When on another post someone asked if there was a way to get miles for paying tuition for a college that does not let you charge it on a credit card, it got me thinking since I have an 8th grader at home. I had been buying I Bonds on line here and there, but not with any diligence. These I bonds are bought at face value and are paying 6.98 % right now,guaranteed until the end of april, of course can change, but it is tied to the inflation rate and I think will be as good as any savings bank. I have money saved in a savings account - so I've decided to buy a bond a day, using my double miles citi click card. There is no penalty if these ponds are cashed in 5 years. There is a 3 month interest penalty if cashed after 6 months but less than 5 years. (big deal). The bonds are in my name, with my daughter as beneficiary and might be eligible for tax waiver for college if our tax bracket fits in. So, it's like getting double miles (single after May 31st when the click double miles offer expires, or single if using another Visa or MC (they don't take AMEX) for putting money in a CD. So, when my daughter goes to college, there will money for tuition that got me lots of miles even if they don't let you charge it.!
www.savingsbonds.gov

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DtG