(Closed) What do you do with your savings?

posted 6 years ago in Money
Post # 3
Member
1144 posts
Bumble bee

Have you looked into GICs? You can lock them in for short periods of time and they’re fairly low risk.

Post # 4
Member
10366 posts
Sugar Beekeeper
  • Wedding: September 2010

@DeeVine1217:  I think that’s Canada only!

OP: Look into CDs. Unfortunately, interest rates are at historic lows, so you won’t be making mad bank in interest, but CDs are a great way to make some extra money!

Post # 5
Member
2999 posts
Sugar bee
  • Wedding: May 2013

@hisgoosiegirl:  Money market or fixed income would be your best bet. I’d lean more towards MMKT.

Post # 6
Member
10366 posts
Sugar Beekeeper
  • Wedding: September 2010

Oh sorry – didn’t read your whole post. Did you do an exhaustive search on the internet for CD rates? The big brick and mortar banks typically have horribly low rates, but internet-only banks will have much better ones. Our savings is in a money market. SHort of a stock market crapshoot, there isn’t a whole lot else you can do to make more until that money grows enough to invest in other stuff!

Also, you’ll end up paying a financial advisor more to guide you than you will make in interest (especially after you pay the taxes on that interest) so i’m not sure that’s the best idea.

Post # 7
Member
11325 posts
Sugar Beekeeper
  • Wedding: February 2011

You can check with online savings accounts maybe? I don’t know, we don’t really do anything with our money. I used to have a money market account, but it wasn’t making any more than my normal savings and it was a PITA so I got rid of it. I just don’t think there is anything really making much money these days.

Post # 8
Member
5670 posts
Bee Keeper
  • Wedding: August 2010

I used ING. It is savings account with a higher interest rate and you can make withdrawals anytime you chose, however it take 2-3 to get your money which helped em to only make a withdrawal when it was really needed.

Post # 9
Member
11747 posts
Sugar Beekeeper
  • Wedding: November 1999

You make a great point – no risk no return! 😉  I definitely would suggest discussing with a financial advisor.  We have a rewards checking account that we locked in at 4% so we sort of use it as a savings account (can’t beat that rate!)  Basically, you have to enroll in online banking and use the debit card 12 times a month (easy to do) and you earn 4% back each month on the average daily account balance.  We leave the majority of our money in there to earn the interest, then we have a regular old savings account (at a terribly low interest rate) as our “emergency fund” since i like to have a back up savings account that I don’t touch on a daily basis.  I’ve never been good with keeping my savings/checking together – I need the separate accounts so I don’t spend everything!

Post # 11
Member
2363 posts
Buzzing bee
  • Wedding: October 2012

@hisgoosiegirl:  Ditto the suggestion to use ING.  It’s at 0.80% APY right now.

Post # 12
Member
1252 posts
Bumble bee
  • Wedding: November 2011

HSBCAdvance, INGDirect, or AllyBank offer online savings accounts offer better interest rates than your retail banks and still allow you to access your cash at any time.   CDs aren’t earning much right now and you lock up your cash, so I wouldn’t recommend them. 

Post # 14
Member
1252 posts
Bumble bee
  • Wedding: November 2011

@hisgoosiegirl:  You could invest in corporate bonds instead of stocks, contact an investment advisor.

Post # 15
Member
10574 posts
Sugar Beekeeper
  • Wedding: January 2011

Here, the online banks and credit unions tend to have better rates in savings accounts (no limits on moving the money, but sometimes there are debit card transaction limits) than GICs.

We have most of our downpayment money in savings accounts at 2%, but we also have some in mutual funds – some monthly dividend and some bond funds.

Post # 16
Member
169 posts
Blushing bee

@hisgoosiegirl:  

 

I’ve been using Ally bank, and I really like them. Their money market account is at .89 right now. I keep enough for several months of expenses in my bank of america checking account (making a whopping nothing), but it’s super convenient (all my direct deposits are set up from that account already, and I didn’t want to switch them all). But I use Ally for my savings, and pay big expenses out of there when they come up  – you get 6 withdrawals per month, and I’ve never needed more than 1 or 2. 

The topic ‘What do you do with your savings?’ is closed to new replies.

Find Amazing Vendors