Freetrade to launch Junior Isa: Is it a good low-cost investing option?

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Investing platform Freetrade is set to launch a junior Isa in the coming weeks, increasing the choice of low-cost investing accounts available for children.

The new account comes hot on the heels of IG’s junior Isa, launched on 2 March.

Most platforms charge you to open and hold a junior Isa. Major providers that don’t include Hargreaves Lansdown* and Fidelity*, and now you can add Freetrade* and IG*, which are owned by the same group, to that list too. 

Junior investment Isas are underused, said Freetrade, pointing to HM Revenue & Customs data that shows just 39 per cent of the UK’s 1.25 million Jisas are investing accounts, with the rest held in cash. 

‘Playing it safe with cash may feel prudent, but when it comes to your children’s financial future it can mean sacrificing decades of investment growth.

‘With time on their side, new parents have a powerful advantage,’ said Viktor Nebehaj, co-founder and chief executive of Freetrade.

> Find out more about Freetrade* 

Just £88 a month could shield your children from student loan debt

Junior Isas let you stash £9,000 a year on behalf of a child, as opposed to £20,000 a year in adult ones.

Freetrade analysis shows you might not need to put that much away to make a meaningful difference to your child’s financial future, though. It suggests that investing £88.25 a month and earning an average annual return of 10 per cent could build a £53,000 pot over 18 years.

This is the average student loan debt for those who started paying back their loan in 2025, according to figures from the Student Loans Company.

‘Student debt is one of the biggest financial challenges facing young people today. Many parents want to help but default to cash savings, which often struggle to keep pace with inflation over the long term,’ said Freetrade’s Nebehaj.

‘Yet relatively modest, consistent investing can make a meaningful difference and allow parents to save their children from years of restrictive debt.’

Your child will get control over the junior Isa when they turn 18, when it also becomes an adult Isa.

> Best junior cash Isa rates 

How does Freetrade compare with other platforms?

Freetrade recently made each of its accounts free to open and manage. This means customers don’t need to pay account fees, unless they want to access better features and preferential rates, for example on interest on uninvested cash.

The platform doesn’t charge dealing fees, and there’s a wide range of investments available, from stocks and shares to mutual funds and exchange-traded funds.

Its new Jisa means there will be a handful of options for parents looking for a cheap way to invest for a child.

Fidelity*, Freetrade*, Hargreaves Lansdown* and IG* don’t charge account fees for a Jisa.

Three of the four don’t charge dealing fees either. Fidelity is the only platform that does, charging £7.50 for online deals or £1.50 for deals as part of a regular savings plan.

You can discover our pick of the best investment platforms and read our Freetrade review to find out how it performs.

When I tested the platform, I was impressed by how straightforward it was to use and noted that it’s worth another look following its fee changes.