When considering various investments and savings options for making your money grow, it’s a good idea to know a little about each type of investment. The US Savings Bond is one of the most risk-free investments available, because the US government is repaying you. You can count on receiving the expected amount when the bond matures.

There are different types of savings bonds. The Series EE and Series I savings bonds both have certain types that can be cashed in without paying federal income tax on the interest the bonds have earned. Other types of US savings bonds will require that you pay federal income tax on the money the bonds earned you while your money was invested.

Because US savings bonds are virtually risk free, the amount of interest you earn will be much lower than that which could be earned with successful stocks. People generally invest in savings bonds when they’re looking to diversify their portfolio and include a number of different types of investments with varying levels of risk. US Savings bonds are rarely the only investment strategy an individual would use – instead, they become part of a portfolio that might include mutual funds, stocks and other investments, as well.

The biggest risk when it comes to US Savings bonds is inflation. When you buy a bond, it’s like the government is issuing you an IOU to pay you back at some date in the future the amount of your investment plus the interest. Some bonds have a fixed interest rate which will not change, and others have variable interest rates. For fixed interest rate bonds, if the interest rate on the bond is 6% and inflation is 3%, then you make a real return of 3% (the 6% interest minus the 3% for inflation). On the other hand, if the inflation heats up to 8%, then you are worse off because the cost of living has increased more than what you’ve earned in interest by tying your money up in US Savings bonds.

In order to counter the effects of inflation and the risk of inflation on US savings bonds, you could invest in the “I” bond. The “I” bond is a US Savings bond that increases it’s interest rate when the rate of inflation increases, ensuring that your investment will keep up with the changes in the cost of living. So while the overall interest will still be lower than other, riskier investments, it eliminates the risk of inflation eating away your profits.

Savings accounts can be used for both short term and long term savings goals, although you may need to have more than one account in order to benefit most from interest rates and account features. Before shopping for a savings account, it’s important that you consider how often you’ll need to access the money in the account.

Certificate of Deposit: If you can commit to saving the money for a long period of time, you should choose a high interest certificate of deposit. CDs offer higher interest rates the longer you commit to saving, but most will charge you a penalty if you withdraw the money before the savings term has been reached. If you think you will need some or all of your money before the CD reaches maturity, you should not tie up all of your money into a certificate of deposit.

Money Market Account: Money markets offer higher interest savings than a traditional savings account and allow you to write a few checks each month or quarter. If you write more checks, there are fees associated with using the money. A money market is a good idea for savings that you only plan to access once in awhile, rather than a savings account that simply holds your money until you need it for every other purchase or expense.

Savings Accounts: Typically a savings account allows unlimited, fee-free access to the money deposited, and you earn interest based on how much you have saved.

There are 5 questions you should ask before opening a savings account to ensure you are selecting the right account:

1. How much interest is paid and how is it compounded? Find out what the annual percentage yield (APY) is. You want to find an account with the highest possible APY so you can compare accounts accurately between different banks.

2. Can I withdraw money whenever I want or is there a penalty for withdrawing money before a certain period?

3. Am I limited to making a certain number of withdrawals per month? How many can I make and what are the fees if I need to make more withdrawals than allowed?

4. Where are the local bank branches located? This is important to know if you plan on using your ATM card to withdraw money from your bank account. Find out what fees are associated with using your ATM card at other bank ATMs.

5. Are their any special deals or offers for opening an account right now? Banks regularly offer bonuses or rewards or incentives to encourage people to open accounts with their institution. Find out if the bank is offering anything at the moment and compare to what other banks are offering to determine which is the better deal.

is a website that allows banks to bid for your business. You’re probably familiar with services like LendingTree.com – where banks compete for your mortgage with the idea that when the banks compete, you’ll get a better interest rate. The same theory is applied to MoneyAisle, except instead of competing for mortgages – banks are competing for your savings account and certificate of deposit business.

