Best way to invest money as a student?

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seththefallen

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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?
 
Everyone has access to DMT.
[quote name='seththefallen']Yea...if I had access to them I'd consider it.[/quote]
 
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.
 
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.
 
I second the CD. Probably your best bet, andyou can choose the length you want. The longer you invest the higher the %.
 
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.
 
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.
 
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.
 
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.
 
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.
 
[quote name='cindersphere']Isn't the stock market recessing right now?[/quote]

Yes it's in recess. All the traders have left the floor and are running around lower Manhattan playing tag.
 
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.
 
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.
 
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.
 
[quote name='JolietJake']Etrade says it's checking is 3.60%, not 5%.[/QUOTE]

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.
 
[quote name='seththefallen']Yea...if I had access to them I'd consider it.[/quote]

What the hell college do you go to that doesn't have access to drugs? There's an open market!
 
[quote name='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.[/quote]
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:
 
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