Showing posts with label CD. Show all posts
Showing posts with label CD. Show all posts

Saturday, November 9, 2013

Why would anyone ever put up with earning only1.9%?

I was just reviewing Bank Rate.com  and it showed  a National Average 5 year CD rate of only 1.9%.
Why in the world would anyone want to park funds at a bank with a rate of 1.9%?  Just think about it the average  inflation rate over the last 5-10 years has been over 2.5-2.9%.  That means in December you  have lost money every year for parking money with your bank! Ouch! Your bank doesn't loose money they lend it out for anywhere between 3.9 - 19+%. Why should you loose money so the bank can make as much as17% per year on your assets.

Did you know that solid alternatives  exist?
How about the following examples.  I am going to mention just a few.
The only problem is that these rates might not last for ever.  Don't Delay!

1)  5 year fixed rate guaranteed 3.25- 3.5% per year.

2) 8 year monthly income stream paying 6%

3) Insured High yield but variable rate 7 year  product. Contractual low rate of 1.25% with an annual upside potential of up to 7 - 7.25%. If you get the maximum only  2 years out of 7 you get almost 2.8%, if you get the max 3 years out of 7 you earn almost 3.7% and if you earner the higher rate 6 years out of 7 you would earn over 44%.  Compare that to the Bankrate.com national CD  rate of 1.9% with a 5 year return of under10%.  Which should you choose?

Call or email to learn more or to determine if these strategies makes sense for some of your assets!

Monday, October 7, 2013

Current financial SAFE MONEY opportunities

Here are some current opportunities  and  ideal candidates

1)   pay $119,332 now collect $242,138 in 15 years for a 5% effective yield 
    perfect for  someone trying to fund a child or a grandchild's education

2) pay $113,200 now and collect $250,000 split into 4 payments over 23 yr period for effective 5% yield   funding a trust or for some part of a retirement, perfect for a ROTH

3) pay $76,542 now  and collect $151,330 with many payments over 27 years for a 5.4% yield
   retirement or trust funding

4) pay $3,532 now and collect $62,000  in 43 years for a 7% return
   tax free if you use ROTH Funding for  grandchild or trust

5) pay $112,800 now and collect  $266,750 in payments between 2025-2033
   ROTH or 401K plan for someone retiring in about 13-15 years

6) pay $46,000 -70,000 now and collect 8 years of equal monthly payments for a 6% yield
   current retiree, or current worker looking  for a reasonable but guaranteed rate of return.

7) FDIC Insured variable rate CD. Guaranteed rate of 1% with upside potential of up to 7%              annual return on a 7 year CD. Minium purchase price  $30,000

These are just some of the interesting opportunities that are available. Pleas contact for more information or to determine if they are suitable for your situation.  These are all Safe Money
financial products with no Market Risk of loss of principal. All of these are subject to availability  limited time opportunities