Cashing out to pay kids' college a bad plan, experts say

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  • Claudio Springville, Ut
    Aug. 20, 2012 9:53 a.m.

    My 2 Cents,

    Sounds like you had a unique parenting problem rather than a common occurrence.

  • worf Mcallen, TX
    Aug. 20, 2012 8:45 a.m.

    With creative thinking,and hard work, a person can pay their way through college. I did it, and so has my three children.

    It's part of the education process.

  • Florwood American Fork, UT
    Aug. 20, 2012 7:21 a.m.

    We've set aside a specific amount in a Roth IRA that we can use to partially support our two grandchildren (who we've recently adopted) with their future education choices. We chose a Roth instead of a 529 because we cans still get the tax benefits even if they don't choose post high school education when that time comes. So it may look like we're robbing retirement funds, but the financial effect is the same as contributing to a 529--but with more flexibility in how we ultimately use the money.

  • My2Cents Taylorsville, UT
    Aug. 20, 2012 3:29 a.m.

    A common sense article finally making the news, although educaiton mongers don't like the idea of students having to fend for themselves and loose money by not increasing student loan debts.

    The media and education system has for years been making parents feel responsible and accountable for student debts and loans and for the very reason cited it is a bad mistake that is full of misinformation. A parent cosigns a loan is really a co-owner of the debt puts the parents retirement and savings in jeopardy, the parents stand to loose their homes to loan foreclosure if child doesn't pay it.

    One of my own children put me and the rest of his siblings in problematic loss of food and care when I cosigned loan on my child and after graduation said he wasn't going to pay his school loan. He was brainwashed by is peers and the education system to think I was responsible to pay his student loan because of them. His promise to pay his debt never came to fruition and I ended up with his debt, a warning to other parents. That destroyed our family forever.

  • Amazed Bountiful, UT
    Aug. 20, 2012 12:25 a.m.

    So shouldn't I be "concerned" about my child getting "ambushed by an ally" while serving in the military, so that IF that doesn't happen, she/he will have financial assistance for college? How many people followed the advice, verbatim, of certified financial planners and are now back in the workforce? The market lost much more of "my retirement nest egg", than the return I'll get having a son or daughter finish school without a mountain of debt. That's one of the reasons behind tax treatments of 401k funds for college. So again, do your own research and do what YOU think is best for you and your family.