You can try the site for free and without registering to see what kind of interest rates you will be offered for both bank certificate of deposit products and high yield savings accounts. The only information you’re asked to provide to view rates offered for high yield savings accounts is the amount of your initial deposit, your state of residence, your zip code (which is optional, but recommended as some banks require the zip code in order to bid), and once you hit the submit button – the banks start bidding. In a few seconds, you’ll see the highest rate offered and have 30 minutes to decide whether or not you want to open the account with that bank and with those terms.

You can see rates offered for a single certificate of deposit by providing the amount of your initial deposit, the length of time you plan to hold the CD for, your state and zip code.

When the results are displayed for your searches, you can also see how the rate you are offered compares to the average rate on that deposit product in your state, and nationally. In the case of certificate of deposits, you can also compare the rate you are offered with the US Treasury average yield.

If you would like to try more advanced features of the site, like creating CD ladders across multiple banks, or business deposits accounts as a credit union, business municipality or non-profit organization, you will need to register for a free account. Another advantage of registering for an account is that you can compare rates for different deposit amounts and savings durations in the same session and read user reviews of the banks that are bidding for your business.

All banks and organizations that bid for business through MoneyAisle are FDIC insured, which means your deposits are safe. Initial deposits must be between $1,000 and $500,000 to use MoneyAisle and it’s important to read all conditions that are provided before accepting a rate offered to ensure you’ve chosen an appropriate deposit account for your needs.

Safety and vehicle reliability are the two most important factors parents should consider when shopping for their teen driver’s car. Since teens do not have a lot of experience on the road and parents don’t not have a ton of extra cash to afford the latest model of car, there is some research and shopping involved in the process.

There are some specific features to look for when shopping for a car for a teen driver. With the advancement of many vehicle safety features, parents should pay special attention to airbags, anti-locak breaks, and electronic stability controls. One of the most important research tips should be the results of crash-test results on different makes and models. Typically, the bigger vehicles fair better in crash tests but they can also be a lot to handle for young drivers and can drain wallets in fuel costs. Many kids might be attracted to larger SUV’s and pickup trucks but they are not the best choice due to rollover statistics.

Some of the top models for teen drivers include Ford’s Fusion and Focus. The Toyota Camry, Corrola, Matrix and  Prius also score well for teen drivers. Based on test results, the aforementioned cars are suitable for the capabilities of younger drivers and scored better than average on crash tests.

When you are starting out on the car search, the first thing you want to have is a budget. Car salesmen can be persuasive and it can be all too easy to let “wants” overtake “needs”. Visiting the car lot can be a lot easier if you go in sure of what you can afford. Next is to start shopping online to get an idea of what is out there without the added pressure of a sales pitch. Look for the newest, most reliable models that have the safety aspects you are looking for in a vehicle. When you find a few you are interested and are within your price range, start comparison shopping between the chosen vehicles. Compare the prices of the cars with what you get in safety equipment and fuel economy.

Don’t forget to factor in the cost of insurance on the vehicle you plan to buy. Ask your agent for premium differences between one vehicle and another. What you think you may be saving when purchasing the car, may be lost when you figure out how much it costs to insure a teen driver driving the car.

While it is taxing enough to solve your health care dilemma by sorting through tons of options, it’s even more frustrating to find a plan you could afford that turns out to be not so much in your best interest. In order to find a good plan, you really have to look at what is being offered. Here are six areas you need to pay close attention to so you know what to avoid:

Low Coverage Limits
Since health care costs are always on the rise, your policy covers should be adequate. In the event you have a serious medical problem, you can easily rack up hundreds of thousands of dollars in medical bills. If you policy limits are only $100,000, you’ll be responsible for footing the rest of that bill.

Limited Benefits
Steer clear of insurances that is listed as “not major” medical insurance or policies that proclaim “limited benefits”. Depending on where you live, these terms may be your only clue that the policy is a dud. Take a good look at what each policy your review says.

Coverage for Major Services
If the policy does not include or name specific services, you should consider that it is not covered. There are plenty of policies that do not include coverage for outpatient services, major treatments like chemotherapy, or prescription medications. Interestingly, some policies have sections labeled “What Is Not Covered” that still fail to mention specific services not covered under the insurance policy.

