What is the best kind of savings account to get?

Question

I want to open a savings account for my kids. To know there is always alittle something off to the side there for them. What is the best kind to get?

Answer 1

ING Direct is good.

You can get a Coverdell Education Savings Account for tax free education gains for your kids also. I use Scottrade for that, and now my kids have lots of money for college.

I started my their Coverdell ERA with just $20 and just put a little in each week. It adds up fast. I have them invested in mutual funds such as UMREX which has been gaining about 20% per year. That is a real estate fund with no loads and no transaction fees at Scottrade.

Answer 2

Right now, the best kind of savings account is an online savings account. Some banks are starting to offer them and the interest rate is great! At my bank (HSBC), the interest rate never drops lower than 5%. Way better than a standard savings account, and you don't need a minimum balance to open one up like how you would for a CD.

Answer 3

A standard bank savings account will not net very much interest. Look into CDs. The rates are averaging around 5+/-%. That isn't bad for guaranteed secure money.

Answer 4

definite. each financial corporation has that style of account and it is named "term mark downs a/c" or "term deposit a/c". you may not withdraw your cash for a undeniable time, e.g. 1year, 2 years etc. yet one financial corporation won't grant all of them, so which you're able to be able to could ask them. an income of term bills is they pay bigger interest, and the longer the term, the better the interest. even nonetheless, be careful approximately locking all your cash like that for long sessions, in case of unexpected emergencies, unemployment, ailment etc. So ask the banks approximately this factor additionally.

Answer 5

ING has a no fees/ no restrictions/ no minimums account paying 4.5%