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Ask Dave

Savings Bonds For College Education?

Is there a better way than savings bonds to save for college?

QUESTION: Lynn asks how to make the most of the savings bonds her parents have set aside for her kids’ college education.

ANSWER: Savings bonds have a lousy rate of return, so you should cash them out and put the money in good growth stock mutual funds.  If the kids already have student loans, use the savings bonds to pay those off.

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