CDA Child Development Account
Posted: Thu Feb 09, 2017 11:33 am
Is it a good idea not to spend from this account... and even top it up to the max (36k) that the bank will pay 2% interest on?
What actually will happen to the balance?
"When your child turns 13, the unspent balance goes to their Post Secondary Education Account (PSEA), making it easier to pay education fees." (OCBC website)
36k X 2% a year for 13 years...
1 36,000.00 102% 36,720.00
2 36,720.00 102% 37,454.40
3 37,454.40 102% 38,203.49
4 38,203.49 102% 38,967.56
5 38,967.56 102% 39,746.91
6 39,746.91 102% 40,541.85
7 40,541.85 102% 41,352.68
8 41,352.68 102% 42,179.74
9 42,179.74 102% 43,023.33
10 43,023.33 102% 43,883.80
11 43,883.80 102% 44,761.48
12 44,761.48 102% 45,656.70
13 45,656.70 102% 46,569.84
Is this correct? Any advice please...?
Thank you!
What actually will happen to the balance?
"When your child turns 13, the unspent balance goes to their Post Secondary Education Account (PSEA), making it easier to pay education fees." (OCBC website)
36k X 2% a year for 13 years...
1 36,000.00 102% 36,720.00
2 36,720.00 102% 37,454.40
3 37,454.40 102% 38,203.49
4 38,203.49 102% 38,967.56
5 38,967.56 102% 39,746.91
6 39,746.91 102% 40,541.85
7 40,541.85 102% 41,352.68
8 41,352.68 102% 42,179.74
9 42,179.74 102% 43,023.33
10 43,023.33 102% 43,883.80
11 43,883.80 102% 44,761.48
12 44,761.48 102% 45,656.70
13 45,656.70 102% 46,569.84
Is this correct? Any advice please...?
Thank you!