Comments on: Shop and Save for College: UPromise vs. BabyMint http://www.thesunsfinancialdiary.com/personal-finance/shop-and-save-for-college-upromise-vs-babymint/ Fri, 03 Feb 2012 17:42:24 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: The Sunhttp://www.thesunsfinancialdiary.com/personal-finance/shop-and-save-for-college-upromise-vs-babymint/#comment-5114 The Sun Wed, 28 Mar 2007 17:11:28 +0000 http://www.thesunsfinancialdiary.com/2007/03/21/shop-and-save-for-college-upromise-vs-babymint/#comment-5114 Bob: Well, that's the question I asked myself many times as well: why people hate credit cards so much. One reason I heard a lot is that people tend to buy more stuff with CC than with cash. Since I almost charge everything with cards, I don't really know what our spending will look if we pay everything with cash. But I do believe that there are lots of responsibilities involved in using cards. They can help you and they can break you as well. For those things that you know you have to buy anyway, like gas and grocery, why don't get some back with credit cards? Bob: Well, that’s the question I asked myself many times as well: why people hate credit cards so much. One reason I heard a lot is that people tend to buy more stuff with CC than with cash. Since I almost charge everything with cards, I don’t really know what our spending will look if we pay everything with cash. But I do believe that there are lots of responsibilities involved in using cards. They can help you and they can break you as well. For those things that you know you have to buy anyway, like gas and grocery, why don’t get some back with credit cards?

]]> By: Bobhttp://www.thesunsfinancialdiary.com/personal-finance/shop-and-save-for-college-upromise-vs-babymint/#comment-4959 Bob Mon, 26 Mar 2007 21:40:38 +0000 http://www.thesunsfinancialdiary.com/2007/03/21/shop-and-save-for-college-upromise-vs-babymint/#comment-4959 I also use Upromise for my daughter and over the past few years the value of the account has gone up quite a bit without me realizing it.There are some things you have to buy anyways like Gas and grocery so why not use your credit card and get the rebate instead of paying cash.Also my discover card gives me cash back which is a double reward so I have never understood why some people prefer to pay cash instead of using a credit card. I also use Upromise for my daughter and over the past few years the value of the account has gone up quite a bit without me realizing it.There are some things you have to buy anyways like Gas and grocery so why not use your credit card and get the rebate instead of paying cash.Also my discover card gives me cash back which is a double reward so I have never understood why some people prefer to pay cash instead of using a credit card.

]]> By: The Sunhttp://www.thesunsfinancialdiary.com/personal-finance/shop-and-save-for-college-upromise-vs-babymint/#comment-4794 The Sun Fri, 23 Mar 2007 04:03:31 +0000 http://www.thesunsfinancialdiary.com/2007/03/21/shop-and-save-for-college-upromise-vs-babymint/#comment-4794 MossySF & Joe:Since I have credit cards all the time, I don't a comparison on what my monthly bill will look like if I pay everything with cash, thus I don't know if I overspend with credit cards or not. But I don't think my spending decision is based on how easy I can pay the bill.While it's true that the best option is always save the money instead of spending it, there are occasions that you do have to spend the money. In this case, getting some back and put it into a college savings plan from the money you have to spend is better than just spending the money without any rewards. I think the program doesn't mean to encourage one to spend money (though the more you spend the more you get back). Actually, I only use those programs to get some extra help instead of using them as major sources of the contribution. I have college savings accounts for my daughter and have been making monthly contributions since she was born. Now she's two-year old and there are more than $5,000 in her accounts. I am not counting on the cashbacks from these programs to put my daughter through college, but for those money I have to spend at grocery stores, I am happy to see that I can get a couple of percentage point of the total bill back and invest them. MossySF & Joe:

Since I have credit cards all the time, I don’t a comparison on what my monthly bill will look like if I pay everything with cash, thus I don’t know if I overspend with credit cards or not. But I don’t think my spending decision is based on how easy I can pay the bill.

While it’s true that the best option is always save the money instead of spending it, there are occasions that you do have to spend the money. In this case, getting some back and put it into a college savings plan from the money you have to spend is better than just spending the money without any rewards. I think the program doesn’t mean to encourage one to spend money (though the more you spend the more you get back). Actually, I only use those programs to get some extra help instead of using them as major sources of the contribution. I have college savings accounts for my daughter and have been making monthly contributions since she was born. Now she’s two-year old and there are more than $5,000 in her accounts. I am not counting on the cashbacks from these programs to put my daughter through college, but for those money I have to spend at grocery stores, I am happy to see that I can get a couple of percentage point of the total bill back and invest them.

]]> By: Joseph Sanglhttp://www.thesunsfinancialdiary.com/personal-finance/shop-and-save-for-college-upromise-vs-babymint/#comment-4780 Joseph Sangl Thu, 22 Mar 2007 18:48:20 +0000 http://www.thesunsfinancialdiary.com/2007/03/21/shop-and-save-for-college-upromise-vs-babymint/#comment-4780 I concur with MossySF. Put the money directly into a 529 plan or Coverdell Educational Savings IRA! Statistics continue to support the fact that when you buy with plastic - regardless of debit or credit, you will spend 12 - 18% more than if you pay with cash.I started a UPromise account a 4 years ago and have accumulated $0.00 in my account. Why? I have no credit cards! (I do, however, have a hefty sum in my child's 529).Cash. It spends just like money! I concur with MossySF. Put the money directly into a 529 plan or Coverdell Educational Savings IRA! Statistics continue to support the fact that when you buy with plastic – regardless of debit or credit, you will spend 12 – 18% more than if you pay with cash.

I started a UPromise account a 4 years ago and have accumulated $0.00 in my account. Why? I have no credit cards! (I do, however, have a hefty sum in my child’s 529).

Cash. It spends just like money!

]]> By: MossySFhttp://www.thesunsfinancialdiary.com/personal-finance/shop-and-save-for-college-upromise-vs-babymint/#comment-4776 MossySF Thu, 22 Mar 2007 16:58:38 +0000 http://www.thesunsfinancialdiary.com/2007/03/21/shop-and-save-for-college-upromise-vs-babymint/#comment-4776 Of course, the better option is instead of buying a $2000 LCD at BestBuy for a $40 rebate to the college fund -- is to put the $2000 in the fund. :) Of course, the better option is instead of buying a $2000 LCD at BestBuy for a $40 rebate to the college fund — is to put the $2000 in the fund. :)

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