirmation documents or something is missing, please call Halifax Share Dealing
on 08457 22 55 25 (8am to 9.15pm, Monday to Friday and 9am to 1pm on Saturdays).

Some details are incorrect on my confirmation documentation. How do I get them changed?

If you need to change any of your personal details on your application form after you have submitted it, please write to, Halifax Share Dealing Limited, Lovell Park Road, Leeds, LS1 1NS or call Halifax Share Dealing on 08457 22 55 25 (8am to 9.15pm, Monday to Friday and 9am to 1pm on Saturdays) who will make the changes for you.

How will I know how my investment is performing?

You are able to monitor the value of your investment via the Halifax Share Dealing online service.

How is the return on my child's investment calculated?

Please remember that the Halifax Junior Stocks & Shares ISA cannot be closed or cashed until the child reaches the age of 18 (unless there are exceptional circumstances).

The value of your investment is not guaranteed and the child may get back less than invested. What the child gets back will depend on:

  • how much was invested,
  • how long the money was left invested for,
  • the investment performance while it was invested,
  • the effect of any charges.

When will my child's money be invested?

If you send in a Direct Debit instruction with your application your subscription will be debited from your account on or around the 1st of the month and invested up to 5 days later. If you send in a cheque with your application, this will be invested within 5 working days of receipt at Halifax Share Dealing.

You can also set up and amend a Direct Debit instruction at any time via the Halifax Share Dealing online service.

What if I change my mind?

You’ll have 30 days to cancel if you are not completely satisfied with your investment. The 30 day cancellation period starts from the day you receive your cancellation notice, which you will have received within 5 days of opening your account. Should you wish to cancel, please complete the cancellation form included with your welcome letter or call Halifax Share Dealing on 08457 22 55 25 (8am to 9.15pm, Monday to Friday and 9am to 1pm on Saturdays) who will send a cancellation form out to you. You need to do this on or before 30 days of receipt. Please remember that if you have paid a lump sum and the value of your investment has decreased in the period between you purchasing and cancelling your investment, you will get back less than you originally invested. Please note, due to the HMRC regulations, once the 30 day cancellation period has expired you will not be able to access the funds at all – they will only be available to the child once they have reached 18 years of age.

What documentation will I receive after cancelling my child's investment?

Halifax Share Dealing will send you a letter confirming the cancellation which will confirm how much will be returned to you and how those funds will be paid to you.

Payments and withdrawals

How do I close or take money out of my child's Halifax Junior Stocks & Shares ISA?

You will not be able to close or take money out of the Halifax Junior Stocks & Shares ISA in the normal course of events.

When the child reaches 18 years of age the Junior Stocks & Shares ISA will mature into an adult Stocks & Shares ISA, with those terms and conditions. Halifax Share Dealing will send a maturity pack to the child before they turn 18 which will detail how the child can withdraw the funds or continue with the Stocks and Shares ISA.

What happens when my child reaches 18 years of age?

When the child reaches 18 years of age the Junior Stocks & Shares ISA will become a full adult Stocks & Shares ISA, with those terms and conditions. The 18 year old can then continue with the investment or make a full or partial withdrawal.  Halifax Share Dealing will send a maturity pack to the child before they turn 18 which will detail how the child can withdraw the funds or continue with the Stocks and Shares ISA.
 
Can I make additional payments to my child's investment or amend the regular premium amount?

You can top up your Halifax Junior Stocks & Shares ISA up to a maximum of £4,000 in the 2014/15 tax year. You can top up with a minimum of £20 lump sum and you can increase your monthly payments at any time. The minimum overall monthly payment is £20. All increases to your Direct Debit payment and one-off payments must be made online, via the Halifax Share Dealing online service.

Can I change my investment amount?

You can change your subscription amounts online at any time via the Halifax Share Dealing online service.

How soon can I make an additional subscription?

You can make an additional subscription to your investment at any time via the Halifax Share Dealing online service, once your direct debit is in place. Please allow 10 working days from our receipt for your Direct Debit Instruction to be processed.

How can I find out how many units I’ve bought?

All information relating to your deal(s) and investments will be available for viewing on the Dealing History page of the Halifax Share Dealing online service.

How do I change the date my regular subscription will be taken on my Halifax Junior Stocks & Shares ISA?

You can change the subscription date online at any time via the Halifax Share Dealing online service.

Who can make contributions into the Junior Stocks & Shares ISA?

We will only accept payments from the registered contact. If other people wish to make contributions they should go via the registered contact.

I’ve read all the frequently asked questions, but I would still like to speak to someone to help me, who should I call?

Call Halifax Share Dealing Limited on 08457 22 55 25 and we will be able to answer any other questions. Please remember we cannot say if the Junior Stocks and Shares ISA is right for your child. Lines are open 8am to 9.15pm, Monday to Friday and 9am to 1pm on Saturdays.

Understand the risks

Please remember the value of your child's investment and the income from it can fall as well as rise and your child may get back less than originally invested.

If you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified financial adviser.

Apply now

Important information

Before making an application, we strongly recommend you read the following important documents to ensure you fully understand the product and risks associated with the choice you are making:

Download and freepost the application

Download the application, print it out and send it to the freepost address.

Download the application form now

Once, completed post the documents to us at (no stamp required):
Freepost RRXJ - EACH - JBTC
Halifax Share Dealing Limited
Lovell Park Road
Leeds
LS1 1NS

Want to transfer an existing Junior ISA?

If you are unable to print the documents, simply call Halifax Share Dealing on 08457 22 55 25 and we'll be happy to post them to you. Lines are open Monday - Friday 8am - 9:15pm, Saturday 9am - 1pm.

Cancelling your investment
You can cancel your investment up to 30 days from when you receive your Junior Stocks & Shares ISA confirmation in the post.  If you decide to cancel before you have invested your subscription we’ll give you your money back.  If you have invested your subscription we'll give you your money back less any fall, or plus any rise, in the investment value. This amount is calculated using the next price released after we receive your written cancellation instructions. You may not get back what you paid in.

Please take care to make sure that the details that you provide are correct so there are no delays in opening your Junior Stocks & Shares ISA.

Understand the risks

Please remember the value of your child's investment and the income from it can fall as well as rise and your child may get back less than originally invested.

If you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified financial adviser.

Financial Services Compensation Scheme

Eligible investments are protected up to a total of £50,000 by the Financial Services Compensation Scheme.

Calls may be monitored and recorded in case we need to check we have carried out your instructions correctly and to help us improve our quality of service.

Halifax is a division of Bank of Scotland plc. Bank of Scotland plc, Registered in Scotland No. SC327000. Registered Office: The Mound, Edinburgh, EH1 1YZ. Bank of Scotland plc is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 169628.

Halifax Share Dealing Limited. Registered in England and Wales no. 3195646. Registered Office: Trinity Road, Halifax, West Yorkshire, HX1 2RG. Authorised and regulated by the Financial Conduct Authority, 25 The North Colonnade, Canary Wharf, London, E14 5HS under registration number 183332. A Member of the London Stock Exchange and an HM Revenue & Customs Approved ISA Manager.

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