Where is the best place to put money that I want to save for about 15 years?

Question

I know you get an IRA to save for retirement, but where should I put money that I want to save for a long time but not for retirement? (for example, for my first house, a car, a wedding, my kids. etc.) What kind of account should I get for that kind of saving?

Answer 1

There are many secure places.  Banks and financial institutions that are FDIC insured are probably the safest.  The FDIC insures deposits up to $100,000.  You can put your money into a Certificate of Deposit (aka CD) for up to 15 years and receive a higher rate of return then a normal savings account and still be insured up the $100,000 by the FDIC.

Many insurance companies are also quite safe, although usually without the FDIC insurance.  For example, I have money saved for retirement via a life insurance and IRA with New York Life.  Again, it is very safe.  

Most importantly, do you research on any financial institution you decide to invest with.  Good Luck.

Answer 2

if you want to build money like an invesment i suggest you put in a CD at you trusted bank if you dont trust banks

HIDE all your money in your back yard in the ground LOL

just kidding get a safe and put it in your garage

Answer 3

Depending on the amount you have lot's of options. If you are starting with a small amount, like a couple hundred i would say a standard savings. If you have at least $1000 then you should go up to a money market account. A money market will pay a slightly higher intrest rate and the rate will tier up as you add money. If you have $5000 or more go with a cd. The thing with a cd is you have to commit to a time you will leave the money in the bank. If you pull it out early then you get a penalty. Most banks offer 6-7 month promotional cd rates. right now they are at 4%. Which is great for this term cd. At the end of the term you could check rates and roll the money into a new cd. This is the best bet to getting some real intrest if you have the 5k to open the account.

Answer 4

If you want to save big time, put it in your gas tank. That stuff will probably cost about $20 a gallon by then...!

Answer 5

Invest in a good stock mutual fund.  In the entire history of the US stock market, NO investment has a higher average rate over any 15 year period.

Answer 6

A perfect place to put that is in just a simple brokerage account, and some you can start for as little as $500 dollars.  I personally have one at scottrade (e-mail me if you decide on scottrade because we can both get 3 free trades), and I can deposit money whenever I want (it's connected to my checking account).  To have your money more readily accessible, I suggest you open up a high yield savings account as well.  I have one at ing direct that I have hooked up to my wells fargo account as well, and it's really easy.

As far as the individual investments you should make, the article I linked to in my sources does a great job of talking about the kind of investments you should consider.  Check out a site like ETF Connect for debt funds that pay you a fixed interest rate in monthly dividends as well with low expenses from managing fees.

Answer 7

Andrea, your best and SAFEST place is a Bank.  Go to a bank and find out about interest rates for whatever amount of money you have. Interview several banks and take the highest rate of interest.  I will be here to help you.  God Bless !!