Saturday, November 19, 2011

What is the best way to save money, grow interest, for a short term?

I want to save money, with a higher interest rate than my savings account. However, I am willing to save this money for about 6 months before needing to touch it. How can I find the best options, given today's economy, to do this? I want to use this money as my emergency fund, budgeting my entire paycheck, to plan accordingly six months from now.|||There is a relationship between risk and reward. The higher the interest rate, the higher the risk. If you go into an investment which has a higher rate of return, you risk loss of some of your principle.





I suggest that you get a CD at a bank.|||Unfortunately,it is not possible.


Most deposit savings require at least $1,000.00 min.just to start and then you need to be sure that the fees do not eat up the interest you earn.


A regular savings account will accomplish the same thing and you can access the money when you need it.


Plus you can keep contributing to your savings account and then open a Certificate of Deposit account when you have more money.|||You can get a 6-month CD. ING Direct always has good rates.

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