(1) Nothing in this chapter shall be construed to:
(a)  Give any designated beneficiary any rights or legal interest with respect to an account unless the designated beneficiary is the account owner;
(b)  Guarantee that a designated beneficiary will be admitted to an eligible education institution or be allowed to continue enrollment at or graduate from an eligible education institution located in this state after admission;
(c)  Establish state residency for a person merely because the person is a designated beneficiary;
(d)  Guarantee that amounts saved pursuant to the program will be sufficient to cover the qualified higher education expenses of a designated beneficiary.
(2)  Nothing in this chapter establishes any obligation of this state or any agency or instrumentality of this state to guarantee for the benefit of any account owner, contributor to an account or designated beneficiary any of the following:
(a)  The return of any amounts contributed to an account;
(b)  The rate of interest or other return on any account;
(c)  The payment of interest or other return on any account;
(d)  Tuition rates or the cost of related higher education expenditures.

Terms Used In Idaho Code 33-5407

  • Account: means an individual trust account or savings account established as prescribed in this chapter. See Idaho Code 33-5401
  • Account owner: means the person or state or local government organization designated in the agreement governing the account as having the right to withdraw moneys from the account before the account is disbursed to or for the benefit of the designated beneficiary. See Idaho Code 33-5401
  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
  • Board: means the state college savings program board created in section 33-5402, Idaho Code. See Idaho Code 33-5401
  • Contract: A legal written agreement that becomes binding when signed.
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • Person: means an individual, a trust, an estate, a partnership, an association, a foundation, a guardianship, a corporation, or a custodian under the Idaho uniform transfers to minors act. See Idaho Code 33-5401
  • Program: means one (1) or more college savings programs established under this chapter. See Idaho Code 33-5401
  • State: when applied to the different parts of the United States, includes the District of Columbia and the territories; and the words "United States" may include the District of Columbia and territories. See Idaho Code 73-114
(3)  Under policies adopted by the board, every contract, application, deposit slip or other similar document that may be used in connection with a contribution to an account shall clearly indicate that the account is not insured by this state and neither the principal deposited nor the investment return is guaranteed by this state.