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| Type of Product |
SAVINGS ACCOUNT (bank); SHARE ACCOUNT (credit union) |
| Minimum Initial Deposit |
Usually $25-100 but make certain monthly fees are not charged for small balances |
| Yield |
Usually 2-5% |
| Safety |
Government-insured* |
| Access to Funds |
Immediate |
| Where to Purchase |
At any bank, thrift, or credit union |
| How to Purchase |
In person |
| How to Make Deposits |
Through tellers, ATMs, or automatic monthly transfer from checking account |
| Other Features |
At many institutions, minimum balance of $100-500 to avoid monthly fees |
| Type of Product |
CERTIFICATE OF DEPOSIT (bank); SHARE CERTIFICATE (credit union) |
| Minimum Initial Deposit |
At most institutions, at least $500 |
| Yield |
Usually 2-4% |
| Safety |
Government-insured* |
| Access to Funds |
Immediate but interest penalty |
| Where to Purchase |
At any bank, thrift, or credit union |
| How to Purchase |
In person or by mail |
| Other Features |
Make certain financial institution will notify you when CD matures |
| |
* Accounts at some credit unions are privately insured. |
| Type of Product |
U.S. SAVINGS BOND, SERIES EE |
| Minimum Initial Deposit |
As low as $25 ($50 for payroll deduction) |
| Yield |
About 3% |
| Safety |
Government-guaranteed |
| Access to Funds |
After first 12 months, immediate access but loss of 3 months interest |
| Where to Purchase |
At any bank, thrift, or credit union or from the U.S. Treasury |
| How to Purchase |
In person at financial institutions, by mail from U.S. Treasury, or at www.treasurydirect.gov - where savers can buy electronic (no paper) savings bonds with checking account deductions, 24/7. |
| How to Make Deposits |
www.treasurydirect.gov allows periodic deposit or checking account deductions to purchase bonds |
| Other Features |
Must cash in after 30 years or no more interest earned; face value of bond twice the purchase price ($50 bond costs $25) |
| Type of Product |
U.S. SAVINGS BOND, SERIES I (with inflation protection) |
| Minimum Initial Deposit |
As low as $50 |
| Yield |
About 3-6% |
| Safety |
Government-guaranteed |
| Access to Funds |
After first 12 months, immediate access but loss of 3 months interest |
| Where to Purchase |
At any bank, thrift, or credit union or from the U.S. Treasury |
| How to Purchase |
In person at financial institutions or by mail from U.S. Treasury |
| How to Make Deposits |
EASY SAVER program allows periodic payroll deposit or checking account deductions to purchase bonds |
| Other Features |
Must cash in after 30 years or no more interest earned |
| Type of Product |
Money Market Fund
|
| Minimum Initial Deposit |
As low as $250 at some institutions |
| Yield |
About 1-2% |
| Safety |
Not government-insured |
| Access to Funds |
Immediate |
| Where to Purchase |
At any bank, thrift, or credit union or from the U.S. Treasury |
| How to Purchase |
Money market fund |
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