Email a copy of 'The Pros and Cons of a Custodial Account' to a friend
Loading ...Promote or Save This Article
If you like this article, please consider bookmarking or helping us promote it!
Print It | Email This | Del.icio.us | Stumble it! | Reddit |
Related Posts
- The Two Types of Custodial Account
- Pros and Cons of a Self Directed 401k
- How is a Bank Trust Custodial Account Different?
- Evaluating Merrill Edge as a Brokerage Firm
- Wise to Invest with Vanguard Brokerage Services?
Subscribe by Email
Another disadvantage of a custodial account is that if the IRS goes after the custodian, it confiscates the child’s money, even when it is a relatively minor amount in the scheme of things. This shows that the IRS, in this situation, does not care about the best interests of the child, and does this just to be mean and nasty rather than to solve problems. It further shows that the custodian can not protect the child’s financial interests from the IRS when it has a claim against a custodian, rather than a child and that the IRS goes after children in these situations.