Better than a toy

The idea for a Section 529 college savings plan gift registry came to Jeff Frese last year at a birthday party for his 4-year-old niece.
JUN 23, 2008
The idea for a Section 529 college savings plan gift registry came to Jeff Frese last year at a birthday party for his 4-year-old niece. Watching the birthday girl happily playing with empty opened boxes and ignoring her expensive presents, he had a revelation: What if he could have put the money he spent on her gift directly into her college savings account? The thought has become reality. This month, Mr. Frese, founder of Dorado Capital Inc. in New York, launched the beta version of FreshmanFund.com, a website that allows friends and family members to contribute money directly into a child's 529 account. The service is free, but Mr. Frese hopes to make money by selling customized cards on the site. Partnering with Future Trust, a Philadelphia-based rewards company that also works with state 529 plans, he will offer consumers a co-branded "affinity" credit card on the site. One percent of money spent using the card will go directly into a designated 529 account. In addition, Mr. Frese hopes to become a registered broker-dealer by the end of the year and sell 529 plans on the site. He is relying on "viral growth" on the Internet to drive traffic to the site, which is "already generating buzz in the blogosphere," he said. "FreshmanFund appears to be an innovation that simplifies life and simultaneously accomplishes a worthwhile objective," said Troy Onink, a college funding expert and co-author with Lloyd Paradiso of a book, "Strategy & Simplicity for Private School and College Funding" (Stratagee, 2008). "When the toys are long forgotten, the wisdom and generosity of contributors to a 529 plan will be remembered."

Latest News

Vlad Tenev bullish on RIAs as Robinhood's TradePMR hits $50B
Vlad Tenev bullish on RIAs as Robinhood's TradePMR hits $50B

RIA custodian TradePMR hit $50 billion in AUM as Robinhood launched its advisor referral network earlier this year.

Raymond James lands $5.4B advisor team from Comerica
Raymond James lands $5.4B advisor team from Comerica

The California-based veteran advisors are joining RayJay's employee advisor channel as billion-dollar-plus moves continue to reshape the independent channel in 2026.

Worthy AI takes tax planning from several hours to 15 minutes
Worthy AI takes tax planning from several hours to 15 minutes

Jonathan Hudacko, the founder behind Vanguard's first-ever acquisition, is now targeting AI tax planning for advisors.

Morgan Stanley wealth unit pressured staff to approve risky home loans
Morgan Stanley wealth unit pressured staff to approve risky home loans

A whistleblower has alleged systemic pressure on mortgage staff to approve suspect loans

Cetera taps veteran Primerica, Raymond James execs as new RIA & Branches leaders
Cetera taps veteran Primerica, Raymond James execs as new RIA & Branches leaders

With over 50 years of collective industry experience, Torrance Chaplin and Sean Marrin are stepping in as community leaders at Cetera Investors and RIA Network.

SPONSORED Direct indexing webinar targets tax-loss harvesting amid market swings

Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains

SPONSORED Who builds the income when the pension disappears?

Dan Biagini of American Equity says the steady decline of pensions, longer lifespans and a reset in interest rates are rewriting how advisors build retirement income