Yes, there are some “catches” and as you may suspect, Gerber does not advertise these particular potential downsides to “investing” with them. Guaranteed Money – Unlike other college investment plans, which invest your money into stocks and mutual funds, the Gerber Life College Plan will never return less than what you put into it (unless you borrow against the funds and pass away prior to repayment).įixed Monthly Payments – you will pay a fixed installment each month during the term of the policy. Policy Values – you can opt for a policy in the amount of $10,000 all the way up to $150,000. Secured with SHA-256 Encryption What are the benefits of Gerber Life? If you don’t die, you simply save about the exact amount of money you were aiming for over the period of the Gerber Life College “term.” The idea here is that you can save money for your child’s college fund, with no risk of investment loss…and if you “expire” prior to the policy term, the insurance policy limit is paid to your beneficiary, even though you didn’t live long enough to complete your savings goal. The marketing is targeted as a college savings vehicle, but any research you perform will quickly point out the money can be used for “anything,” including expenses that are not remotely linked to college. This means unlike regular term insurance policies, you can borrow against your balance as it accrues. This product offers a “safe and guaranteed growth” plan for your investment money, which is ultimately a term life insurance policy with an accruing cash value. So, why should you invest your nest egg with a baby food company? What other types of insurance does Gerber Life Insurance offer?. Is Gerber Life the best way to invest for college?.
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