Best of the Week
Most Popular
1. TESLA! Cathy Wood ARK Funds Bubble BURSTS! - 12th May 21
2.Stock Market Entering Early Summer Correction Trend Forecast - 10th May 21
3.GOLD GDX, HUI Stocks - Will Paradise Turn into a Dystopia? - 11th May 21
4.Crypto Bubble Bursts! Nicehash Suspends Coinbase Withdrawals, Bitcoin, Ethereum Bear Market Begins - 16th May 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.Cathy Wood Ark Invest Funds Bubble BURSTS! ARKK, ARKG, Tesla Entering Severe Bear Market - 13th May 21
7.Stock Market - Should You Be In Cash Right Now? - 17th May 21
8.Gold to Benefit from Mounting US Debt Pile - 14th May 21
9.Coronavius Covid-19 in Italy in August 2019! - 13th May 21
10.How to Invest in HIGH RISK Tech Stocks for 2021 and Beyond - Part 2 of 2 - 18th May 21
Last 7 days
Reverse REPO Market Brewing Financial Crisis Black Swan Danger - 29th Jul 21
Next Time You See "4 Times as Many Stock Market Bulls as There Are Bears," Remember This - 29th Jul 21
USDX: More Sideways Trading Ahead? - 29th Jul 21
WEALTH INEQUALITY WASN'T BY HAPPENSTANCE! - 29th Jul 21
Waiting On Silver - 29th Jul 21
Showdown: Paper vs. Physical Markets - 29th Jul 21
New set of Priorities needed for Unstoppable Global Warming - 29th Jul 21
The US Dollar is the Driver of the Gold & Silver Sectors - 28th Jul 21
Fed: Murderer of Markets and the Middle Class - 28th Jul 21
Gold And Silver – Which Will Have An Explosive Price Rally And Which Will Have A Sustained One? - 28th Jul 21
I Guess The Stock Market Does Not Fear Covid - So Should You? - 28th Jul 21
Eight Do’s and Don’ts For Options Traders - 28th Jul 21
Chasing Value in Unloved by Markets Small Cap Biotech Stocks for the Long-run - 27th Jul 21
Inflation Pressures Persist Despite Biden Propaganda - 27th Jul 21
Gold Investors Wavering - 27th Jul 21
Bogdance - How Binance Scams Futures Traders With Fake Bitcoin Prices to Run Limits and Margin Calls - 27th Jul 21
SPX Going for the Major Stock Market Top? - 27th Jul 21
What Is HND and How It Will Help Your Career Growth? - 27th Jul 21
5 Mobile Apps Day Traders Should Know About - 27th Jul 21
Global Stock Market Investing: Here's the Message of Consumer "Overconfidence" - 25th Jul 21
Gold’s Behavior in Various Parallel Inflation Universes - 25th Jul 21
Indian Delta Variant INFECTED! How infectious, Deadly, Do Vaccines Work? Avoid the PCR Test? - 25th Jul 21
Bitcoin Stock to Flow Model to Infinity and Beyond Price Forecasts - 25th Jul 21
Bitcoin Black Swan - GOOGLE! - 24th Jul 21
Stock Market Stalling Signs? Taking a Look Under the Hood of US Equities - 24th Jul 21
Biden’s Dangerous Inflation Denials - 24th Jul 21
How does CFD trading work - 24th Jul 21
Junior Gold Miners: New Yearly Lows! Will We See a Further Drop? - 23rd Jul 21
Best Forex Strategy for Consistent Profits - 23rd Jul 21
Popular Forex Brokers That You Might Want to Check Out - 22nd Jul 21
Bitcoin Black Swan - Will Crypto Currencies Get Banned? - 22nd Jul 21
Bitcoin Price Enters Stage #4 Excess Phase Peak Breakdown – Where To Next? - 22nd Jul 21
Powell Gave Congress Dovish Signs. Will It Help Gold Price? - 22nd Jul 21
What’s Next For Gold Is Always About The US Dollar - 22nd Jul 21
URGENT! ALL Windows 10 Users Must Do this NOW! Windows Image Backup Before it is Too Late! - 22nd Jul 21
Bitcoin Price CRASH, How to SELL BTC at $40k! Real Analysis vs Shill Coin Pumper's and Clueless Newbs - 21st Jul 21
Emotional Stock Traders React To Recent Market Rotation – Are You Ready For What’s Next? - 21st Jul 21
Killing Driveway Weeds FAST with a Pressure Washer - 8 months Later - Did it work?- Block Paving Weeds - 21st Jul 21
Post-Covid Stimulus Payouts & The US Fed Push Global Investors Deeper Into US Value Bubble - 21st Jul 21
What is Social Trading - 21st Jul 21
Would Transparency Help Crypto? - 21st Jul 21
AI Predicts US Tech Stocks Price Valuations Three Years Ahead (ASVF) - 20th Jul 21
Gold Asks: Has Inflation Already Peaked? - 20th Jul 21
FREE PASS to Analysis and Trend forecasts of 50+ Global Markets by Elliott Wave International - 20th Jul 21
Nissan to Create 1000s of jobs with electric vehicle investment in UK - 20th Jul 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

A Simple myRA “Hack” to Supercharge Your Savings Interest Earnings

Personal_Finance / Savings Accounts Nov 15, 2015 - 03:08 PM GMT

By: Investment_U

Personal_Finance

Andrew Snyder writes: For income investors, times have rarely been harder. But Obama may have just accidentally created a lucrative solution.

