Ask Terry Questions How can I protect my money from a needy child

How can I protect my money from a needy child

By Terry Savage on June 12, 2025 | Financial Planning / Retirement

I’ve taken any extra money I have in my checking acc’t. yearly, and put it in CD accounts to protect it & so I won’t be tempted to spend it frivolously, or give it to my child, who is perfectly healthy to work, but seems to be always in money trouble. I don’t mind doing the CDs every year, but I have to wait until they mature before I can throw extra money in there. There’s too many accounts and I don’t like that. I like everything in one place can you suggest anything for me?

Terry Says

Sounds like you have two different issues here. First, I like your idea of organization. Your bank should also offer a money market deposit account, paying close to 4% these days. (If you’re not getting good rates, check here for comparison purposes: https://www.bankrate.com/banking/cds/cd-rates/) You might want to switch banks, if you’re not being well paid for your CDs.
When you have “extra” money, you can put it in the money market deposit account until you have enough for a nice-sized CD.

Your second problem is your “needy” child who is always in money trouble. I suggest the next time he/she asks for financial help you tell them to call the National Foundation for Credit Counseling at 800-388-2227. That will connect you with the nearest local affiliate of this non-profit. They will work with your child to create a budget, manage current debt, and start on a saving plan.

PS. Have you made a will or estate plan? It’s time to do that.

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