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Young Saver account

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At a glance

  • 3.00% gross/AER variable on balances from £1 - £20,000.
  • 0.50% gross/AER variable on balances over £20,000.
  • You’re in control of the account until they turn 16.
  • Carry on saving – when they turn 16, the account converts into an Easy Saver with bonus, currently paying 0.75% gross/AER variable.

About the Young Saver account

Children don’t usually need lessons in how to spend money, but with a Young Saver account they can learn how to save it too.

An adult – someone aged over 18 – needs to open the account and manage it on behalf of the child.

Parents, grandparents and other relatives can help them save by setting up standing orders to pay into the account.

To open a Young Saver account you need to have a Lloyds TSB current account.

Young Saver rates

  Variable Interest paid quarterly  
Balance AER % AER means Annual Equivalent Rate. AER illustrates what your interest rate would be if interest was paid and compounded each year and allows you to easily compare different offers.  
Gross % Gross rate means that credit interest is paid without income tax being deducted. You can receive your interest paid gross if you are a non-tax payer and have completed an Inland Revenue R85 form. 
Net %Net rate is the rate of interest the account pays after lower rate tax has been deducted. If you are a non-taxpayer, you can reclaim the tax by completing an HMRC R85 form. As the rate of tax may vary, the net rate is given for illustration only and is rounded to two decimal places.  
£0 - £20,000 3.00 2.97 2.38
Anything over £20,000 0.50 0.50 0.40

These interest rates are correct as at 15/08/2011

How the Young Saver account works

  • The account must be opened and managed by an adult – someone aged 18 or over – on behalf of the child
  • Interest on the account is paid quarterly
  • You can withdraw money from the account whenever you like without losing interest
  • The child may be able to receive their interest free of tax. To apply, download the R85 form from the HMRC website
  • There’s a limit of £100 gross interest or income that gifts from a parent, or civil partner of a parent, can earn each year. This is to stop parents from using their children’s account to earn interest on their money
  • This limit doesn’t apply if the gift comes from anyone else. For more details, visit the HMRC website
  • Before the child's 16th birthday we'll write to you reminding you that the account will convert into an Easy Saver with bonus solely in the child's name. If you’d prefer the money to be paid into a different account either for your child to manage themselves or for you to manage on their behalf we'll let you know how to do this

Good to know

  • Make easy transfers into the Young Saver Account from a non-Lloyds TSB account. Just fill in a savings transfer form and take it to your nearest branch. Download the savings transfers form
  • Boost their savings by registering for Save the Change™. Every time you use your Lloyds TSB debit card we’ll round up the amount to the nearest pound and transfer the difference into their Young Saver Account. Register for Save the Change
  • Let the family help their savings grow – parents, grandparents or other family members can set up a standing order to pay into the account

Account name Young Saver
Interest rates (AERs) Variable interest

Interest paid quarterly

Young Saver Account interest rates.
Tax status
 Interest is paid net of basic income tax

If your non savings income is less than your personal allowance you may qualify for the 10% savings tax rate, we will still pay your interest net of tax (with income tax taken off - currently 20%). If you think that this may apply to you, you should complete HMRC form R40, available on HMRC website or your tax office.
Conditions for bonus payments Not applicable
Withdrawal arrangements No notice payments

Instant access with no loss of interest
Access In branch

 

If your child is a UK resident non tax payer you can register your account(s) to receive credit interest paid gross in branch or by completing an HMRC R85 form. If you are completing the R85 form you will need to complete one form for each account you hold. You can download the R85 form at www.hmrc.gov.uk.

Apply in a branch

Visit your local branch and we’ll open the account for you. You’ll need to take proof of your identity.

Find a branch

What you’ll need to apply in a branch

Help your children learn how to save: apply for a Young Saver in your local branch of Lloyds TSB. You’ll need to bring:

  • Proof of your own identity.
  • Proof of your child’s identity – a passport or a birth certificate.

Young Saver terms and conditions

Our agreement with you is made up of general conditions (contained in the Personal Banking terms and conditions) and additional conditions. These include the conditions below and the Banking Charges guide. If there is any overlap or conflict between the additional conditions and the Personal Banking terms and conditions, the additional conditions apply.

The Young Saver Account is an instant access children’s savings account with a variable
interest rate. It is provided by Lloyds TSB Scotland plc or Lloyds TSB Bank plc. You will have been told which bank your account will be opened with.

1     ELIGIBILITY
1.1  To open the account you must be under 16. If the Account is still open when you reach 16, we will convert the Account to another instant access savings account
in your name. We will send you the additional conditions for the new account before we make this change.

