Savings Account for Disabled Child
Our youngest daughter, with the developmental issues, has a few $$ saved up. Unfortunately, we can’t open savings accounts in her name. She receives state medical aid, which is a big life saver, but if she carries any savings or earnings she is penalized.
The direction he have been looking at is to open an account in my wife’s name and putting the money and any future money there. My initial thought was a local bank, but with most there are minimum’s needed and lousy savings rates. Most interest rates are below 1% at banks and only 1.5-2% at credit unions.
Then is dawned on me that we could hit up an online account such a ING or HSBC. We could link up our checking account to the new savings account and transfer the money there. Currently the rates are around 4% and these accounts have no minimums required. This will be the best option. I will compare online banks and make a decision after we return from Cleveland.
As I think of this , I should also look into a custodial account for our older daughter. I will have to look into the impact on collge loans and grants. More work to do there.
Filed under: Finance and Investing, Kids
ING would be a great idea. I don’t know anything about HSBC, but I use ING myself, and its great.
They’re running a promotion right now; if you use one of the promotional links to open the account, and make a deposit of at least $250 within a certain amount of days, ING will give you an additional $25 in your savings.
If you want one of these promotional links, I have some. Just send me an email at mcstepp [at] gmail [dot] com.
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