The Differences in College Saving Accounts

This article basically talks about the different options that are available to parents of college students. The 529 prepaid tuition plan is the best option if you want to keep expenses down, because in this plan you are only allowed to withdraw the money if it is for college expenses. On the other hand, the Coverdell Education Savings Account or ESA could be better for your child because if something should happen to you and the account is opened before the child turns 18, the child becomes a beneficiary of the account, which in essence means that he or she is entitled to all the money in the account. It also turns out that it is easy to switch accounts as long as it is for the same beneficiary.