So my parents gave me an envelope yesterday containing $700 in savings bonds ranging from the years 1986-1994. How exactly do these things work. -Do I have to pay taxes on them? -Do they grow in value over time like other kinds of bonds? Any legit information is much appreciated.
The bonds should have information on them about when they’ll mature, meaning at that time there wouldn’t be a fee. If you taken them to cash them out early they’ll be a penalty. As far as taxes, you don’t have to pay taxes on the time you cash them out, however you’ll need to claim them on taxes that year… Take them to any bank to have them cashed in or just to asked them how much you’ll get etc…
It says they are payable six months after there date of issue. I found a website that calculates the values.
:word: :tup:
there you go, now just take them to any bank and you’ll be all set
im gonna pay off my credit card and be debt free…finally.
nooo, take out… find stock… invest… make more
:tup: great idea.
bad idea. I’d rather be debt free ( wow i wish it only took $700 to be debt free, loller. ) than invest a measly $700 bucks.
you could have one hell of a night at a strip club… but its good to see people making wise choices
don’t waste your money in the stocks, only 5% of poeple actully come out ahead, dont beleive me? do some research, you’d be better off saving money up in cd’s than investing…
debt free :tup: I’ve been debt free for almost a year now, it’s the only way to live
Thats a skewed statisic… Im not going to get into the merrits of the stock market but do your homework and you have a good chance if making some $$$.
BTW, if you die debt free thats an upperhand that millions have above you… you can die with a lot more money than you own. Gods not going to make you repay in the afterlife.
mutual funds are a possibility, history has shown that no matter what, the value of stocks(cumulative) go up, but if you put all your money on one stock, good luck
:word: you deffinatly do, but untill you can risk losing some, which most people can’t…a cd is good way to build some up
yes and mutual funds are good as well
Don’t pay off credit cards? Die with debt? (From the other thread) Take a private loan for a cheap old car to have equity for getting a mortgage?
What the fuck makes you think you’re qualified to give financial advice?
Seriously dude, read a book before you start spewing this garbage that could impact other people’s finances.
Uggh. Sorry, I don’t mean to be a prick but it frustrates me to see you giving bad advice to someone who might not know better than to listen to you.
Yes he should pay off his credit cards. They’re probably, what, >15%? >20%? Invested well he might be able to make 8% in the stock market without having to risk losing it all and being doubly fucked, which he cannot afford to do if he has high interest revolving debt.
As for dying with debt, if you don’t plan and act in a way that will give you a positive net worth by the time you die then you’re going to be living off of social security (if it exists) in your old age. Not how I want to spend my retirement.
Taking a private loan for a car so he can acquire equity and get a loan: You mentioned a house. A couple-thousand-dollar car won’t mean anything on a mortgage application. As for using it to get another loan and start building credit, why not cut out that first step and go straight to a real loan that will immediately build credit history?
Paying off debt is a good thing…but also remember that the longer you wait to cash those bonds in, the more they will be worth. I AM NOT SAYING TO SIT ON THEM INSTEAD OF PAYING OFF YOUR DEBT. Just take a minute to assess your financial situation and see if you can afford to use cash to pay off even a small portion of your debt instead of cashing in one or two of the bonds.
Savings bond suck. Are they EE or E bonds by chance?
They are EE, and i learned about the stock market from my dad. all of his stocks including his 401k were wrapped up in high risk. Granted he was making good money from it. But after 9/11 he lost it all. No stocks for me.
:word: thats what I mean when people dont make money it’s a huge risk and most poeple can’t afford to loose money
Don’t let that totally turn you off to the stock market. Just learn the lesson to do it smartly. Being 40+ with all your money in high risk stocks is not smart investing.
But yeah, for now pay off your high interest credit card debt. Invest once you can reasonably expect it to grow faster than your debt grows.