Tens of millions of pounds belonging to more than 80,000 young people without capacity to make financial decisions could be locked in trust funds, a report by Renaissance Legal suggests, seen by BBC News.
You can read the full article here.
Andrew Millburn, Head of Levi Solicitors’ Wills, Probate and Estate Planning team commented: “The problem with investing money for children in their own name is that the funds belong to the child. And, once they become an adult at 18, they are entitled to it.
This report highlights the problems that this can cause if the child lacks capacity to deal with their own finances when they are 18. However, even if a child has the mental capacity to deal with their own finances at 18, many parents won’t think they are yet mature enough to do so. A way around both of these problems is to put the funds into a trust so that the chosen trustees can manage the funds beyond the age of 18.”
Are you locked out of your Child Trust Fund? If you would like some more information about recovering a Child Trust Fund on behalf of one of your children, we can help. Call us on 0800 988 7756 or fill in our enquiry form and we will call you back.