Best way to invest money as a student?

[seththefallen]

I received over $1,000 in aid money this week and I'd like to invest it. The more liquidity the better but I also want the greatest return. Ideally I will not use any of this money for a period of one year or more. I have an account with WAMU but I don't know if thats the best place to go and invest my money. The other important factor here is that I don't want to risk my money either. I'm going to buy into random stocks or something and then lose the whole lot. Advice?

[crazytalkx]

Sell drugs.
No, really.

[seththefallen]

Yea...if I had access to them I'd consider it.

[naes]

Everyone has access to DMT.
Yea...if I had access to them I'd consider it.

[kell]

If you don't want risk then you are looking at a savings account or CD as your best options. I think WAMU has a savings account with a rate of about 4.75%, which is pretty good. 6 or 12 month CDs will get you a little more.

[cindersphere]

Isn't the stock market recessing right now?

[Drnick]

I'd second the selling drugs suggestion, you could turn that 1,000 into 5,000 in less than a few weeks, haha.

But legally...your best bet for something that you can get in a few days if need, but still have decent earning potential is an ING account (or something close to that). I think there are other banks right now that have a slightly better interest rate than ING, but I've had great luck with them.

[lordwow]

Why on Earth are you investing your aid money?

[Mistik]

I second the CD. Probably your best bet, andyou can choose the length you want. The longer you invest the higher the %.

[JohnnyFoxDarko]

All of my tuition and expenses are paid too, I end up with close to $2000 every semester for books, and afterwards, whatever I want.
I'll probably invest some of my money, too.

[cdrober]

Yeah, for the time period you are looking at along with the instability and uncertainties in the stock market I think a guaranteed CD would be your best bet, so I will third it.

[Ender]

I think the ING suggestion is better than a CD. Sure, you expect to not need to touch it for a year, but in the case that you actually do need it before then, you'd be screwed. With a high-interest savings account like ING, you'll get a decent return with complete liquidity. I think I have a few $25 referrals left, so if you want to start with a free $25, PM me.

[roland13x]

Etrade has an online checking account with a 5% return, which is the highest you'll likely find. You can transfer money to and from your WAMU account in about a day or two at the most. Highly recommend it.

I have both an ING (around 4.5%) and an Etrade account, and never had a problem with either. But that Etrade rate is just tough to beat. Avoid CDs, as 6 month and 1 year rates are lower than that.

[mtxbass1]

I would stay away from CD's. Stick with something liquid, such as an ING account.

[jaykrue]

Go w/ the ING account. CDs aren't worth it in this market, especially w/ a low amount a student is likely to get from aid money.

[Jewelz23]

dump it into a CD, it is the safe bet right now.

[karkyco]

Isn't the stock market recessing right now?

Yes it's in recess. All the traders have left the floor and are running around lower Manhattan playing tag.

[thespamofpower]

instead of ING, i'd go with hsbc. they have a better rate (about 1% higher) and is still just a regular account. There might be another one that is a bit higher, but I haven't looked lately.

[cletus]

The problem with CDs in your situation is you can't keep putting more into the same CD each month. I assume you're getting monthly aid checks? Anyway, you have to invest everything up front when you open a CD. I suppose you could open a new one every month after you get your money but why bother? Just get yourself a online FDIC insured savings account. Go with that $25 referral the ender offered. It would take you years to earn that much in interest if you only have $1000 in the account.

[VanillaGorilla]

How the hell do you people get leftover aid money? I never get that shit. Maybe because i have to pay $500 a month to share a small as shit apartment with 3 other dudes.

[Squall835]

Everyone has access to DMT.

Extracting it is a pain in the ass though; brain juices everywhere.

[JolietJake]

Etrade says it's checking is 3.60%, not 5%.

[JolietJake]

Plus you need to deposit a lot, a lot.

[CouRageouS]

At least he's thinking straight vs everyone else I know who uses "extra" aid money on the iPod they desperately need. Kudos OP.

[roland13x]

Etrade says it's checking is 3.60%, not 5%.

You're right. I meant savings account, which is all the OP really needs. Though I do agree that if you can get the $25 referral for ING, go for that deal since you won't make that much in a year on your initial $1000 with Etrade, even with the higher interest rate they have.

[Zenithian Legend]

Yea...if I had access to them I'd consider it.

What the hell college do you go to that doesn't have access to drugs? There's an open market!

[seththefallen]

At least he's thinking straight vs everyone else I know who uses "extra" aid money on the iPod they desperately need. Kudos OP.
lol Thanks. Probably going to look into an ING account. I appreciate everyone's contributions. And I'd love to buy a macbook or some other waste of money but I know better :bomb: