US Savings Bonds

Archive for February, 2009

Question: which is a better vehicle to save for college?

i am currently saving for college for my 2 sons 1 son is 5 and another is 1 years old respectively. i currently put my money in a nj best college saving program which basically invest in stocks i have also been thinking of opening up a government bond account mainly savings nond whic is a better way to save for education

Answer: You can also investigate other state’s plans. We are in the Iowa 529 plan for our 4 year old.

FDIC Consumer News Fall 2009 – News Briefs

Question: What type of investing should a college student try?

I am going to be entering my senior year, and I was looking to try and better invest the money I have made throughout high school and college. I will probably have roughly 1,000 dollars in my checking account which I use mostly for spending purposes and I work a part-time job so that usually will last me through the year.

I will have roughly $5200 dollars in my bank savings account at the end of the summer and it is making only about .15 cents interest a month. I was hoping someone could give me some sound financial advice- I want to be making more from my savings, should I invest some in a mutual fund, a CD, transfer some to a money market account, place some in a bond?

I guess I would just like advice on how I can make more money from my savings then my weak interest rate from my current bank. Thanks for your help.

Answer: You sound like a good kid. Leave the cash in something liquid ie a money market account. I know rates are low, but what if the market drops even 5% over the next year – you lose 5% instead of making .15%.

When you get done with school you will need to money for housing or what not until you find a job. Now, i like where you are going. When you get done with school here is my best advice – the only thing in life you should ever borrow money for is a house and pay that off fast. Start saving for retirement right away. If you follow this simple advice, you can end up like me. I’m 45, retired, live on my ranch with my wife of 24 years. We have paid the piper, and now we can do whatever we want. We take walks in the am, ride 4 wheelers, i play with heavy equipment, travel and yes, even spend time on answers. I wish you nothing but luck.

28. Hedge Funds 2: What is Short-Selling?

Question: Savings Bond Tax Benefit: Higher Education – Loans?

Can I still receive the same tax benefits by applying Savings Bonds to Higher education expenses if I do so after the loans are in Payment status? I wish to apply the Savings Bonds to a third party loan holder (i.e. Wells Fargo) at this point in time; I have already graduated and am current on payments yet wish to apply the bonds to my outstanding loans.
Can I apply at the same benefit as those who apply the bonds to the expenses as they occur?

Answer: No such benefit.

Discussion Panel: Darden Finance Conference 2009