Children’s education funds is entirely a type of pension scheme that genuinely secures your child’s future by saving for your child’s education when you need it most. Whenever we need a hefty amount for tuitions of our child, we need to depend on the loan and credits from other people or banks, but if you did take one scheme of children’s education fund, you might not need to make any of those loans which you need to worry about repayment.
How does this Children’s Education Funds scheme work?
When you take membership or purchase any of those Children’s Education funds, you automatically take a step towards a sound and prosperous future for your child. When you enroll in this program, you will get access to an account where you will need to make deposits for a specific amount of fund that will help you in future. You need to deposit the desired amount which is fixed in your scheme and pay those installments every month from time to time. The payment that you chose will collectively be compiled to become an amount. And at the time, when our child grows up, you will eventually be given all the money mentioned in the invoice of the tuition fees of Institution where your child takes admission into.
Advantages of these schemes?
- Alright, as mentioned about the process and the working of this scheme and fund I would love to discuss the advantages, merits, and benefits of the same.
- The first one being the bulk availability of funds needed at the time of admission is readily available.
- The second is that we don’t need to take any loan or credit from any bank or any other person.
- The third and most important is that you are sure that your money will be utilized in building an excellent and profitable resource for your child (i.e., education).
How to manage such expenses?
Well, the same way you did until now. Yes, you heard it right. These schemes are no different than the regular ones that we take for our monthly EMIs, just slightly different concerning payment (as we need to pay EMI after the purchase while in this case, we have to pay the installments for us to claim the funds for our child). Firstly make a note of your monthly salary and make the savings excluded from the first wage that includes the income tax. Then make a list of all the necessities that you feel are crucial for your living and prioritize them accordingly. Make cuts in expenses that you think are useless for you or your family and make saving for the monthly saving for this scheme.
That’s it. Simple.
Who should opt for this scheme?
Everyone! Yes, I would say everyone should make some purchase in these schemes (unless you are a millionaire) as these are future-oriented and make future secure by financially aiding your child's studies. Although I recommend all those working-class professionals, who find living a bit worrisome, all those parents who desire their child to excel in educational field but hold back due to financial instability, all those students who wish to make a change in society by making good use of resources. I hope I could include all the professionals, but it is not feasible. Although you might be a rich folk, you don’t know what your future will bring to you, so it is better late than never to invest, which will help your child secure his/her future.