A Custodial Account is a savings account for a minor child with an adult (over age 21) as the custodian. The account is set up under the minors’ social security number and date of birth. The money in the account is under the control of the custodian until the child reaches legal age. (The legal age is currently 18 years old.) You can opt to extend the legal age on the account to 21 years old.
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*There may be tax advantages to this type of account under the "Uniform Transfer to Minors Act." Consult with your tax advisor if this is an advantageous account for your family.
In Trust For Accounts
An In Trust For (ITF) account puts the funds firmly in the hands of the owner of the account. It functions the same as a regular share account with an extra layer of access once the owner expires. ITF means the funds are in trust for another person(s). That person is the named Trustee(s). The trustee(s) has no access during the account owners lifetime. The advantage of an ITF account is that the funds in the account do not become part of the account owners’ estate, instead they go directly to the Trustee(s) who then has immediate access.