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13 March, 08:05

In which situation would a savings bond be the best investment to earn interest?

if you need access to your cash quickly

if you are saving each month for a new car

if you are putting aside a chunk of money to purchase a house in five years

if you have a large amount of money to save at one time

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Answers (2)
  1. 13 March, 08:16
    0
    If you have a large amount of money to save at one time, this would allow you to earn interest, since you would not be using the money right away. It would be a better option that to simply put it in the bank where you would earn less interest
  2. 13 March, 08:17
    0
    If you have a large amount of money to save at one time, a savings bond would be the best investment to earn interest. If you do not need the money right away, a savings bond will allow you to earn interest at a faster rate. Since savings bonds are longer-term investments, the other options would not fit the purpose as much due to needing the funds at a quicker rate. If you were to put the money directly into a savings account over a bond, you have easier access to the funds; however, the interest is very small in comparison.
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