Making the Most of Your Savings
Where is the best place to stash your cash? Under your mattress? In a cookie jar? Your checking account? Savings account? Certificate of Deposit? With so many choices, it's easy to throw up your hands and take the path of least resistance, but that can end up costing you money in lost interest.
It also doesn't help that lower interest rates are making it more difficult to find good rates of return on your money. Nevertheless, this isn't a time to abandon your emergency fund just because the rates are low. Your goal should be to maximize returns while maintaining the liquidity you need.
There are five common places that you can use to manage your short-term savings:
- Checking Accounts
- Savings Accounts
- Money Markets
- Certificates of Deposit
- Savings Bonds
Learn more about where you should keep your savings, and check out the primer on U.S. savings bonds to help you make the most of your savings.
Comments
Very good article.
In my opinion, it is all a matter of market timing. It does not matter if it is gold, oil, or Microsoft, if you have access to good market timing signals, they will help you get in and out at a profit.
No guarantees in this business, but if they are right most of the time, you can still make $s.
There are may web sites providing them out there (search Google). Just find one that works and use it! Check out http://invetrics.com as an example.
Its Dow Jones timing signals are up 44.7% as of 6/24/09 while the Dow is up just 26% off its March lows.
Following a market timing system works!