Hi,

I am confused whether to start RESP for my child. If I start contributing and if at all, I move to India in future,

1. What benefit will I get for my child if she pursues her education in India after the age of 18?

2. If we can't maintain the PR of Canada(couldn't apply for citizenship), will I be able to get the benefit from RESP?

Thanks

Hi

There are lots of people selling RESP from private financial institution. RESP from private financial institution are rip-offs. When you deposit your amount in RESP with this financial institution. Out of your 20% you get from government, more than ½. . I.e. about 10-12% is ripped –off in fees. Over that there is 1% annual fees they rip-off to manage your funds in RESP. There is no guarantee your money will ever grow.

Yes there is guarantee that you will get the money back what have you have put in (doesn’t not include what you get from govt.) on the condition you have to pay the full complete years (till you son/daughter becomes 18). If you stop in between you will loose more money in fees.

If you really are sure you are going to contribute without a break (break may be allow up to max 6 months in some schemes). Then it is ok otherwise always use self-directed RESP with a Bank

So to get your full 20% from govt. put in self directed RESP with a bank and get some GIC or mutual fund with it. Even if you stop contributing still you get all you money back when your son/daughter becomes 18.