Trump’s $1,000 baby 'scam' gets humiliating snub from US parents

U.S. President Donald Trump on Capitol Hill, the U.S. Capitol, in Washington, D.C., U.S., June 24, 2026. REUTERS/Annabelle Gordon

President Donald Trump’s promise of $1,000 for newborns is getting an embarrassing response, as some parents would rather turn down the money than put his name on their children’s savings.

A Michigan veteran, Eloise, told The Atlantic that Trump's failed business ventures were what made her suspicious of the government-sponsored investment program.

“Both my husband and I, our first reaction was like, Oh, this is a scam,” she said.

After some research into the scheme, Eloise went with a traditional approach to saving for her baby. She remained skeptical about the Trump accounts and had a moral issue, stating, "Ultimately it's just like the man's a con man," she said.

The report also details a Californian mother who turned down the payment due to concerns about the administration and the potential tax implications, believing it would be “more of a burden than an asset.” Her family subsequently accessed her son's account without her knowledge after requesting the child’s Social Security number, which led to a family row.

She considers herself a centrist but took issue with the Trump association, stating, “We don’t know what can happen to that money since Trump is so erratic and clearly corrupt.”

The resistance comes as the administration is promoting the Trump Accounts as a huge economic win. The program will see eligible children born between 1 January 2025 and 31 December 2028 receive a one-off $1,000 government payment.

The money is invested in US stocks, with the parents or guardians in charge of the accounts until the children reach 18. Families and others can contribute up to $5,000 per year so the investment can grow.

But an earlier BabyCenter survey indicated that the president's branding could be a liability for program participants. 27 percent of the pregnant women and new mothers surveyed by InvestmentNews said they didn't intend to open an account.

Twelve percent said it was because of opposition to the administration, 14 percent preferred a 529 education savings account and another 20 percent didn't know what Trump Accounts were.

The Treasury has now moved to automatic enrollment and has created accounts for over 60 million more children. Parents will still need to claim the accounts for the eligible newborns in order to get the $1,000 contribution.

Trump gave a completely different picture at a White House event on Oct. 7 to celebrate the program.

“I have not heard anybody speak badly of it. It’s pretty amazing,” he said.

The White House says some 70 million accounts have been created, with automatic enrollment being the key factor in making it easier to participate and in increasing access to the benefits of long-term investment.

Even California Democratic Governor Gavin Newsom has told parents to use the accounts despite their feelings about Trump.

"It's not Trump's money. It's your child's money," Newsom said in August.

Still, for those who don't have any confidence in the president, the offer of free money hasn't been sufficient to sway their opinion at all.

From Your Site Articles