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Originally Posted by barefoot serpent
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UTMA/UGMA accounts basically allow you to maintain control of the money until the child's 18th birthday. On that day you lose all control of the funds and cannot regain it. The child can choose to buy a hummer (of any variety) and there is nothing you can do about it. Also, although rare, there is precedent for the Custodian of the UGMA account being sued for not making prudent investments for the benefit of the child. Think about a vindictive now-exwife who doesn't think ex-hubbie should have bought XYZ stock.
In short UGMA's are not a "shelter" for money. they are a way of putting money aside for kids, usually for college. The growing popularity and additional control of 529 plans have seen the UGMA concept fall to the wayside for most people.