It's an exciting time when your Child Trust Fund (CTF) matures! For many young adults across the UK, their 18th birthday marks the moment they can finally access a lump sum of money that's been growing for them since childhood. If your CTF is with Nationwide, this comprehensive guide will walk you through every step of the withdrawal process.
Ready to take control of your future? Let's dive in!
How to Withdraw Your Child Trust Fund from Nationwide: A Step-by-Step Guide
Step 1: Confirm Your CTF Has Matured (or is About to!) – Are you 18 yet?
This is the most crucial first step! You can only withdraw money from your Child Trust Fund once you turn 18. Nationwide will typically move your CTF savings into a CTF Maturity ISA on your 18th birthday. This is a temporary holding account, designed to keep your money tax-free until you decide what to do with it.
- If you're 18 or over: Fantastic! Your CTF should have matured.
- If you're approaching 18: Nationwide usually sends a letter a month or two before your 18th birthday to inform you of your options. Keep an eye out for this communication.
- Not sure if you even have a CTF or who it's with? Don't worry! You can use the free "Find a Child Trust Fund" tool on the GOV.UK website. You'll need your National Insurance number and date of birth. HMRC will then reply by post within three weeks, telling you which provider holds your CTF.
Step 2: Understand Your Nationwide CTF Maturity Options
Once your CTF matures with Nationwide, you generally have a few key options:
- Withdraw all the money: Take the entire balance out as cash.
- Transfer the full amount to a Nationwide Cash ISA or another Nationwide savings account: Keep your savings with Nationwide, but in a different account that suits your current needs. This is often a good option to maintain tax-free status if you transfer to a Cash ISA.
- Transfer the whole balance to another ISA manager: If you want to move your funds to a different bank or building society's ISA.
- Use a combination of withdrawing cash and transferring to a Nationwide Cash ISA/savings account.
- Do nothing: If you don't provide instructions, your money will remain in the CTF Maturity ISA. While it's safe and tax-free, you won't be able to pay any more money into it.
Nationwide states that when you make a withdrawal, you must withdraw the whole balance and the account must then be closed. This implies that if you want to keep some money with Nationwide, you'll need to transfer it to a new Nationwide account.
Step 3: Get in Touch with Nationwide
This is where you initiate the process. Nationwide advises that you'll need to call them or visit a branch first to discuss your CTF.
- Call Nationwide: Their customer service team can guide you through the next steps and confirm whether a branch visit is necessary. You can find their contact details on the "Get in touch with us" section of the Nationwide website.
- Visit a Nationwide Branch: This can be a good option if you prefer face-to-face interaction or need to provide physical documents.
Important: When you contact them, clearly state that your Child Trust Fund has matured and you'd like to discuss your options for withdrawal or transfer.
Step 4: Prepare Your Identification and Information
Nationwide, like all financial institutions, will require you to prove your identity. This is a standard procedure to prevent fraud and ensure the money goes to the rightful owner.
Sub-heading: Essential Documents You'll Likely Need:
- Your National Insurance (NI) number: This is crucial for accessing your CTF information. If you don't know it, you can find it on payslips, P60s, letters about tax, or by logging into your personal tax account on GOV.UK. You can also request it by post from HMRC.
- Proof of Identity (Photo ID):
- Valid full UK passport
- Valid full UK photocard driving licence
- Valid EEA passport
- Valid EEA member state ID card
- Military ID Card
- Proof of Address (if required and not covered by your photo ID):
- Utility bill (dated within the last 3 months)
- Bank statement (dated within the last 3 months)
- Letter from DWP, Job Centre, or Universal Credit (dated within the last 12 months)
Tip: Nationwide may try to verify your identity electronically first. However, it's always best to have these documents ready, especially if you're visiting a branch.
Step 5: Inform Nationwide of Your Decision
Once you've made contact and confirmed your identity, you'll need to clearly tell Nationwide what you want to do with your matured CTF.
Sub-heading: If you want to withdraw the money:
- You'll need to provide details of a UK current or savings account in your own name where the funds can be transferred. Nationwide cannot pay to a third-party account.
