Saving Account for Future Student Loan Repayment

[Kipperriffic]

Question for those of you who took out Student Loans during University...

Lets say you have $11,000. You graduate in a little over 1 yr period and then you have to start repayment of student laons...

-What kind of Savings Account do you put this money in?
-What banks and their offers seem ideal to you?

Assume no money will be taken out of this account for daily or monthly use.

[DownhillGoat]

Personally, I'd find a relatively safe ETF and hold them in a TFSA until you have to start repayment. However I'm sure there's more qualified people here to answer that question.

[Rathji]

I think I remember the rate for student loans to be reasonably high, I don't think it makes sense to invest past the point where you need to start paying interest. I think you have 2 periods, maybe 4 months each, that you can extend your non-interest period after you graduate. That puts your window for investment at < 2 years.

I would likely lean in the direction of a GIC in a TFSA, since I don't think short term risk at this point is something that I would personally want to deal with, but as kunk mentioned, there are many more qualified people on CP who will likely tell me I am a fool!

[MoneyGuy]

You want no market risk, so a short-term GIC or high-interest savings account, in a TFSA. They're paying low yields, but don't gamble with this money.