lumpsum option & regular saver for kids education

[frunzy]

hi all,

we have a regular 'bonus' saver with EBS/Irish life(€450 per month) which is about to mature ie 5 year bonus applied and we can withdraw the total without penalty. we will have €30,000 to save, this is an education fund for our 3 kids, looking at 10 year solidarity bond with An Post? Any views on this or alternative?

I know its hard to say but looking at college costs(www.schooldays.ie)I work out college costing around €5000 per annum if they are living at home so I reckon we would need around €60,000 to put our kids through college if they do 4 years each! Now i am starting to panic!

We are looking at changing from our bonus save with Irish Life as i think their charges/fees are quite high, and based on current college cost we will have a shortfall, any opinions on this?

Sorry for going on but need to plan for future with no surprises!

 

[Lightning]

Have you read the best buys?

we will have €30,000 to save, this is an education fund for our 3 kids, looking at 10 year solidarity bond with An Post? Any views on this or alternative?

Great return for your money of 5.61% AER grossed up comparable equivalent.

10 years is a hell of a long time to lock your money away for. You will have access but you will suffer significant interest penalties if you take the money out inside 10 years.

You also take on upward interest rate risk, although at the moment, it only looks like rates are going down.

We are looking at changing from our bonus save with Irish Life as i think their charges/fees are quite high

The legacy Irish Life savings products (which you appear to have) have very poor returns for your money (based on the legacy rates published on the PTSB website). Close your Irish Life account and move your cash.