- Confirm the full withdrawal amount and that you wish to close the CTF Maturity ISA.
Sub-heading: If you want to transfer the money to another Nationwide account:
- Specify which Nationwide Cash ISA or other savings account you'd like the funds moved into.
- Be aware that the CTF Maturity ISA will be closed.
Sub-heading: If you want to transfer the money to another ISA provider:
- This is known as an ISA transfer. You generally don't withdraw the money yourself and then pay it into the new ISA. Instead, the new ISA provider will handle the transfer directly from Nationwide.
- You'll need to open an ISA with your chosen new provider and then initiate the transfer process through them. They will request the funds from Nationwide. This ensures the tax-free status is maintained.
Step 6: Await the Transfer or Withdrawal
Once Nationwide has all the necessary information and your identity is verified, they will process your request.
- Withdrawals to a UK bank account: The funds should typically be credited to your nominated account within a few working days.
- Transfers to another Nationwide account: This should be a quick internal transfer.
- Transfers to another ISA provider: This process can take longer, usually a few weeks, as it involves communication between two financial institutions. The new provider will keep you updated on the progress.
Be patient! While Nationwide aims to process requests efficiently, there can sometimes be delays, especially with external transfers.
Step 7: Confirm Receipt of Funds
Once the expected timeframe has passed, check your nominated bank account or your new ISA to ensure the funds have arrived as requested. If you encounter any issues or delays, contact Nationwide's customer service again to follow up.
Related FAQ Questions
Here are 10 related FAQ questions starting with 'How to' with their quick answers:
How to find a lost Child Trust Fund with Nationwide?
You can use the official GOV.UK "Find a Child Trust Fund" tool online. You'll need your National Insurance number and date of birth, and HMRC will tell you which provider holds your CTF, including Nationwide if applicable.
How to manage my Child Trust Fund before it matures with Nationwide?
Until the child turns 16, the parent or guardian manages the account. At 16, the child can take over responsibility. However, withdrawals are generally only permitted at age 18, or in extreme circumstances like terminal illness.
How to check the balance of my Nationwide Child Trust Fund?
You can typically check the balance of your Nationwide CTF by logging into your Internet Bank account, through the Nationwide banking app, or by contacting Nationwide directly via phone or branch visit.
How to transfer my Child Trust Fund from another provider to Nationwide?
Nationwide's information suggests they don't accept transfers in from existing Child Trust Funds. However, once your CTF matures with another provider, you can transfer it into a Nationwide Cash ISA to keep the tax-free status.
How to invest my matured Child Trust Fund money with Nationwide?
Once your CTF matures and moves to a CTF Maturity ISA, you can choose to transfer it to a different Nationwide savings account, or if Nationwide offers it, an adult ISA that allows for investment, such as a Stocks & Shares ISA.
How to close a Nationwide Child Trust Fund if I want to withdraw all the money?
To withdraw all the money and close the account, you will need to contact Nationwide, provide your details and nominated UK bank account, and request a full withdrawal. The CTF Maturity ISA will then be closed.
How to get my National Insurance number if I don't know it for CTF withdrawal?
You can find your NI number on payslips, P60s, or letters about tax. You can also log into your personal tax account online via GOV.UK or request it by post from HMRC.
How to ensure my Child Trust Fund withdrawal remains tax-free?
To keep the money tax-free, you should transfer it directly from the CTF Maturity ISA to another ISA (e.g., a Cash ISA or Stocks & Shares ISA) within the same tax year of maturity, either with Nationwide or another provider, using the official ISA transfer process.
How to contact Nationwide about my Child Trust Fund?
You can contact Nationwide by calling their customer service number, which can be found on their official website under the "Get in touch with us" section, or by visiting any Nationwide branch.
How to deal with a Child Trust Fund if the beneficiary lacks mental capacity at 18?
If the child lacks mental capacity to manage their own finances, a Deputy or Power of Attorney will need to be appointed. You would need to apply for a court order (e.g., from the Court of Protection in England and Wales) to access and manage the funds on their behalf.