Inexpensive Premiums
While it would be great if we could all find great insurance coverage inexpensively but the reality is insurance will never be free. The only way to get the lowest premium is to have the minimum coverage. If you do a cost search for insurance coverage, you better make sure that policy covers what you need it to cover. You can’t seek out bargains when it comes to insurance. Look instead for coverage options and then find the plan that is most affordable.

Sky’s the Limit on Out-of-Pocket
If a policy does not specifically mention the maximum amount of cash out of pocket you have to pay before insurance kicks in 100%. Read the terms and beware of loopholes. There are policies that do not consider co-payment amounts towards the maximum so if you are not clear, your insurance can end up costing you too much and not cover enough

Limits on Care Categories
Check for specific types of care limits. For instance, does the policy have a $1200 a day cap on hospital stays? If so, you will have to pay the rest of the bill on your own. Considering hospital stays can cost thousands of dollars a day, you want to make sure the limits for special services are not too low considering the real-world cost of such services. Depending on the policy, there can be too-low limits on doctor visits, prescription medications, mental health treatments, diagnostic testing, outpatient care, rehabilitation and medical equipment.

When online banking first became available in 1995, the inventors of the process predicted it would eventually replace the traditional banking which had previously been the only available option. While the prediction has yet to come to fruition, online banking has indeed changed the way people manage their money. With millions of people currently using online banking either for full time banking needs or for savings or bill paying, it has indeed proven itself as a useful tool in money management. There is no immediate threat that traditional banks will become obsolete however, as many people are still leery about trusting their finances with virtual banks or the technology that makes online banking possible. The following are reasons that have prevented many people from making the switch to online banking.

• Security- Despite advances in technology and improved security methods, one of the major reasons people are afraid to bank online is the fear of identity theft, credit card fraud or security breaches which would make their banking information vulnerable to hackers. Virtual banks or other financial institutions which provide online banking services go to great lengths to ensure personal and financial information is secure at all times and are also required to comply with federal regulations in respect to privacy and security. Unfortunately just as experts continue to develop technology to make online transactions secure, there is always the chance a technologically savvy hacker could find a way to penetrate these protective measures. That being said, the biggest danger of banking online generally is found on the end of the account holder versus the bank. Before banking online or performing any financial transaction for that matter, make sure you understand what precautions to take to ensure your information is protected.

• Availability of funds- While online banking offers many conveniences not found with traditional banking, one of the biggest complaints many people have with virtual banks is the availability of funds. Depositing, transferring or withdrawing money from some online banks takes longer than going to your local branch and making a withdrawal. This means that if you use on online bank for your day-to-day banking, you may find a delay of up to 5 business days for deposits to post to your account. Certain online banks do offer a credit or debit card that you can use for purchases or the ability to pay bills directly from your online account. Even so many people find the inability to “instantly” access their money a deterrent to banking online.

• Technical difficulties- Power outages, problems with your Internet or down websites can turn the convenience of online banking into a headache. While these occurrences are the exception, not the rule- if you are in a hurry and have to make a transaction, view an account or perform other actions, technical difficulties can be inconvenient. A bigger worry is of course that transactions may be posted incorrectly which could cause real financial problems that could take days to resolve. Of course these issues could arise at your local bank, however when you bank online, you do not have the option of simply dropping by the local branch to correct the problem. With virtual banks you will have to call the bank for all issues which could become frustrating if you get involved in a game of phone tag or have a bank with less that exceptional customer service.

As you can see there are some downfalls to online banking, however there are downfalls to traditional banks as well. If you have not yet jumped on board the online banking wagon, you should take the time to compare the pros and cons before making a decision. There are after all millions of people currently banking online, so the chances are you will find the benefits outweigh the potential downfalls.

In the buyer’s market of today, it seems like everyone is trying to get into a home while the prices are still at record lows. Though despite the low prices and bargain mortgage rates currently available, not all aspiring homeowners have the funds to begin a long term mortgage. Aware of this, lenders are beginning to offer no deposit mortgages so that potential homeowners can forgo saving for large down payments and own their dream home today. Just as with any loan, however, you need to understand what you’re getting into with a no deposit mortgage before you sign the dotted line.

