Coventry Building Society has launched an easy access online savings account specifically for families' child benefit.
The good points
It pays 3 per cent which is a good rate for an account like this. There are unlimited penalty-free withdrawals. If people lose child benefit they can keep the account as long as they pay at least the equivalent amount each month into it.
The bad points
The 3 per cent rate includes a 1 per cent bonus for the first year which could make the account look a lot less attractive after 12 months.
This seems like a sensible account for families as child benefit can be paid direct from HMRC into it. Also it can be opened online so is not just restricted to people living close to Coventry's branches. But anyone opening an account will need to look closely at what else is available when the 1 per cent bonus ends after a year. The account's easy access status means you can get at the cash whenever you need it, even if it's just to transfer your savings to a rival deal.Reuse content