What's the best way to invest $1k?

[Nocturnal]

I sold my car and paid off my loan. I have about $1k left over to save and put away. I want to put it into some kind of money making account. I know the interest rates right now aren't high, but what would make me some extra cash?

I guess I'm looking long term maybe a 5-10 year thing. What's good?

Update 3/19/03

I actually went ahead and invested my 1k into a savings account and in turn turned the savings account into a secured Visa. Secured because I did screw up my credit in the past. I was approved on the spot for the secured Visa and the Visa is coming in the mail sometime this week. The best part is that I have 1k in an account I can't touch and it is earning interest.

So if you have had bad credit, and you are on the road to recovery... look into a secured Visa (if you learned how to be responsible enough first).

 

[theNEOone]

i wouldn't invest in anything right now except tbills or other low risk asset.

 

[Placer14]

ING Direct has a pretty good return and it's VERY liquid.

www.ingdirect.com

I think they upped their APR too. They're very stong and have had an acct with them for a while. Very happy.

 

[kermalou]

invest it in drugs.....

cocaine...weed....ectasy....

they have very high returns

 

[Kevin]

Bonds

 

[Sketcher]

Bonds, CD's.

 

[Evadman]

if you are dead set on investing in stocks, get spiders.

 

[RossMAN]

If you have bills or outstanding loans/credit cards/lines of credit pay those off now while you have $

Investing $1,000 but owing $500 on a Sears card is kinda stupid. So pay off bills first then invest.

 

[Aquaman]

Originally posted by: RossMAN
If you have bills or outstanding loans/credit cards/lines of credit pay those off now while you have $

Investing $1,000 but owing $500 on a Sears card is kinda stupid. So pay off bills first then invest.

yeah........ pay down any debt then think about investing.

Cheers,
Aquaman

 

[Zenmervolt]

I'd put my money in a Bond fund. Check Morningstar for evaluations.

ZV

 

[DaveSimmons]

Originally posted by: Placer14
ING Direct has a pretty good return and it's VERY liquid.

www.ingdirect.com

I think they upped their APR too. They're very stong and have had an acct with them for a while. Very happy.

This is a good idea since it's FDIC insured and a guaranteed return. A bank CD with them or etradebank isn't a bad idea either if you're sure you won't need the money.

Of course if you have any credit-card debt pay that off instead and stop carrying a balance.

 

[Nocturnal]

Originally posted by: RossMAN
If you have bills or outstanding loans/credit cards/lines of credit pay those off now while you have $

Investing $1,000 but owing $500 on a Sears card is kinda stupid. So pay off bills first then invest.

This was all paid down already. No debt whatsoever!!! Debt FREE!!!!

 

[RossMAN]

If you are absolutely 100% debt free.

Open an ING Direct savings account (you'll get a FREE $50 bonus PM me for details - BTW this is not the referral deal) and keep your money there.

It's easy to transfer funds back and forth from ING to your regular bank's account.

 

[boyRacer]

Just had a question for CD accounts... can you keep depositing money throught the term period?

 

[rudeguy]

as far as I know a cd is a one time thing...however you can keep buying more....you are thinking more along the lines of a money market account I think

 

[boyRacer]

Originally posted by: rudeguy5757
as far as I know a cd is a one time thing...however you can keep buying more....you are thinking more along the lines of a money market account I think

i just checked the rates on cd accounts... boy do they suck compared to a couple of years ago...

 

[psyman1]

5-10 years. . .

Bonds? Blah.

If you are not afraid of the risk go for something based on a stock market index. Spyders were already mentioned.

However, if you like to be weird try a gasline MLP. They tend to be relatively stable price wise and offer anywhere from a 7-10 percent yield on the investment. They are a pain in the butt to handle tax wise though. I can't go into all the info here as it would take forever. Anyway. One to look up would be Amerigas partners (ticker symbol APU). I just picked that one because they provide most of the propane in the area in which I live and I can "see" their business.

Just a little suggestion for you.

 

[RACER]

ING direct is pretty good... not sure if it's changed any... but I got in at 2.3% APY... not too bad when every other bank is offering < 1%

Or you can always donate to the "RACER vacation fund".... not really tax deductable though...

 

[Dacalo]

if you have any outstanding balances payoff

if you dont, then put it into Ingdirect like others have advised

 

[charliebrown]

Put it into one of those deals where they give you $75 to open an account. This will give you a 7.5% return right off the bat. I think Etrade or Ameritrade or some other brokerage must have a promotion going on....

 

[rutchtkim]

how about a money market? I dont know much about it, but my friend does it to make money from the bank

 

[RossMAN]

So what did you end up doing with your $1,000:

• 1) Spent most or all of it, where did it go?
• 2) Invested it in a savings account or CD?
• 3) I invested $500 - $1,000 into a savings account or CD, applied and was approved for a secured credit card ... now I am investing my money and on the path to credit recovery?

 

[Spyro]

Originally posted by: theNEOone
i wouldn't invest in anything right now except tbills or other low risk asset.

 

[xirtam]

He paypaled it to me.

 

[SuperTool]

Stock market.
Low risk = Low return.
If you want to play it safe, get TIPS (Treasury Inflation Protected Securities)
With Bush in the White House, you might need all the Inflation Protection you can get