| Mutual Funds vs. CD's for 5 year plan? |
|
|
|
|
|
Shep
New Member
Cash: $ 1.15
Posts: 5
Joined: 24 Mar 2006
|
| Mutual Funds vs. CD's for 5 year plan? |
 |
|
Hi,
I'd like to start a fund with the purpose of upgrading my electronics every 5 years and every month put money into it. Then at the end of 5 years use some or all of the money for my upgrades and start over for the next 5 years. I can do either through my bank (good idea or bad?) What do you all think I should do? Thanks! 
|
Fri Mar 24, 2006 6:33 am |
|
|
JBendar
Senior Member
Cash: $ 49.60
Posts: 271
Joined: 22 Mar 2004
Location: Woodbridge, New Jersey
|
| Re: Mutual Funds vs. CD's for 5 year plan? |
|
|
quote:
Originally posted by Shep
Hi,
I'd like to start a fund with the purpose of upgrading my electronics every 5 years and every month put money into it. Then at the end of 5 years use some or all of the money for my upgrades and start over for the next 5 years. I can do either through my bank (good idea or bad?) What do you all think I should do? Thanks!
Shep:
Based on the information you presented in your other thread, it would not be wise to invest in mutual funds (unless you are considering bond funds). It might be a better idea to communicate with some of the electronics providers to see if they have an extended payment plan. Dell has a Preferred Customer account which allows you to extend your payment from 6 to 18 months (depending on what you purchase). If you can stick to saving something every month it would be a wonderful idea. In order to get a CD you have to tie your money up for a certain period of time. Is that what you want to do? Look into opening an ING Direct account or something similar. In that case you can have access to your money in case of an emergency. Hope this helps you.
JBendar
|
|
Fri Mar 24, 2006 7:44 pm |
|
|
Shep
New Member
Cash: $ 1.15
Posts: 5
Joined: 24 Mar 2006
|
Thanks! The ING Direct was a good tip. They have interest earning savings as well as CD's. To answer your question, yes, I don't mind tying up funds for this purpose. I think I'll leave a certain amount in the Savings though, for emergencies. That was a good idea. Thanks for the info!
Shep
|
|
Sat Mar 25, 2006 6:57 am |
|
|
|
