The CollegeInvest Smart Choice College Savings Account, commonly referred to as a 529 account, is a valuable tool to help you save money for college. The Smart Choice College Savings Account is the only 529 account in Colorado that is FDIC insured.
$0
Minimum Balance
$0
Service Charge
%
Interest-Bearing
FirstBank offers two types of Smart Choice College Savings Accounts.
Money Market Savings
A liquid account that allows deposits and withdrawals at any time.
1-Year Time Savings
Time Accounts offer low-risk investment opportunities and higher interest rates by locking in your deposits for a specified period of time. Deposits can be made at any time.
Interest Rates
The CollegeInvest Smart Choice College Savings Account, commonly referred to as a 529 account, is a valuable tool to help you save money for college.
Money Market Savings Rates
1-Year Time Savings Rates
Tax Advantages
- Every dollar you contribute to your Smart Choice College Savings Account can be deducted from your Colorado state income tax return.
- Other state taxpayers can deduct contributions up to their state's maximum limit.
- Funds can be used at any FAFSA approved institution.
- For more information on tax benefits, please consult your tax advisor.
Account Management
- As the owner of a Smart Choice College Savings Account, only you will have complete control of your account and will determine when and how the money is withdrawn to pay for college.
- Funds may be easily withdrawn from your Smart Choice College Savings Account. Methods include over the phone, online transfers between accounts, Electronic Funds Transfer (EFT) directly to the school, wires, and cashier's checks.
- If you need your savings for another purpose, you can withdraw the funds. Please note there may be tax consequences for non-qualified withdrawals. For questions regarding tax implications please consult your tax advisor.
Minimal Fees
- The Smart Choice College Savings Account does not have a minimum balance requirement and does not charge an annual fee, a cashier's check fee, incoming or outgoing wire fee, or an account closing fee. Early withdrawal penalties and all other fees do apply.
FDIC Insurance
- The Smart Choice College Savings Account is the only 529 account in Colorado that is FDIC insured.
FirstBank
FirstBank serves as the account manager for the CollegeInvest Smart Choice College Savings Account and has overall responsibility for the day-to-day operations, including reporting transactions. FirstBank also assists CollegeInvest with marketing and distributing the CollegeInvest Smart Choice College Savings Account.
Promotion
First Step Program by CollegeInvest
The Colorado Legislature passed a bill in 2019 that gives children born or adopted in the State of Colorado, between January 1, 2020 and December 31, 2040 a contribution of $100 into their 529 College Savings Account. The program is administered and funded by CollegeInvest. To begin, open a new 529 account and name your child as the beneficiary. Once an account is open, visit the CollegeInvest website to learn about the application process and find additional information regarding the First Step Program.
College Savings Account: Important Considerations
To learn about the CollegeInvest Smart Choice College Savings Account, its objectives, risks, charges, limitations, restrictions and qualifications regarding the account's benefits and potential tax advantages, please read the Plan Disclosure Statement (PDS). For non-Colorado residents, check with your home state to learn about the benefits or tax advantages of opening a CollegeInvest Smart Choice College Savings Account. For more information on tax benefits, please consult your tax advisor.
The combined maximum account balance limit for all 529 accounts established and maintained in the state of Colorado for a particular beneficiary cannot exceed $400,000. Although account balances can grow beyond the maximum limit due to interest, no additional contributions can be made once an account's balance reaches $400,000.
Recent Legislative Impacts
For legislative updates that may impact your 529 College Savings Account visit the CollegeInvest website.
The Gift of a College Education
There's no better gift than a brilliant future. Print a FirstBank gift receipt when you make a contribution to a loved one's College Savings Account.
Frequently Asked Questions
What is a 529 account?
529 accounts are tax-favored options created to help individuals and families save for qualified higher education expenses through a qualified tuition program under Section 529 of the Internal Revenue Code. These programs are established by states or eligible educational organizations.
These accounts offer tax advantages to Colorado residents, including tax deductible contributions and tax free distributions when used to pay for qualified educational expenses. Residents of other states may also receive state tax benefits from utilizing a 529 account. Please consult a tax advisor.
- If an individual establishes a 529 account in Colorado, the beneficiary is not required to attend a school in Colorado.
- Qualified distributions from a 529 account can be used for eligible public and private colleges, universities, trade and vocational schools across the country.
- Residents from states other than Colorado can also invest in a Colorado 529 account; however, they may or may not receive a state tax benefit from their home state. Likewise, a Colorado resident may choose a state other than Colorado in which to invest their 529 account funds, however, they may or may not receive a state tax deduction.
Who is eligible to open a College Savings Account (CSA)?
- A United States citizen.
- A United States resident alien with a Social Security number or ITIN and a permanent address in the United States.
How can individuals open a CSA?
Customers can open a CSA through any of the following methods:
- In person with a New Accounts Representative at any of our branch locations.
- Over the telephone with a Representative. To get started give us a call at 303-235-1102, or toll-free at 1-800-964-3444.
- Online at www.efirstbank.com. Note, this option is not available if the account is being funded by a direct transfer from another 529 Account.
Who may contribute to a CSA?
Anyone may contribute to a CSA. There is no requirement that the contributor be a family member or that he/she has earned compensation.
When are assets available for distribution?
FirstBank CSA assets are immediately available for distribution. If the funds are being withdrawn from a 1-Year Time Savings CSA, the distribution may be subject to an early withdrawal penalty if the account has not yet reached maturity.
Can the beneficiary of a CSA be changed?
Yes, in most situations the beneficiary can be changed to an eligible family member by establishing a new account with the same account owner and new beneficiary, in addition to completing a CSA change of beneficiary form.
Can the account owner of a CSA be changed?
Yes, in most situations the account owner can be changed by establishing a new account with the new account owner and same beneficiary.
Great service from the start
All accounts included - because we believe everyone deserves great service.
Over 110 Locations
Over 200 ATMs
Online Banking
Mobile Banking
Text & Email Alerts
24hr Phone Banking
Disclosures
- A maximum of six telephone or online transfers and certain other types of withdrawals are allowed per month. Withdrawals made before maturity are subject to an early withdrawal penalty. A reminder notice is sent ten days prior to maturity. You will have a 10-day grace period after the account matures to withdraw from or close the account without penalty. If you do not instruct us otherwise, the account will automatically renew at maturity.
- If you or your designated beneficiary is a resident of a state other than Colorado, you may still be eligible to receive tax benefits. However, you should check with your home state to see if it offers a 529 program. That program may offer state tax or other benefits to residents of that state that may not be available to investors in programs in other states.
- CollegeInvest, the CollegeInvest logo, and the CollegeInvest Smart Choice College Savings Account are registered trademarks, administered and issued by CollegeInvest.
- To be eligible to apply for this account, you must be a U.S. citizen or U.S. resident alien.
- Learn more about our College Savings partner, CollegeInvest.
- For more details, see the Plan Disclosure Statement.