Use Savings Bonds?

Savings bonds have a lousy rate of return, so you should cash them out and put the money in good growth stock mutual funds.

QUESTION: Robin and her husband have $96,000 in consumer debt and student loans.  Robin’s father-in-law set up savings bonds for her kids, but she wants to know if she should cash them out and use the money for their debt snowball.  If they don’t, what should they do to get rid of their debt?

ANSWER: I don’t think you should use these savings bonds to pay off your debt.  You should cash them out and put them in ESAs (Educational Savings Accounts) for your kids’ college education. 

You should also sell your cars.  That’s where the problem is.