jgon01
New Poster
Cash: $ 0.50
Posts: 2
Joined: 23 Aug 2007
Location: CT
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| Help with savings! |
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Hello,
I was wondering how the online banking works (ING,ect...) how is money deposited into account? I am thinking of opening one up because
it seems to pay the best interest.
I would like to start investing but I dont know where to invest or how to,
I have about $60,000 that I wanted to invest, any advise or help would
be greately appreciated!
p.s. Emergency fund & retirement accounts are all set, so the $60,000 can sit at the bank for like 10 or 20 years!
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Thu Sep 06, 2007 11:21 pm |
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dstern
Contributing Member
Cash: $ 6.60
Posts: 33
Joined: 18 Aug 2007
Location: UK
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you just put the money in your checking account, sign up online and give them your account details, they'll transfer the money into your online savings account.
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Sat Sep 08, 2007 8:09 pm |
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Apollo
Senior Member
Cash: $ 73.85
Posts: 360
Joined: 10 Sep 2007
Location: New York
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| Re: Help with savings! |
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On-line banking is very simple.
Either your own bank offers on-line banking as an added service for which you sign-up or
some banks are entirely based on on-line banking and do not have any branches to which you come into.
Either way, you sign-up for it online and the application form will ask you for all the necessary details. Funds will be transfered from your checking account into your on-line account.
Since you are all-set on emergency funds and retirement funds I would recommend that you put the $60,000 to work in global equity markets.
For that purpose you need to open up an on-line brokerage account and find some good investment advise (I know this could be the tough part but you will find it).
The cash-flow which you could create will definately have a positive impact on your lifestyle.
Putting it all in the bank is financial suicide and I would invest at least $30,000 of it while you put the other $30,000 into a money market account.
Be patient with your investments and allow some time to pass by before you reap the benefits.
It is not smart to play it safe but it is safe to play it smart.
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Tue Sep 11, 2007 11:45 am |
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sport302
Member
Cash: $ 4.10
Posts: 19
Joined: 22 Feb 2007
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With $60,000 dollars of long-term investment capital you should be visiting www.vanguard.com. Vanguard is very well-known in the financial community and ideal for long-term investing.
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Wed Sep 12, 2007 6:13 am |
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pf101
Senior Member
Cash: $ 62.25
Posts: 311
Joined: 12 Sep 2007
Location: Portland, OR
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Since this is a long-term investment, it should really be in some sort of equity investment unless you want to guarantee that it's worth less in 20 years than it's worth now.
I 2nd sport 302's suggestion for Vanguard. With their low expense ratios and no-load funds, they're a great place for buy and hold investing.
You have a couple options.
1 - if you're comfortable with choosing your asset allocation plan, then go and choose the investments you want and put your money to work for you.
2 - if you're not too comfortable and want some guidance, their phone support staff are all well trained and able to help you choose investments based on your timeline and risk tolerance (you can also do this online)
3 - take the easy road and put your money into a target retirement fund which is tagged to the time you intend to start accessing the money.
#3 is my personal favorite since you can put your money in there and pretty much not think about it again for 20 years.
However, if you do decide to be a bit more proactive with your asset allocation, make sure that you're looking at ALL of your investments as a total allocation. Many people try to asset allocate each individual account and then end up with many of the same or similar investments. There's little reason to hold a large cap fund in your IRA if you already own one in your 401k.
By looking at your investments as a big picture instead of a bunch of small pictures, you can insure that you're not double paying on expenses and aren't overloaded in a particular sector. Keep in mind that you really only need 5-7 funds TOTAL in your entire portfolio in order to be completely diversified. If you have more than that you're probably overlapping a lot (unless you have many sector funds, and even then you'll still have overlap).
Good luck!
Personal Finance 101
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Wed Sep 12, 2007 9:07 pm |
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