College Savings Bank
Written by Fiona Gu   

The College Savings Bank Savings Option is ideal for families that want to earn a fixed interest rate on savings account for college funding!
 
In order to use the college savings bank, an account needs to be set up. Upon the establishment of the account, parents are required to monetarily invest in the account by buying units. After the deposit, the account would start to earn a fixed interest rate. Below is a more detailed summary of how to use the college savings:

 
 

Advantages:
  • The college savings bank offers the CollegeSure CD, which pays interests and assures to generate a certain percentage of the average college expenditures at maturity.
  • Upon maturity, families can use the principal and acquired interest at any college.
  • Students are not restricted to their choice of school.
  • Inflation rate is determined with reference to the College Board’s Independent College 500 Index (IC 500). IC 500 measures the enrollment-weighted average of expenses (tuition, fees, room and board) at 500 independent four-year institutions that offers at least 15% of the students housing.
  • The interest rate on the CollegeSure CD is always at least 2%, regardless of the growth rate of the college costs. 
  • There are no sales charges.
About the Savings Bank:
The College Savings Bank manages the section 529 college savings plans for Montana and Arizona. It contains more than 10,000 depositors and more than $250 million in assets. It also invests its assets in high grade adjustable-rate mortgage-backed securities. For more information, please contact: 
 
College Savings Bank
PO Box 3769
Princeton, NJ  08543






 
Last Updated on Tuesday, 21 December 2010 04:38