<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by cpsilo1:
Thanks for the info. Can you elaborate anymore on the savings bond thing? Where can i get them by credit card?</font>
If you do a search, probably on SPAM, you will find lots of discussions on what type to buy. The place to buy is
http://www.publicdebt.treas.gov/ols/olshome.htm
Currently the EE bond is paying 2.61% (and it is State tax free, and only taxable after you redeem them). Not great, but sure better than any money market or savings account. They can be redeemed any time after 12 months - but there is a 3 month interest penalty if you redeem in less than 5 years.
Timing of purchase is important - must be before Dec. 30 - but also best to be AFTER your credit card billing closes for the month. That way you won't have to pay for them for around 2.5 months after issue date (they draw interest from Dec. 1 if bought anytime in December), thus nearly nullifying the 3 month penalty. The best thing is if you have a credit card with an introductory 0% interest on purchases.