Doesn't it seem like the only impressive numbers we've seen this summer are the digits on the thermostat and the unaffordable prices of homes? Real estate has been excruciatingly hot for the past few years, but getting in the market now puts you in the high-risk category for a heat stroke if the market decides to cool off this year.
So if a real estate induced stroke doesn't appeal to you and the stock market's roller coaster ride gives you motion sickness, it's very likely that you as a health-conscious investor are sitting on a stash of cash collecting an anemic rate of interest.
Don't worry, you are in good company. Even investment legend Warren Buffet is having problems finding fruitful investments. Buffet admitted in Berkshire Hathaway's annual letter to shareholders to having ended 2004 with $43 billion in cash equivalents and couldn't promise much success in utilizing the money in 2005.
If Buffet doesn't know what to do with his billions, you are probably thinking that you have no chance of finding a great place to put your billions either. Ok, your trillions. I didn't mean to belittle your nest egg.
Where can you stick your cash while you wait for better investment times?
How about online? Yes, I know Internet stocks stole your money in 2000, but Internet banks are giving it back in 2005.
Unlike the Internet gold rush of the 1990's where web businesses were run by high school students, many of today's Internet banks are simply online divisions of safe and time tested brick-and-mortar banking institutions.
Take ING Direct for example. ING Direct is the online division of ING Group, a Dutch based financial institution which is among the top 15 largest in the world. ING Direct opened its Internet doors five years ago and currently has approximately $29 billion in deposits. That would make it the "YAHOO!" of online banks.
But another online bank may actually make you yodel, "yahooo" after you glance at their annual percentage yield. Internet bank Emigrant Direct offers 3.50% APY on its savings accounts. What does your big commercial bank give you? 0.50%? At that rate, you're not earning enough to beat inflation. Maybe it's time you joined the Internet age?
Emigrant Direct is the online division for New York's Emigrant Savings Bank. Although a relative newcomer to the online banking scene, when it seems like interest rates are leaden with lead, Emigrant Direct is usually the first to raise them. At this point, brick-and-mortar banks would need to raise their rates quite a bit just to catch up with Emigrant.
So if you find yourself not enjoying the lazy interest rates of summer, you may want to log on to the net and see how an Internet bank account may boost your return this year. The interest rate you get may just burn as hot as the heat wave hitting most of America.
Jon Galanty is a financial writer for eMoneyCentral.com. Visit http://www.emoneycentral.com to find out more about online banking and to get other great money tips.
Lincoln Stretch rentals Alsip ..If you die without making a Will in the UK,... Read More
If You Have an Existing Account and 5 Minutes, You... Read More
It's the little things in life that make it interesting.... Read More
Financial freedom cannot be achieved without budgeting. Budgeting involves tracking... Read More
Get Access to Realistic profitable strategies & discover the mindset... Read More
Millions of people give a lot of thought to financial... Read More
ID theft is a major consumer concern, though there is... Read More
For most of us the process of getting out of... Read More
Do you have a 401(k) retirement account? Are you vested... Read More
I have to admit, I do it too. I complain.... Read More
How many drawers did you have to look through to... Read More
Vacations Made Easy: Buying a Florida Investment PropertyA relaxing beach... Read More
The cries are heard from the distance, "I need help... Read More
Identity theft is a serious crime that continues to grow.... Read More
Ben Stein has a book called How to Ruin Your... Read More
Has anyone been to the gas pumps lately? Soon $3... Read More
I have been a loyal user of Quicken(R) for more... Read More
The price of gas continues to climb, and with continued... Read More
If you've been thinking about filing for bankruptcy, your best... Read More
Your boss has just informed you that your department is... Read More
You've analyzed your past expenses, put them into spreadsheets, loaded... Read More
Single Mother's in need of Financial GuidanceBudgeting is key to... Read More
Most Americans have been brought up to be concerned about... Read More
I've been going through and interesting growth period lately that... Read More
1. Lighting & Light Bulbs Install low energy light... Read More
Western Springs shuttle limo ..Creating a budget can be a very difficult task. Although... Read More
Now there are ways to save money in the grocery... Read More
Budgeting. It's a word we're all familiar with. Everyone knows... Read More
The first step to financial success lies in knowing your... Read More
Get Access to Realistic profitable strategies & discover the mindset... Read More
Doesn't it seem like the only impressive numbers we've seen... Read More
Can you really afford a house? If so, how much... Read More
Sticking to a budget can be difficult, but with so... Read More
Sorting out your personal finances can be a tricky and... Read More
Today many women are struggling with debt and it's even... Read More
Frugal living is more than a lifestyle. It's a passion.... Read More
Everyone needs to maintain their lives. What I mean by... Read More
As a parent you are bound to face a few... Read More
Next to our physical health most of us are primarily... Read More
Single Mother's in need of Financial GuidanceBudgeting is key to... Read More
Saving may seem easier if you were saving for a... Read More
Have you seen the recent article on a new "green"... Read More
Finding a stable and secure income that will come year... Read More
You've decided you want a bigger, better and more desirable... Read More
Identity theft is a serious crime that continues to grow.... Read More
1. Don't focus on your finances.The reason most people get... Read More
Most Americans have been brought up to be concerned about... Read More
I have been a loyal user of Quicken(R) for more... Read More
Do you struggle from week to week trying to make... Read More
Financial freedom cannot be achieved without budgeting. Budgeting involves tracking... Read More
Personal Finance |