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Mom Confessions Mom Confessions

Help me think this through logically. IF you wanna be a b****, thats cool too, I'll just weed out the b*tchiness.

Posted by Anonymous   + Show Post

 My husband and I are going to be receiving a settlement. We have NO idea about the amount yet, but we are thinking it out long before we get it so that we can have the plan, and do it.

It could be anywhere from 30k to 300k. We really have no idea. So we are PLANNING the 30k and if it is more, we will put much of that into some form of savings until we purchase a home so that we will not have a mortgage payment.

My question: What is the best (in your opinion) plan on savings. Regular Savings is great for smaller amounts, but we are not wanting to waste the time with such a low interest on a larger amount.

Any advice would work too! :D

Posted by Anonymous on Nov. 26, 2012 at 10:50 PM
Replies (31-40):
Vikki77
by Bronze Member on Nov. 26, 2012 at 11:37 PM
My advice probably isn't the best, but I will tell you what we are doing. Lol My husband just got a settlement from a car accident. The settlement was only $17,000. We are paying cash for a foreclosed home. That will cut out our rent payment and allow us to save that. Along with our incomes, we will be able to pay cash for a very nice home within 5 years. :) I'm glad your husband is finally getting his settlement, and I hope you find the best way to spend it or save it.
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ecerka
by Platinum Member on Nov. 26, 2012 at 11:39 PM
Money markets are good and unlike an Ira there is No penalty for early withdrawal.
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ericahager2005
by on Nov. 26, 2012 at 11:41 PM
Congrats. I would talk to sev bankers/planners. Pay off debts. Maybe buy house or condo (foreclosure or short sale) and fix it up while living there then either sell or rent it out after move. When u rent u r just paying someone else's mortgage instead of building your own equity. If u rent for 5 yrs at $1K per mo that's 12 x 5 x 1000= $60k. You don't have to do a lot many times to increas home values. Prices are low now so you might luck out......
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Anonymous
by Anonymous on Nov. 26, 2012 at 11:44 PM

I would talk to a financial planner with a company such as Fidelity or Charles Schwab.  I would also look into opening up college funds for your children.

bellaamore
by Gold Member on Nov. 26, 2012 at 11:55 PM

Well, id find out the banks with the highest interest on a cap amount. 

If its just onein your area, thats fine, as you can open more than one account- one in your name, one in his.

Then, if you can, invest that cap amount into as many of those acounts as you can. This way you make the most interest.


I would suggest putting some away in a fireproof safe, as anything ould happen if shit hits the fan.

Pita369
by Bronze Member on Nov. 26, 2012 at 11:59 PM
If you are able to use USAA they have awesome interest rates...
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Anonymous
by Anonymous on Nov. 27, 2012 at 12:02 AM
Only advice I can give is stay away from investment firms, banks that are small and not nation wide such as small town banks and whatever you do stay away from investing in hedge funds even if the return is double what's going in too many investors today are running are sinking them in losing business. Hostess is a recent example filed for BankR now no one will get their money. Two accounts in a large bank is safer then several in small ones.
Congrats on your settlement and good luck.
Bennett121
by Silver Member on Nov. 27, 2012 at 12:03 AM

 I've never received a large settlement so I don't know what to tell you. I know having an IRA is highly recommended. I don't have one of those yet either. lol. I would call an accountant or someone to see what they recommend. Personally I would avoid the stock market and put it somewhere safe. just my opinion. I would want a high yield interest on the money though. Credit Unions usually have higher interest than regular banks. I pu $30 in an acount once and forgot it was there. Two years later I received a statement from them saying it was $400! I really needed it then too. So, I am all for credit unions! I never had my regular bank give me interest like that!

Blondemommy64
by Member on Nov. 27, 2012 at 12:04 AM
Most CD, and IRA rates are super low but you could find a higher interest paying savings or money market account....unfortunately the rates are bad but its still good to have it in a safe institution.
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AimeeReneV
by on Nov. 27, 2012 at 12:13 PM
I would look into CDs. You can find one that will fit your needs. A length of time, interest rate and amount. Thats what I would do as long as my regular income was enough to cover all my bills.
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