2     OPERATING YOUR ACCOUNT
2.1  The person who signs the application for you must be over 18 and will be authorised to operate your Account as if they were you. We may check to make sure that any withdrawals from the Account are for you but we do not have to.
2.2  If you are under 11 when you open this Account, once you reach 11 we will offer you an Under 19’s account (or similar account if it is no longer available) which
you can operate yourself. The person authorised to operate this Account can agree to the terms that apply to that account if they are different to these terms.
2.3  This Account cannot be operated by Telephone or Internet Banking.

3     DEPOSITS AND WITHDRAWALS
3.1  You can pay money into this Account in branch, or by transferring money from another account with us or another bank.
3.2  You can only make withdrawals from this Account at a branch.

4     INTEREST
4.1  The Account interest rate is variable.
4.2  We will pay interest once a quarter on the 10th of the month in March, June, September and December.
4.3  You will find our current interest rates for the Account in our UK branches, online at www.lloydstsb.com or by phoning us on 0845 300 0032.

5     COOLING OFF
5.1  If you are not happy with your choice of account or service, you can cancel it within 30 days of opening the account or taking the service. We will then help you
to move to another account we offer or will return your money to you with any interest you have earned.

Important documents
Download the:

Easy Saver terms and conditions

Our agreement with you is made up of general conditions (contained in the Personal Banking terms and conditions leaflet) and additional conditions. These include the conditions below and the Banking Charges guide. If there is any overlap or conflict between the additional conditions and the Personal Banking terms and conditions, the additional conditions apply.

The Easy Saver Account is an instant access savings account with a variable interest rate. It is provided by Lloyds TSB Scotland plc or Lloyds TSB Bank plc. You will have been told which bank your account will be opened with.

1     ELIGIBILITY
1.1  To have the Account you must be 16 or over.

2     DEPOSITS AND WITHDRAWALS
2.1  You can pay money into the Account in branch, or by transferring money from
another account with us or another bank.
2.2.  You can make withdrawals from this Account at any of our branches but you can only make payments from the Account to another Lloyds TSB current or savings account in your name (or in the case of a joint account, in any of your names). You cannot set up standing orders on the Account to make these payments.
2.3  You can ask us for a Cashpoint® card to make deposits to and withdrawals from the Account.

3     INTEREST
3.1  The Account interest rate is variable.
3.2  We will pay interest once a year on the anniversary of opening the Account.
3.3  You can ask us to pay interest into a different account with us.
3.4  You will find our current interest rates for the account in our UK branches, online at www.lloydstsb.com or by phoning us on 0845 300 0032.

4     COOLING OFF
4.1  If you are not happy with your choice of account or service, you can cancel it within 30 days of opening the account or taking the service. We will then help you to move to another account we offer or will return your money to you with any interest you have earned.

Important documents

You can download and read these important documents:

Personal banking terms and conditions leaflet

Banking Charges guide

Glossary

AER

AER stands for Annual Equivalent Rate. It illustrates what your interest rate would be if interest was paid and compounded each year and allows you to easily compare different savings accounts.

Net rate

Net rate is the rate of interest the account pays after lower rate tax has been deducted. If you are a non-taxpayer, you can reclaim the tax by completing an HMRC R85 form. As the rate of tax may vary, the net rate is given for illustration only and is rounded to two decimal places.

Gross rate

Gross rate means that credit interest is paid without income tax being deducted. You can receive your interest paid gross if you are a non-tax payer and have completed an HMRC R85 form.

Ways to apply

Existing customers

To open a Young Saver account, visit your local branch. You’ll need to bring your child’s birth certificate or passport with you, as well as proof of your own identity.

New customers

To open a Young Saver Account, you need to have a current account with Lloyds TSB. We’ve made switching to Lloyds TSB easy.

Ask a question

For answers to common queries please use our help centre.

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    Important legal information

    Lloyds TSB Bank plc and Lloyds TSB Scotland plc are authorised and regulated by the Financial Services Authority except for lending where we are licensed by The Office of Fair Trading. FSA authorisation can be checked on the FSA’s Register at: www.fsa.gov.uk/register. Lloyds TSB Bank plc and Lloyds TSB Scotland plc are members of the Financial Services Compensation Scheme and the Financial Ombudsman Service. We subscribe to the Lending Code; copies of the Code can be obtained from www.lendingstandardsboard.org.uk.

    If your non savings income is less than your personal allowance you may qualify for the 10% savings tax rate, we will still pay your interest net of tax (with income tax taken off - currently 20%). If you think that this may apply to you, you should complete HMRC form R40, available on HMRC website or your tax office.

    Lloyds TSB Bank plc Registered Office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales No. 2065. Lloyds TSB Scotland plc. Registered office: Henry Duncan House, 120 George Street, Edinburgh EH2 4LH. Registered in Scotland No. SC 95237.

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