So I have been saving up for a while, from college to now maybe $20k, and I keep it in a bank and get like no interest but I can withdraw my money anytime I want.
Due to using the money to pay for my credit card per month and getting my workplace to transfer my the money there I can’t deal with savings accounts that require me to deposit a huge amount and not expect it to go up or down. I would say I can save up to 24k slowly but also quickly go back to 19-20k. (Health and vet)
I heard about a different type of savings (not Roth IRA) but similar, you put like say 20k and get interest on it so you end up with like 20k+400. Downside is I can’t withdraw my money for a year??
I’m not sure which banks have this program and how much I can invest or should invest, I feel like I’m 5.
In: Mathematics
The savings account you’re referring to is called a Certificate of Deposit, or CD. Pretty much all US banks offer CDs (I’m assuming you’re in the US, you mentioned Roth IRAs). Money in CDs have higher interest rates but you have to keep the money untouched for a period of time.
Make an appointment with your bank and ask a banker to explain different types of accounts. Or ask to speak with a financial advisor. They understand and explain things much better than random people on the Internet.
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