Hi... My sister in law talk me about "savings account for college or something about university funds" this is to save money for the university (future) she told me that her friends start to saving when their kids was 1 year old... Do you know something about this?? How works? I don't know anything about this... please help me... Where I can find information about this funds?
Jessica - the financial institutions haver various types of college funds. You may want talk to a financial advisor regarding this.
I know the market is terrible at this time but I would suggest that you take a $1000 or $2000, if you can afford it and put your son in a drip, dividend reinvestment plan on a good sound stock. Aflac Insurance, General Electric, Pfizer. For each $1000 placed now, at age 65 should have a value of at least $.5 million. With the splits it should easily do at least average 10.5% annually.
To confirm this you can obtain from the three note above a list giving you the price of there stock and a list of the splits and annual dividends. I know this take a little time but for your handsome young prince it is worth it.
God Blesss
She might be talking about a program called Upromise, where you sign up online and certain purchases you make, a percentage of the money goes into an account. I had looked into it for my daughter, but the amount that would go in from my purchases would be too small to be of any help.
My daughter has known from the time that she was old enough to know what college was that if she wanted to go, she would have to earn scholarships and/or take out student loans.
Hey Jessica,
I read the other replies and like what they both had to say. I think I am going to look into a DRIP for myself.
But that aside, I think what you are talking about is the START Program. or START (Student Tuition Assistance and Revenue Trust Program)
The website to get more information is
http://www.startsaving.la.gov/savings/index.jsp
I do know that there are many options within the program regarding matches, risks, etc. I need to get my daughter a START account too! I guess the thing to remember is that you want your money to be safe, FDIC insured, good returns without too much risk and in today's market having money diversified is more important than ever.
Congrats on the little one and the planning ahead.
ps.. with start it can be transfered to another familiy member for college should the child you begin it on, not want to go.
Best Wishes and Hope this helps
-MB