Quoting Adriana's Mami♥:" Here in Ontario... maybe all of Canada.. not sure? If you open their college fund before they turn 1 ... [snip!] ... clothes, sweeping the floor) but I don't think I'll give real allowances until they're old enough to go do things on their own."

This is through an RESP program, which can end up being a complete scam if your child doesn't go to post-secondary....you actually lose all of the money you put into it.

actually if the child with the RESP doesn't use it for college or university you can transfer to your own retirement fund if that is the kind of RESP you have set up which I do for my daughter, I am fortunate enough to be able to plan for her future as well as my baby boy that is coming in December and also put away for my own retirement and have a pension plan through work as well... you get out of things what you put in to them. I've worked hard my whole life bought myself every car I've owned paid for my own education, bought my own house at 25 and am so grateful to my parents for allowing me to fly on my own, and coming from a family with 5 kids I learned the value of money and having to sacrifice those things which are WANTS not NEEDS. So many people live beyond their means and I think that is the biggest financial problem people face. If you are going to have children then you should have a plan in place financially not only for their basic needs but if you want to get them the extra's too. Kids don't need the latest toys/gadgets that is just parents trying to keep up with the Jones's so to speak. I think we need to get back to the basics like when I was growing up, get kids outside instead of playing useless video games, teach them at a young at to work, I had a paper route at 8 and got my first real job at 14.

Quoting speaktruth2powr:" This is through an RESP program, which can end up being a complete scam if your child doesn't go to post-secondary....you actually lose all of the money you put into it."

How would you know whether or not it's a scam? I called RBC about an RESP and they said if the child doesn't use it for education you can take the money out you will just lose the gvt. grants on it.

Idk about Gerber life plan, I heard thats a scam too. But then again I don't even have a good job right now because my parents never saved anything for me and I can't go to college or school without money and right now I'm afraid to do loans because I don't know anything about them.

And I have no car which on top of it makes everything ten times harder. I'm pretty broke actually.
My mat leave is 916 a month plus I will get baby bonus. if I don't start an RESP, I will start a separate savings acc with what I have to put at least $20 a month for her education. At the end of my mat leave I don't know what I'm going to do, may or may not go back to work or I might just go on welfare to stay and take care of her until I figure out what I'm going to do about my own education.

Quoting eur009:" How would you know whether or not it's a scam? I called RBC about an RESP and they said if the child ... [snip!] ... know anything about them. And I have no car which on top of it makes everything ten times harder. I'm pretty broke actually."

If it is through a bank, it is more secure. The ones through outside companies are sketchy.

Quoting speaktruth2powr:" This is through an RESP program, which can end up being a complete scam if your child doesn't go to post-secondary....you actually lose all of the money you put into it."

I'll only lose 10% of anything in there if I close the account or she doesn't end up going and whatever the government puts in. I'm not planning on putting much in until she's older anyway.

Quoting eur009:" I didn't know they did that in Ontario? Is it any banks at all or certain ones"

All banks, the $500 is only within the first year though and they give $100 after that.

So you do lose 10 percent of your OWN money?
because RBC told me I would only lose whatever THEIR contribuation was, but I will get everything I put in plus the interest on that back.

Quoting eur009:" So you do lose 10 percent of your OWN money? because RBC told me I would only lose whatever THEIR contribuation was, but I will get everything I put in plus the interest on that back."

I'm going to have to look back on the contract but I believe they told me it was 10%...they didn't give up the info I actually had to ask how much I'd be losing.

Quoting Adriana's Mami♥:" I'm going to have to look back on the contract but I believe they told me it was 10%...they didn't give up the info I actually had to ask how much I'd be losing."

I dont want to be tricked into losing money so some part of thinks I'd be better off using a reg. savings account for her.

Quoting eur009:" I dont want to be tricked into losing money so some part of thinks I'd be better off using a reg. savings account for her."

If you're worried about that you should just open the RESP, don't put any money into it, just let the gov. put in their $500 + $100 every year until (I think she's 16) and then open a savings account on the side for her and put your own money into that. That way you'll be getting $2000 from the government and if she doesn't go to school they just take it back and you won't lose $$.  

Quoting eur009:" I dont want to be tricked into losing money so some part of thinks I'd be better off using a reg. savings account for her."

ING Direct have high interest, deposit only savings accounts.