I need some finanical advise.?

Question

I am 16 years old. I live in KC, MO. I have a job. I have around 800 dollars. I need to open an account but what kind? I dont have to pay for anything at all. I heard little about interest rates and things like that. Should I go buy some stocks or money markets or what? Please help me. What bank should I pick?

Answer 1

1. Put the money into a bank. Better yet, put them into Certificate Deposits if you don't need to use the money. Interest rate is higher. Make sure your deposit is FDIC insured. There are too many bank failures happening now in this mortgage and financial crisis.

2. Now is not a good time to invest in the stocks or anything else. The stock market is volatile. Housing market is crashing. Commodity bubble may have already burst. Wait until after the Presidential elections and see what the market sentiment is. Even then may still not be a good time to invest.

3. Buy some personal finance books, and investment books. Sharpen your knowledge. The more you learn, the more you know, the less mistakes you make. And money mistakes could be very costly.

4. Talk to people who have done well financially. Listen to what they have to say, how they made their money. Listen to their experience and learn from them.

Answer 2

Get your site or blog noticed through a free blog to post your website or blog address on here:

http://getnotticed.blogspot.com/

Answer 3

Go with a credit union, they tend to help you more so than a national bank and their interest rates are usually better.  You can typically get a Money Market account with almost the same interest rate as CDs and still have access to it.  I would have your parents or someone you know that has knowledge about banking.  Get yourself educated before you do anything so you know what you are getting into.  Don't get individual stock it is risky, don't put all your eggs in a basket, but that doesn't matter since you are not old enough.  

If you are saving this money for college look into 529, or ESA.   You'll probably need your parents to help you out.  With these accounts there are certain benefits from them (ie tax breaks) but they also have some restrictions (ie you can only use it for higher education).   Here is a link to read about the benefits of these types of financial vehicles.

https://personal.vanguard.com/us/account...

Answer 4

I would suggest going to a bank that is well known ie. Bank of America, Wells Fargo, Citibank and opening a student account with them. Usually you can open it by yourself depending on the state bank's policy, if not then your parents will have to help you co-sign on the account.

This is a good way to start and learn about banking.

Answer 5

How about spelling advice?

After that you may want to just open a savings account with your local bank. Depending on your state baking laws, you may need a parent to assist you.

You need to be 18 to open a brokerage account in the USA and invest in stocks.

Your parents can open you a College IRA (529 Plan) and you can invest that way with their help.