On the other hand, if you’re after a lower-risk deposit option where your money is locked away for a fixed term, then a term deposit may be a good option to consider. Even if interest rates drop, your rate remains the same for the term of the deposit, and in most cases, the lon...
Independent contractors and others who receive income from sources other than an employer can expect to receive a 1099 instead of a W-2. So, what is a 1099, and how do you use it to file your taxes? Here's everything you need to know about Form 1099, inc
Certificates of Deposit (CD) A CD is a deposit you make with a bank or credit union for a specified period of time and for a predetermined amount of interest to be earned on that money. You get your deposit back plus the interest when the CD "matures" and the time period ends. ...
A further option to consider is what is known as an anchor strategy, which uses a fixed, predictable asset such as a certificate of deposit (CD) or single-premium deferred annuity (SPDA) to protect a portion of your principal in conjunction with an equity component to pursue growth for the...
What is a savings account? A savings account is a deposit account that typically earns interest, is federally insured and held at a financial institution, such as a bank or credit union. With an interest-bearing account, the bank pays you to keep your funds deposited, with annual percentage...
A deposit can also be the funds used as security or collateral for the delivery of goods or services. A demand deposit account is essentially a checking account in which you can withdraw funds at any time. A time deposit account usually requires that you hold your funds in the account for...
Is a credit card hold a charge? A credit card hold isn’t acharge. It’s a temporary hold or block on a certain amount of your credit limit. In some cases, the hold may be larger than the final transaction amount. But you’ll only see the final transaction amount on your statement...
Secured loans are protected by collateral, which is something valuable you own. Collateral can be a physical asset, such as a house, car, boat or even a cash deposit. Since secured loans are less risky for lenders, you can get approved for one with bad credit. The caveat is that the ...
A debit card is a physical form of payment—meaning it’s a card you can actually hold in your hand—typically connected to a checking account. It’s possible to link a debit card to a money market account, a savings account, or another cash account, but linking it to a checking accou...
A security deposit is a sum of money that you pay to a landlord or property management company, which offers some protection against damages that you may cause while living in an apartment or rental house. Other types of security deposits may also be required for a rental car or even a cr...