Expert: Dr. Joseph de Beauchamp - 3/26/2007

Question
a family member has generously given me money to handle for my 2 year old son (to start a college fund). we can't afford to contribute to a plan now so i was thinking of putting the seed money elsewhere in the meantime.  so what i'm looking for is the highest yield relatively risk free way to take care of this money for 3 years (at the most).  so should i go bonds or cd? or should i consider a longer term to get the most out of it? thanks.  

Answer
You know, I would take this into a local bank. You can buy US Savings Bonds there, and defer the taxes. This is the safest place, and over the next few years, you will probably make more money. Because US Savings Bonds are a non-commissionable product, you will only be able to find these here.

Dr. Joseph de Beauchamp