How to Avoid Registered Education Savings Plan Scams

Registered education savings plans, or RESP, are actual investment accounts that people can use to save money for post-secondary education. You can have one of these accounts open for a thirty-six year period. Follow the link for more information on heritage resp. Most of the time, parents open registered education savings plans so that they can start putting funds aside for their kids' future college expenses. It is possible, though, for adults who intend to go back to school to open RESP to save for their own expenses.

Though registered education savings plans that are offered by legitimate institutions are a useful option for many families, you must also realize that RESP scams exist. This article is designed to help you avoid falling victim to a registered education savings plan scam. There are a number of warning signs that indicate a RESP offer is actually a scam. A few of these red flags are detailed below.

1. The first warning sign of a RESP scam is if you are asked to pay money to your agent simply to open the account. You should not have to pay to open a legitimate RESP account. People who run registered education savings plan scams, however, often ask you for payment so that they can earn more profit. For more info about resp, Click Here. If someone tells you that there is a fee to open your new RESP account, leave the situation instantly.

2. Are you familiar with the financial establishment that you are planning to open a RESP account with? If your answer is no, you should be wary of becoming the victim of a registered education savings plan scam. It is an excellent idea to find reviews of any financial establishment you might use; reviewers will usually say whether or not a particular business runs scams.

Even if you are approached by someone who professes to be employed by a renowned financial institution, you might want to look into him or her before agreeing to open a RESP account. This is particularly true if the person you are working with always wants to meet in public locations rather than at his or her office. This is a major red flag that you are about to get involved with a registered education savings plan scam.

3. You should be wary if you receive a cold-call about opening a registered education savings plan, especially if the caller wants you to provide financial information over the phone. Learn more about the heritage resp scam. If you think someone is calling you about a registered education savings plan scam, hang up the phone right away.