What is a No Deposit Mortgage?

As the name implies, a no deposit mortgage is one in which you do not have to have the large portion of the mortgage as a down payment. Since lenders typically ask for 20% of the total value for a down payment, many potential buyers are scared away before even beginning the process. With a no deposit mortgage, you can take out two different mortgages at the same time – one for the deposit and another for the remainder. This allows you to pay a minimal upfront fee for your home, while also getting your in the front door.

Who Can This Mortgage Benefit?

At first glance, it seems like everyone can benefit from this type of mortgage. Because you do not need to have any money upfront, you can begin the home buying process as soon as you find a home that you like. For those without a lot of savings, this is an ideal arrangement. It is also a good loan agreement for those that want to take their savings and invest in stocks and high interest accounts, rather than using the money for their mortgage payments. In the end, these high interest accounts will help the person save up more money than they would have saved by using it toward the house itself. And for home buyers that might not have the best credit rating, these loan agreements can help them get back on solid financial footing.

What are the Problems with the Mortgage?

The main problem with no deposit mortgages is that applicants that don’t have a strong financial background are at a higher risk of defaulting. This is often why these mortgages are accompanied with higher interest rates than typical ones. Another concern with this type of mortgage is that even if you do receive a low interest rate, you still might end up paying more interest in the end. This is due to the borrower essentially being responsible for two mortgages instead of one. For instance, say you get a no deposit mortgage and you then eventually get an ARM mortgage (adjusted rate mortgage), you might end up having to pay a much great sum since you are carrying two loan agreements.

If you know that you can be disciplined about paying off your mortgage and beginning a savings plan, then the no deposit mortgage is certainly something to consider. Just be sure that the arrangement needs to work out for you in the end too, not just for the lender.

The appraisal process of buying a home has some new rules – ones that are costing borrowers and lenders both time and money. The new rules were developed to protect from faulty appraisals but place regulations on how lenders can choose an appraiser when certain home loans are originated. While consumers in general may feel no concern about this rules in the past, they may suffer the consequences when their loan is delayed or canceled altogether because of appraisal issues.

The new rules became effective May 1, 2009 and were meant to reduce the occurrence of fraudulent appraisals where the home valuations were inflated. Lenders are now required to follow the Home Valuation Code of Conduct (HVCC) with regard to conventional or conforming loans being sold to Fannie Mae or Freddie Make. FHA loans are not affected by these guidelines because they are insured by the Federal Housing Administration, and neither are VA loans, which are guaranteed by the US Department of Veteran Affairs.

Helps and Hinders Borrowers
For home buyers, the new rules will help prevent them from paying inflated prices but those who are going through the refinance process and were hoping for a higher home value, the chances are greatly reduced. Typically, there are two types of appraisers that evaluate the true price of a home. One such group is considered to be the quick-service kind that produces appraisals based on minimal research. The other are the more reliable ones that do a lot of legwork to ensure the home is values accurately and fairly. Borrowers who once thought the appraisal process wasn’t much of a big deal, really do need to pay attention to the appraisal process because oftentimes a lazy appraiser can go too low and have a serious negative impact on a loan’s approval or sale price, as well as netting a higher interest rate. Borrowers should also be concerned about an appraisers ability to conduct the appraisal in a timely manner. In order for borrowers to lock in a decent interest rate and satisfy contract terms, an appraisal needs to be conducted and completed within a specified time frame. If an appraiser fails to come through, it can cause the loan approval to be declined.

Higher Costs
Another concern borrowers should note about the new appraisal rules is that the cost of an appraisal may be more expensive now due to additional regulations. Appraisals are more labor intensive and therefore, more costly. Borrowers may also be required to pay appraisal costs upfront, adding to their out-of-pocket expenses regardless of whether or not the loans comes to fruition. Plus, if the first loan attempt fails, borrowers may find they have to foot the bill for a second appraisal for a new loan application.

