The best Junior ISAs 2019/20

Updated on 05 April 2019 | 0 Comments

NS&I has increased the rate on its Junior ISA to 3.25%, but you might want to shop around. Here are the best Junior ISAs for the 2019/20 tax year.

National Savings and Investments (NS&I) has upped the rate on its Junior ISA offering from 2.50% to 3.25% ahead of the new tax year.

That's a better rate than any easy-access cash ISA or savings account, plus it can be opened and operated online.

We take a closer look at Junior ISAs and how NS&I's new rate stacks up against the competition.

Compare investment Junior ISAs with loveMONEY

What is a Junior ISA?

Junior ISAs (or 'JISAs', as they are often abbreviated to) are a great way to usher your kids into the savings habit early in their lives.

They allow funds to be paid into a tax-free savings account held in the name of an under-18 by a family member.

Like regular adult ISAs, JISAs come in cash as well as Stocks and Shares varieties.

Up to £4,260 can be invested in one or both types of JISAs (although the combined amount can't be over that limit) in 2018/19. Children that are 16 or 17 can contribute another £20,000 into a Cash ISA.

Funds cannot be withdrawn until the child turns 18 – when the account turns into a regular adult ISA.

Previously, one downside with these ISAs is that they weren’t available to any child who held or was eligible for a Child Trust Fund, the Government-backed savings scheme that closed to new business in 2011. But the rules have changed and CTFs can now be transferred into Junior ISAs.

So, what are the best JISAs around at the moment? First up, the cash variety…

Compare cash ISAs, savings accounts and peer-to-peer investments (capital at risk)

The best Cash Junior ISAs

As it stands, Coventry Building Society has the top-paying Cash JISA with a variable rate of 3.60% and you can start with a tiny deposit of £1. 

Anyone – parents, grandparents, other family members and friends can pay in by cash, cheque, electronically or by money transfer. Cash can be transferred in and out of the account.

Here are some top deals to consider.


Interest Rate (AER)

Minimum Deposit

Transfers in allowed?

Transfers out notice period


Coventry BS Junior Cash ISA (1)




No notice

Post, branch

Danske Bank Junior Cash ISA 

3.45% £25 Yes No notice Branch, phone
Darlington BS Junior Cash ISA 3.25% £1 Yes No notice Post, branch
TSB Junior Cash ISA 3.25% £1 Yes No notice Branch
NS&I Junior ISA 3.25% £1 Yes No notice Online

Tesco Bank Junior Cash ISA




No notice

Online, phone

Halifax Junior Cash ISA 




No notice


As you can see, the NS&I Junior ISA can still be beaten by rival providers. Now, one of the main selling points of NS&I is that your funds are 100% guaranteed.

However, when it comes to the Cash version of Junior ISAs, there's a good chance you'll enjoy equal protection from any of the rivals above.

Why? Because any institution covered by the FSCS guarantees your savings of up to £85,000 are safe if a member bank or building society goes under.

Given the annual ISA allowance and the rates on offer, it's unlikely your child's funds will exceed that threshold before they turn 18.

Read more: who owns my bank?

Stocks & Shares Junior ISAs

Stocks and Shares Junior ISAs will usually offer a better return than Cash JISAs over the long-term, but they are riskier. There is obviously the potential that you could lose money – a threat that is not there with the Cash ISA.

Picking a Stocks and Shares JISA is slightly trickier than choosing a cash account.

Think about your attitude to risk, although bear in mind that this investment could be for up to 18 years so you should have time to ride out any rough patches.

Make sure you shop around on management charges and fees. And beware of companies offering incentives such as free shopping vouchers in an attempt to blind you to high charges and poor performance.

Although, of course, past performance is no indicator of what might happen in the future.

Take a look at our Beginner's guide to Stocks & Shares ISAs and don’t be afraid to ask a question on our Q&A board to get tips from other, more seasoned, investors.

Remember, if you don’t use your or your child's annual ISA allowance by the end of the financial year – April 5 – you’ll lose it!

Have you got one?

Have you – or more accurately, your kids – got a Junior ISA? Let us know about your experiences in the comments box below.

This article is regularly updated to reflect changes in rates

Compare investment Junior ISAs with loveMONEY

More on ISAs

The best Cash ISAs

Top Cash ISAs for transfers

Beginner's guide to stocks & shares ISAs


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