We all know the problem. The Fed.

In its effort to keep the Great Recession from turning into something even worse, the country’s monetary maestros cut rates and kept them there. More than eight years after pulling rates lower, interest rates remain, in the simplest terms, dead.


Even with a small, token rate hike looming, it’s clear income investors will likely suffer for at least another decade. The likelihood of rates returning to “normal” is shrinking by the day.

For many investors, that’s terrifying.

Last week, the president of the St. Louis Fed echoed our concerns. In a speech titled “Permazero,” James Bullard wondered if we need to alter our expectations. There’s a new normal, he argued.

“Should we find ourselves in a persistent state of low nominal interest rates and low inflation,” he said, “some of our fundamental assumptions about how U.S. monetary policy works may have to be altered.”

In other words, the rules must be rewritten.

That’s a frightening idea. It’s a direct attack on our idea of liberty through wealth. Without reliable income from your investments, true freedom is tough to reach.

Fortunately, we have a solution.

I uncovered this “hack” while I was researching Obama’s myRA plan, an odd new type of retirement savings account. The plan lets Americans invest directly in U.S. Treasury debt.

As we showed last week, the whole myRA idea is a debacle.

But I found a loophole.

It’s a simple way to use a free myRA account to lock in a high-yielding no-risk savings account - a yield that’s more than 10 times higher than the national average.

With interest rates virtually dead, the idea of stashing money in the bank and actually getting paid for saving is all but gone. In fact, the national average interest rate for a savings account is somewhere in the neighborhood of just 0.17%.

That’s pitiful.

Fortunately, I’ve found an entirely legal, easy-to-use “hack” that lets you bump that figure to something much, much higher.

Last year, you could have earned 2.31%.

And over the last decade, you could have earned an average of 3.19%.

Again, it’s entirely risk-free. It’s as safe as - probably even safer than - depositing money at your local bank.

Here’s the hack.

When Washington wrote the law that created these new myRA accounts, its goal was to make the plans as simple as possible. In turn, it created a gaping loophole.

You see, while a myRA is technically a retirement account, the law has no penalties for early withdrawals of your principal. That means, while it’s not Obama’s intent, you can use the account just like a traditional savings account... depositing and withdrawing money any time you’d like.

And any money in the account will earn more risk-free interest than anywhere else.

For folks aged 59 1/2 or older, the deal is even sweeter...

You can take your interest earnings out without the traditional 10% penalty of a Roth IRA.

And even if you’re younger than 59 1/2, you likely qualify for one of the 10 ways to avoid the penalty... like using the interest payments to buy health insurance, buy a new house or even pay for school.

Signing up for a myRA is easy. Simply go to myRA.gov and follow the simple instructions.

Intentional or not, it’s the perfect way to overcome the death of traditional savings accounts.

Good investing,

Andrew

P.S. If you like this “hack,” you’ll be happy to hear we’ve got 39 more. My team and I just released what is absolutely my favorite report of 2015. It contains over three dozen tips, tricks and virtually unknown strategies that you can instantly use to save money and build wealth.

These “hacks” can save you thousands on fees, taxes, travel costs, subscriptions, education costs and cars. They can even show you where to collect cash from little-known programs. Get all the details here.

Source: http://www.investmentu.com/article/detail/48385/myra-simple-hack-to-supercharge-your-savings#.VkjIyE0nwWo

http://www.investmentu.com

Copyright © 1999 - 2015 by The Oxford Club, L.L.C All Rights Reserved. Protected by copyright laws of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including on the world wide web), of content from this website, in whole or in part, is strictly prohibited without the express written permission of Investment U, Attn: Member Services , 105 West Monument Street, Baltimore, MD 21201 Email: CustomerService@InvestmentU.com

Disclaimer: Investment U Disclaimer: Nothing published by Investment U should be considered personalized investment advice. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized investment advice. We expressly forbid our writers from having a financial interest in any security recommended to our readers. All of our employees and agents must wait 24 hours after on-line publication or 72 hours after the mailing of printed-only publication prior to following an initial recommendation. Any investments recommended by Investment U should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company.


© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in