What is a good online bank I can open a college savings plan through?
I would like to open a college account, with applicable tax benefits, if possible, through an online bank to put $ in a MMA or CDs (this is to supplement our 529 for our oldest child). Where is a good online bank to do so?
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September 25th, 2010 at 3:38 am
Any bank that has weathered the current financial storm is safe to invest in. Bank of America, JP Morgan Chase, to give you a couple of examples.
Now, when we looked into savings for our children, we decided not to go with a college savings plan; the reason is that if one of our children either gets a full scholarship, joins the armed forces, or whatever else, the money saved would not be used, and by trying to use it on anything else it would be hit with so many penalties that it would be like we never invested the cash in the first place.
We decided instead to research a medium risk mutual fund, and have one for each of our kids. As they get closer to college age, we’ll probably shift the capital into a low risk fund, but this way, they have money saved up for school if needed, or for whatever else if they don’t.
Good luck.
September 25th, 2010 at 4:25 am
Bank of America