# Where is best to put Children's Allowance



## chestnut (18 Sep 2008)

I am wondering what to do with my children's allowance payment.  I intend to save it but am afraid to take the risk in an investment plan with the way things are going.

Would a credit union ac/ post office account be the safest option?

Or what about saving it with Rabo?  They seem to be very secure.

All advice appreciated.


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## annette mac (18 Sep 2008)

I would suggest that the best place for relatively small, regular savings is the An Post installment savings scheme.  Your sum saved is absolutely state guaranteed and it pays 20% interest after five years.


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## ClubMan (18 Sep 2008)

There are many existing threads about options for (usually long term) saving/investment of _Child Benefit _and other funds for children which might be worth searching out and reading. _An Post _rates are very poor even after the tax free nature of most of them are accounted for but they do offer the benefit of a state guarantee.


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## clone1 (18 Sep 2008)

Although markets are in turmoil and I share your concern, I'm continuing to pay children allowance into a Quinn Life Euro Freeway, on the hope that I'm buying units at low prices now. But if you want a deposit I would most likely look at the AIB Parent Plan%[broken link removed], Northern Rock, or Rabo also secure. Your best bet is go through posts on regular savings account here on AAM.


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## ClubMan (18 Sep 2008)

clone1 said:


> Northern Rock, or Rabo also secure.


Just to clarify - I don't believe that there is any hard evidence that any of the _Irish _banks are significantly less secure than _NR/Rabo _(unless people mean third party credit ratings?) but the deposit compensation schemes covering these (_UK _government 100% guarantee and the _Dutch FS/CB _guarantee respectively) are more generous than the the _IFSRA _scheme which only guarantees a maximum of 90% of €22,222 in a the (unlikely?) event of a worst case scenario.


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## annette mac (18 Sep 2008)

Most parents who save their child benefit  do so as a long term investment for educational expenses etc. I certainly did  - my kids are now 32, 30 and 20 and we split the allowance (as it was then called) half and half between the National Installment Savings scheme and an Irish Life investment policy as each of them arrived.  The National Installment scheme performed better over the period 1976-2006  that we were saving and was completely hassle free and our savings were quaranteed which was more than I could say about our investment policy.


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## ClubMan (18 Sep 2008)

Bear in mind that _An Post _rates on the likes of _Savings Certs/Bonds _and _Installment Savings _used to be attractive but have not been for about a decade now!


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## GSheehy (18 Sep 2008)

ClubMan said:


> _An Post _rates are very poor even after the tax free nature of most of them are accounted for but they do offer the benefit of a state guarantee.


 
It looks like the tax free status of these may have to go

http://www.rte.ie/business/2008/0918/tax.html


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## NHG (6 Oct 2010)

*Where to save Childrens Allowance for College etc*

Just wondering if anyone could advise now where to save (safely) the Children's Allownace as interest rates etc have changed so much since this thread was first started - assuming that there will still be such an thing as Children's Allowance after the Budget.

My son is 6.5yrs now and we have just finished with childcare costs and we would like to try to save for his future


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