My Treasury Bills matured!
About six months ago, you were recommending (on the WGN noon show) treasury bonds as a reasonable investment instead of keeping cash in savings. I acted on that and moved $200,000. I believe the interest earned was 2.5%. Those bonds have matured, but the investment banker says the bonds are not earning that higher level anymore. Are you recommending anything else for short term (6-18 months) money placement?
Terry Says
Well, wait a minute. I recommended Treasury BILLS, which come in maturities of 3 and 6 months. And I referred people to THIS COLUMN, which explained how to buy them.
And it showed you how to check the box to automatically renew them when they mature, explaining that you’d get whatever rate is set at auction that week. Currently rates on 3 month bills are just over 2 percent.
The entire point of that column was you can DO IT YOURSELF! There should be no “investment banker” in this process. I have no idea who you are talking to about this. If you set up a TreasuryDirect account, per the column, you can handle the renewal automatically. If the proceeds were sent back to your bank account because you did not check automatic renewal, then start over with a new purchase — and be sure to check that renewal box unless you want the money sent back to your bank account at maturity.
The rates are set in the marketplace. Short-term Treasury bills are the safest investment. If someone is paying you more interest — you can be sure there is more risk!!
