Le Lézard
Classified in: Business
Subject: PDT

Mobile App Gives Middle-Class Americans a New Way to Save for College

SAN FRANCISCO, Jan. 16, 2020 /PRNewswire/ -- Middle-class American parents, many still reeling under the burden of the millennial student debt crisis, have a new way to save for their kids' college costs: a free mobile app from CollegeBacker.

The new CollegeBacker app makes it easy for low- and middle-income families to save for their kids' college with a tax-free 529 college savings plan, and invite family and friends to contribute.

Millennials are no strangers to college debt, which has doubled over the last 10 years and now stands at more than $1.7 trillion. When it comes to saving for their own kids' college costs, they are starting earlier than prior generations and turning to family and friends for help.1

"The millennial generation does everything on their phones, so it made sense to launch our service as an app," said CollegeBacker CEO and founder Jordan Lee. "Our app makes it extremely easy to start a top-tier 529 college savings plan any time, anywhere, and then invite family and friends to contribute or send the gift of college savings to another family."

By using its unique gifting features, CollegeBacker families are saving an average of 43% more by soliciting gifts for birthdays or baby showers, holidays, and graduations. More than 50% of the CollegeBacker families who have been on the platform for a year have received gifts into their college funds, compared to an industry average of 1%-2%.

With the free CollegeBacker app, families can set up and fund their child's college plan in under 5 minutes, monitor the growth of their investment, customize beautiful gifting pages for their kids, and invite family and friends to make a lasting gift to their child's future with easy payment methods like credit/debit cards. CollegeBacker is currently available for iOS on the Apple App Store ? https://try.cbkr.co/iphone ? but will soon be available for Android as well.

By bringing free robo-advice and a seamless mobile app to the college savings industry, CollegeBacker is expanding the audience for 529 plans, with over 50% of its families self-identifying as low- or moderate-income.

"Surveys show 70% of Americans ? most in lower income brackets ? are still unaware of 529 college savings plans, even though the experts agree that it's the best way to save for a child's education," said Lee. "Like a retirement account for college, the investment can grow tax-free. We hope the availability of an easy-to-use app will raise 529 awareness and spur more families to start saving earlier."

About CollegeBacker
CollegeBacker is democratizing access to education with a free and easy way to invest tax-free for college and save more with gifts from family and friends. An SEC-registered investment adviser, CollegeBacker provides robo-advice to start investing with a top-tier 529 plan and portfolio. CollegeBacker is a venture-backed startup based in San Francisco that counts Princeton, Dartmouth and USC as investors. It has introduced thousands of low and moderate income American families to 529 plans, helped them save over $5 million for college, and helped their kids avoid over $15 million in student loans.


SOURCE CollegeBacker

These press releases may also interest you

at 04:00
With learning on mobile devices becoming the new norm, learners want information on-demand, in the form of bite-sized modules. To help training and L&D professionals meet this demand, CommLab India, the global leader in rapid eLearning solutions,...

at 03:23
Tuniu Corporation ("Tuniu" or the "Company"), a leading online leisure travel company in China, today announced that it plans to release its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2019, before the...

at 02:04
Cyient, a global engineering and technology solutions company, today announced that it had signed an agreement with Hitachi Rail to deliver a series of project engineering services to support Hitachi Rail accelerate the evolution of its signaling...

3 avr 2020
Scotiabank announced that effective April 1st 2020, it will be reducing personal and small business credit card interest rates to 10.99% for customers that are experiencing financial hardship due to the COVID-19 pandemic and are receiving a credit...

3 avr 2020
The lawsuit alleges at a time of severe national need, Defendants Bank of America Corporation ("Bank of America") and Bank of America, N.A. ("BNA") (collectively, "Defendants" or "BOA") instead privileged discriminatory policies of corporate greed...

3 avr 2020
LiveShop Inc., an e-commerce platform to enable local shops to sell easily to their local buyers, has decided to offer their platform to all sellers in the U.S. and U.K. Company announcement: With social distancing and stay-at-home directives in...

News published on 16 january 2020 at 11:16 and distributed by: