HM Revenue and Customs (HMRC) is urging more than 670,000 people aged between 18-22 to claim cash pots worth £2,212 each on average. The long-term tax-free savings accounts were set up for every child born between September 1, 2022, and January 2, 2011.
At the time the government deposited £250 into each eligible account, which could only be withdrawn once the child turned 18. And it’s believed that hundreds of thousands of these accounts currently sit unclaimed.
If young people or their parents and guardians already know who their Child Trust Fund provider is, they can contact them directly. If not, you can use an online Gov.uk tool to find out their Child Trust Fund provider.
Angela MacDonald, HMRC‘s Second Permanent Secretary and Deputy Chief Executive, said: “Thousands of Child Trust Fund accounts are sitting unclaimed. We want to reunite young people with their money and we’re making the process as simple as possible.”
“You don’t need to pay anyone to find your Child Trust Fund for you, locate yours today by searching ‘find your Child Trust Fund’ on GOV.UK.” Third-party agents are cashing in by offering to track down Child Trust Funds, with fees reaching a staggering £350 or snatching 25% of the account’s value.
Not only does opting for an agent dent your final sum, it could also slow down the process, and you’ll still have to provide the same details as you would using the free GOV.UK service.
In the past year alone, over 450,000 people have successfully located their Child Trust Funds simply by using their National Insurance number and date of birth on the government’s no-cost tool. Once you have made the enquiry, HMRC will send you a letter containing the details of the Child Trust Fund provider, usually within three weeks of your initial request.
If you don’t receive a response within six weeks, you should write to HMRC and include your reference number if you have one.
