You should try an online high yield money market savings account. You can access the funds anytime and they have a high APR so you will be making money every month also. Try www.capitalone.com or www.ingdirect.com They are FDIC insured up to $100,000 so your money is safe, and there are no minimum balance or sign up fees.
2006-10-28 15:39:32
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answer #1
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answered by Gaily 2
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The money is for emergencies, buy a safe and put in 2k, have about 500 in small bills, for true emergencies, earth quack hurricane etc.
You will need small bills since no one will have or make change. During the north-ridge earth quack people would not make change and if you had only a 5$ bill the bottle of water cost 5$.
I also have a loaded pistol with the cash in the safe. 2 grand can get you out of any problems, if not I'll grab the gun. Also have 2k in cash will save you lots of money, when great deals come along. Such as I got a 400$ surf board for a 100$ and wide screen TV that cost 1600+ for 200$ cash on hand is king when a deal comes along.
For the rest think save bonds you can cash them any time, And there is no federal tax. You can have 7% with tax and risk or 5% with not risk or tax. And if the bonds are not be able to be cashed in go back to plane A,B. the cash in the safe and the gun.
2006-10-28 11:26:41
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answer #2
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answered by Anonymous
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Some options are:
1) High yield money market account
2) CDs (you can do 3 months, 6 months, 1yr, 2 yr, etc.; however, be careful of the early withdrawal penalties).
3) I Bond (one of the purposes of this bond is to protect your investment against inflation risk. The bond must be held for at least 12 months, if you redeem prior to that you will pay a penalty.)
If you want to take a little more risk with your money, you can invest in a (no-load) mutual fund (i.e. bond, stock & bond, etc.); however, don't forget to take into account that the fund will be subject to operating expenses, and that the NAV of the fund will fluctuate, which in turn means that you may not have the same amount when you initially invested. And there is also the possibility of incurring a redemption fee for some funds if you don't stay invested in the fund for a certain period of time.
2006-10-28 18:51:08
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answer #3
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answered by LT 3
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You should put most of it into an index mutual fund (say, $8K) for growth, and then put $2K into a CD or money market you can get to quickly if needed.
Remember that inflation is growing faster than what a money market can pay. So if you put it in a regular account, after taxes, you actually lost money! :-(
2006-10-28 10:32:06
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answer #4
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answered by Z Z 2
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a money market account will allow you to save money at a higher interest rate and lower penalty for goin over the allowed 3 checks a month or in a CD for 6 months at a time...there is a fee for taking it out early
2006-10-28 10:38:01
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answer #5
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answered by vanhammer 7
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Emergency money should be put into a money market account (MMA) that pays interest. The MMA will come with checks that you can use. You are limited in the number of checks (2-3) that you can write to that account each month.
2006-10-31 00:06:06
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answer #6
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answered by Steve R 6
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Bankrate research resource
http://www.bankrate.com/brm/rate/mmmf_highratehome.asp?params=US,416&product=34
2006-10-28 14:33:56
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answer #7
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answered by Gort 6
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In a Mason jar in the back yard.lol.
2006-10-28 10:35:45
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answer #8
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answered by cawillms 3
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