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Savings Bonds?

I was looking at a post made and I really would like to set up some kind of savings account for my son. I really guess I don't know how to go abouts doing so though? Is it just a savings account? Do you get intrest as time goes on? I herd of one that the child can't get into it untill he or she is 18?
I think I would want one that I could get into anytime I wanted though.

I have brought this up to my husband and he thinks its is so stupid and said I totally 100% CANT do it. "Kids need to get a job and save up their own money and not just be given money" is what he says. I agree to an extent.
Would it be sneeky if I made one without him knowing?...

sorry I know this is like a million questions I am just stumped.

Answer Question
 
ReadyToRage

Asked by ReadyToRage at 3:43 PM on Dec. 7, 2008 in General Parenting

Level 1 (0 Credits)
Answers (6)
  • You can buy savings bonds. I have them for my kids and you can get them for $25 and then after so many years they go up. My dd has some from when she was an infant (shes 19 now) and are worth $50. I put them in a safety deposit box.
    gemgem

    Answer by gemgem at 3:47 PM on Dec. 7, 2008

  • We plan on setting one up for olivia. you can get certain ones where it goes up a certain ammount every year, and you can add money whenever. We also are planning on if she goes to college she can get it at 18, if not, not until she's 30.
    oliviasmomma09

    Answer by oliviasmomma09 at 3:50 PM on Dec. 7, 2008

  • I recommend going to your bank or credit union and discussing the different types of savings accounts they offer. Every financial institution offers something different.

    Savings bonds are okay, but you end up paying a lot of taxes on interest at once.
    Anonymous

    Answer by Anonymous at 5:25 PM on Dec. 7, 2008

  • do a college fund. your husband couldn't possibly object to a college fund..if he did i would wonder why.
    chyna_doll

    Answer by chyna_doll at 8:51 PM on Dec. 7, 2008

  • Savings bonds are good, but the mature after so many years. Whatever you pay doubles and you don't have to pay interest on the until you cash them. As a child that is all my grampy gave me as gifts. I cashed one in for christmas cash this year. He paid $500 for it in 1991 and i got a little over $1500 is18 years later. I don't have a lot of knowledge concerning savings accts
    mom-x-2

    Answer by mom-x-2 at 10:33 PM on Dec. 7, 2008

  • If you want to have access to the money for an emergency, but would like to save for your child's education. I would recommend just opening a separate savings account (one that is NOT tied to your ATM/debit card), and preferably in your child's name with you as a "co-signer" on the account.

    Then each week or month (a regular schedule), put whatever you can afford into the account ($5, $10, $20 or more), and try and forget about it. As the account grows you can then take some of it out and place in to CD's (Certificate of Deposit), where it is untouchable generally for 2-5 years (depending on which one you choose). The ones that yield a higher interest rate are longer term CD's. At least if you REALLY need the money, it will be available to you.

    My mother did this when I was born, and by the time my 18th birthday came around I had an account with over $5,000 in it--that was more than 20 years ago!
    LoriKeet

    Answer by LoriKeet at 4:11 PM on Dec. 8, 2008

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