What To Do
If you are in the market for a home loan, experts advice that you speak with the lender at length before applying for a mortgage loan to find out whether a appraisal will be in line with the proposed loan. Borrowers can also do their own research by comparing sale price and home valuations and other trends in their area before applying for a loan to have a better idea of what to expect. Otherwise, a borrower may face significant disappointment and frustration at being turned down for a loan. It helps to have a good mortgage lender work with you through all the steps of the home loan approval process.

There are still many homeowners in the nation struggling with foreclosures and doing what they can to prevent foreclosure on their homes. Unfortunately, as with many other things involving desperate times, there are less-than-formidable people ready and willing to take advantage of a homeowner’s desperation.

Not On the Up and Up
Companies that are offering loan modification assistance to those homeowners in foreclosure trouble are also typically offering a world of trouble to those already having a rough time financially. Many consumers are contracting with such companies in the hopes of getting serious help. They are paying sizable upfront fees to get help with their mortgage, only to find the company has done nothing in the way of help but has run off with their money. Consumers who then try and contact the company are greeted with disconnected phone numbers or automated voice machines that offer no valuable assistance.

On The Hunt
Sadly, many such companies are known to review foreclosure notices in the newspaper and approach homeowners they know are in trouble and facing foreclosure. The company then promises to negotiation with the lender to get lowered interest rates, remove late fees and penalties, have past due payments forgiven, or lock in a fixed rate on a variable loan. The promises all sound good to the consumer who is willing to try anything to save their homes. The reality is that these companies charge an upfront fee and never follow through on any of their promises – leaving the consumer out more money and still in danger of losing their home.

Bad Odds
According to experts, most lenders would find it in their own best interest to foreclose on your home rather than modify your loan terms. A very small percentage (less than 10) of consumers are actually able to make the renegotiation work in their favor. In fact, most banks do not even get to make the decision whether to approve a loan modification or not. The original investors are the only ones who can make that kind of call.

Experts also said that homeowners who are in danger of foreclosure should not give up on the idea of working with the lender during times of financial hardships. They say you should still contact the lender directly and discuss your situation in order to find options to help you keep your home. You can do this on your own and avoid any third-party that claims they can do a better job than you can. It will only cost you money you don’t have and more financial problems in the long run if you do contact outside agencies that promise to stop your foreclosure.

The banking industry has evolved over the years and online banking is becoming more and more popular for busy consumers. Whether you decide to work with a large, well known brick and mortar bank that offers online services or a virtual bank which operates entirely via the Internet, you should compare certain features to ensure you are getting the maximum benefits possible.

• Convenient- Most people do not relish the thought of spending hours tracking, managing and balancing their finances. A good online bank will offer a website that is easy to navigate and tools that are convenient to use. Top banks offer tools which help users manage their budget, view recent transactions and warn account holders of possible security threats. The easier it is to use these tools the more likely users are to stay on top of their finances.

• Fees- Know and understand what the fee structure is for transferring money, online bill pay and minimum balance requirements. Remember if you are using an online bank as your primary financial institution you will be moving money in and out frequently to pay bills or contribute to various savings accounts. Compare the fees from each bank you review and look for a bank that offers low or ideally no fees for frequent transactions.

• Accounts- A real benefit of using online banking services is having all of your accounts in one place. Your bank should offer the option of opening different accounts beyond checking and savings such as IRA’s, money market accounts or health savings accounts and allow easy fund transfers between the accounts. If you have to use several different banks to manage all of your accounts, it becomes more time consuming and difficult to manage.

• Access- One of the disadvantages of online banking may present itself when accessing or depositing your money. When considering banks, ask yourself how will I deposit money into my account and where can I access ATM’s for easy withdrawal? You do not want to pay ATM fees each time you access your cash or wait several days (weeks) for money to appear once deposited.

• Communication- You should always have the option to talk to a “real” person about your accounts. Who do you contact if you have questions, problems or need other assistance with your accounts? Does the bank have knowledgeable customer service representatives who can assist you 24 hours a day? You don’t want to find yourself in need of an immediate answer only to discover you have to wait days for a reply.

Using online banking services can streamline your finances and make the task of managing your finances less stressful and time consuming. Compare features and services to ensure you select the best bank for your financial needs.