I'm thinking of starting a savings fund....

Discussion in 'Community Discussion' started by mr.stinki, Mar 25, 2008.

  1. mr.stinki macrumors 6502

    Joined:
    Jan 25, 2008
    #1
    I'm 14.

    I'm thinking about starting to save my money in the bank...

    Aside from the little things i buy every now and then, I want to start saving my money. I'm going to have a quincenero in a couple of weeks (15 birthday, mexican tradition). Since most people usually give money, it would be a waste to have it just lying here in my wallet (not literally), making me want to spend it.

    So can someone gimme a general idea about saving accounts and stuff?

    What do you recommend i do?

    Thanks everyone!!
     
  2. Coolnat2004 macrumors 6502

    Coolnat2004

    Joined:
    Jan 12, 2005
    #2
    I would open a high-interest savings account, and avoid spending any of it. That's what I am doing.. You have to be 18 to open an account, though, so have your parents open one for you with your name on it as well.
     
  3. taylorwilsdon macrumors 68000

    taylorwilsdon

    Joined:
    Nov 16, 2006
    Location:
    Bay Area
    #3
    When did Macrumors become the tween discussion forum? No offense to anyone, but this is the second thread I've read in 5 minutes about young ass kids worrying about what to do with their money.

    Open a basic savings account with your parents, and dump your cash there; and spend when needed.
     
  4. MarkCollette macrumors 68000

    MarkCollette

    Joined:
    Mar 6, 2003
    Location:
    Calgary, Canada
    #4
    I'll take this a step further, and recommend that you throw it into A GIC that won't mature for a couple years, so you can't spend it even if you want to.
     
  5. davidwarren macrumors 6502a

    Joined:
    Aug 28, 2007
    #5
    tell you parents what you want to do- they should be happy to comply.
    Have them take you to a local bank, probably the one they use.
    Open a checking account. It will have to be in both your name and your parents name because you are under 18.
    Go home and open an online savings account, look at ING direct, emigrant direct, etc etc...
    Transfer money into checking account, then transfer to online savings account.

    This will allow you to have a much much higher interest rate than you would get at the bank.
     
  6. themadchemist macrumors 68030

    themadchemist

    Joined:
    Jan 31, 2003
    Location:
    Chi Town
    #6
    It does seem there has been a demographic shift in the forums over the last couple of years. As long as we don't start talking about Pokemon...

    But as to the OP's concern, the above advice is good. Most important thing is learning how not to touch your money.
     
  7. CalBoy macrumors 604

    CalBoy

    Joined:
    May 21, 2007
    #7
    I think a CD or High-Yield Savings account are good idea.

    Online CDs from banks like ING can offer rates that are pretty good.

    Mind you with interest rates where they are right now, you're not going to get very much, but it's still better than nothing.

    If you are going to be getting a sizable chunk, then a mutual fund might also be a good idea, but there are age restrictions (one of your parents would have to be a guardian on the account and both of your signatures would be needed for any account activity).
     
  8. Mikey- macrumors regular

    Joined:
    Mar 18, 2008
    Location:
    England
    #8
    I use an account where my money is in the bank and I have a cash point card so I can withdraw money from a cash withdrawal machine.
    It is good and I think it's when I'm 16 I can apply for a debit card that I can use in shops and stuff.

    So I'd ask you mum to take you to your local bank and they will give you loads of information, when I looked over the internet it made no sence but the person in the bank made it all clear to me.
     
  9. NomadicTy macrumors regular

    Joined:
    Feb 11, 2007
    #9
    Instead of depositing money into an ING savings account where it's going to lose value when you factor in inflation, why not buy ING stock? 6.62 dividend yield at the moment. The stock have been battered, just like all other bank stocks, so stock price should go back up. (Unless ING is hiding billions of subprime real estate loans.)

    I have to say, that's pretty mature of you to think about savings at your age. When I was fourteen, I was trying to figure out what flashiest thing I can buy so I can attract the girls. And I could barely talk to girls back then... If only life had a rewind button...
     
  10. foidulus macrumors 6502a

    Joined:
    Jan 15, 2007
    #10
    If you want long term growth

    stocks, a mix of emerging market and mature market ones as well as ones that trade commodities(hot right now and likely to never really fall significantly)

    If you value liquidity, buy euros and fast. There are tons of online services that let you do this, though for smaller amounts of money it might not be that easy.
     
  11. EmilySBK macrumors newbie

    Joined:
    Sep 3, 2008
    #11
    I don't think there's anything wrong with investing in the stock market, but you don't want to have to heavily manage your money (or burden your parents with it) at the age of 14. There are a number of High Yield Savings Accounts that might suit your needs (as others have suggested), and they require only minimal supervision. Also, with an online savings acct, you can get into the habit of putting birthday money or other cash presents into the acct, and you'll get to watch your money grow. As cliche as this sounds, it's never too early to start saving ;-)
     
  12. pseudobrit macrumors 68040

    pseudobrit

    Joined:
    Jul 23, 2002
    Location:
    Jobs' Spare Liver Jar
    #12
    Putting money on financials at this stage is like roulette. Plus, commissions would eat up most of the investment. Not to mention investing in one individual stock is a tremendous exposure to downside risk.

    Savings accounts generally don't return anywhere near enough to keep up with inflation. I'd say look for a 9 month or 1 year CD or put it into a money market account, which will be accessible and still return at a much better rate than a simple savings account will. If you really want to help yourself 50 years from now, throw a wad of cash into an IRA and forget you ever had it.
     
  13. FoxInSox macrumors newbie

    Joined:
    Sep 4, 2008
    #13
    Do your parents have their grocery cards and debit/credit cards linked to a Upromise/529 account. It's just free money for college.

    If not you need to. WWW.Upromise.com

    Every family should have one for their kids, grandkids and relatives. Even Apple and Itunes provide 1% & 2% back
     

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