Some sound financial advice?

[simms]

Ok, basically I have started a new savings, and have $75 going into my savings account (2.15% annually, compounded daily) every two weeks. If I leave it in for a year, I'm only making about $20 in interest.

What are my options, I know it's not a lot of money to toy around with, but at least I'll have a general idea.

Stocks? Mutuals? I'm 19, 2nd year of college.

Simon

 

[HamSupLo]

spend it, have a good time in college

 

[thirtythree]

Originally posted by: HamSupLo
spend it, have a good time in college

Genius :roll:

 

[jm0ut]

I would go for a mutual fund that mainly contains stocks. Since your only 19 you have a pretty long investment horizon and you will be able to tolerate the risk associated with stocks.

 

[sciencewhiz]

Do you have any type of existing short term savings? If not then keep it it you savings account.

If you do have short term savings use sharebuilder.

 

[vital]

invest in hot deals and buy stuff at 75% off retail price to sell for 50% off retail on ebay while charging 2x on shipping/handling.

 

[minendo]

I take 15% of each paycheck and have it automatically deposited into my ING Direct account. This serves as my "untouchable" savings account.

 

[mobobuff]

I feel like I'm at a crossroads! And there's like... a Denny's on one corner... and an IHOPs on the other!

 

[simms]

Is a mutual fund just a grouping of stocks based on their properties (values, risk, etc)?

No previous savings, I've worked myself out of debt and I'd like to be on the positive side this time. Can I use Sharebuilder if I'm canadian?

 

[sciencewhiz]

Originally posted by: simms

No previous savings, I've worked myself out of debt and I'd like to be on the positive side this time. Can I use Sharebuilder if I'm canadian?

Sharebuilder is only for American citizens, sorry.

Your first priority should be building a liquid savings account. You don't want an unforseen expense (or expenses) to throw you back into debt.

2.15% is pretty good, leave it there, and think about the stock market again in a year or so.

 

[simms]

Just looking at ING direct and they seem to be pretty good.

http://www.ingdirect.ca/en/openaccount.html

Think GICs would be a good idea to build up a liquid savings?