The Money Mustache Community
Learning, Sharing, and Teaching => Investor Alley => Topic started by: RusticBohemian on January 03, 2015, 09:11:28 PM
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I'm saving some money up for a house downpayment, but I likely won't spring for the actual purchase for between 1 and 3 years.
I'm curious to know if it would be worth investing my money in a Vanguard Bond fund (VFSTX), and if so, what's the minimum worthwhile investment period?
Any insights?
Thanks.
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Do a search, covered about once a day here. Long story short: FDIC insured high-int savings acct. Yeah, 1% or so. Suck it up, your risk tolerance for DP funds should be basically zero.
-W
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Forget about bond funds for cash you'll need in 1 to 3 years for something like a down payment. Take the excellent advice that waltworks gave you earlier ---- same advice I gave my son: High-yield, on-line savings account.
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I am going through the exact same thing right now. I am sticking with an Ally Savings Account. They have very competitive interest rates on their savings and money market accounts and I have had good luck with Ally in the past. It would be pretty challenging to do any substantial investing with such a short term goal.
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High-yield, on-line savings account.
That's an oxymoron.
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I'd like to echo what has been said here. Captialone360 or Ally is probably the way to go. The money is pretty liquid (You can have it in a manner of days and it takes 30 seconds to request).