Ask Terry Questions investing funds (CD) that matures on 7-30

investing funds (CD) that matures on 7-30

By Terry Savage on July 12, 2020 | Financial Planning / Retirement

Terry

I tried to call on John Williams’ show and didn’t get through. I have an ALLY $230K cd that matures on 7-30-20. I was getting 2.6% which was very good but the new rate is 1.00%. It will go into my Ally savings account which also will get 1.00%. I do not need the money and do live on my retirement income but the good return allowed me freedom to help out family/charities etc. Can you advise me how to invest the money (I have a 100K slush fund to cover unexpected expenses) which will be somewhat fluid (I’m an 86 year-old widower in good health but realize this may not continue) I was thinking of an index fund or after today, gold coins. Any suggestions would be greatly appreciated. I have no debt, own my condo and a summer home in Wisconsin.

Thank you

sweeneylee1@yahoo.com

Terry Says

Well, you’re sitting pretty. Enjoy your financial freedom and good health. My most basic advice would be to leave the money in the bank account, where you won’t lose a penny! There’s no need to take risk at this stage of life.

And putting on my “TerrySavage Moneylady” hat, I have a few questions for YOU! Have you updated your will or estate plan recently? Have you named that CD or MM account in the name of your Revocable Living Trust, where you can name a successor to act on your behalf if you are unable? this is not just for distributions after death — but if you are incapacitated, perhaps hospitalized. And have you given someone a healthcare power of attorney? And who knows where your financial and planning information is in case of emergency???

Please send me an email to Terry@TerrySavage.com if you haven’t taken care of this stuff, and I’ll try to point you in the right direction to get help. this is far more important than earning an extra 1% on your savings!

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