Well, that is great! But did you know that most people who have a considerable cash savings is getting 0.02% on average? If you have a large purchase coming up, consider opening up an Ally savings account that yields 0.50% and stash your cash there until you need it.
I am noticing with the clients I am working with who have a large stash of cash, do not have a large purchase on the horizon, yet have loads of student debt loans, a car loan, and maybe some credit card debt. Why not put that cash to work and pay less in interest costs?
Compare the current yield you are receiving from your savings account against the interest rates on your liabilities and let the numbers guide you. The cost of sitting on bundles of cash are high with inflation rates currently cresting 7%.
My recommendation is for you to put that cash to work!
The foregoing content reflects the opinions of Mountain Wealth Planning and is subject to change at any time without notice. Content provided herein is for informational purposes only and should not be used or construed as investment advice or a recommendation regarding the purchase or sale of any security. There is no guarantee that the statements, opinions or forecasts provided herein will prove to be correct. Past performance may not be indicative of future results. Indices are not available for direct investment. Any investor who attempts to mimic the performance of an index would incur fees and expenses which would reduce returns. Securities investing involves risk, including the potential for loss of principal. There is no assurance that any investment plan or strategy will be successful.
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