| Investing in markets today has become very | | | | they can be sold. |
| treacherous. Investing in bonds is a good investing | | | | If you purchase bonds from a Federal Reserve |
| decision in the current market. There are several | | | | facility there will be no fees or commissions. Other |
| types of bonds to be considered. Bonds are available | | | | banks or brokerage firms will charge you some fees |
| in the corporate market, the municipal market and | | | | but they do sell bonds. |
| the MBA Market or mortgage backed securities as | | | | Bonds earn interest on their face value; interest is |
| well as others. | | | | paid every six months. This interest can be paid |
| By investing in bonds you earn interest quicker than | | | | directly into your checking or savings account. |
| you could in a normal savings account. Bonds are | | | | Investing in bonds will secure your funds and will |
| available in almost any amount and with a direct | | | | make you money. |
| account you can purchase this amount every month | | | | Interest rates on bonds can be a fixed rate or |
| automatically. Bonds do require varying minimum | | | | adjustable with the market rate. With a fixed rate, it |
| purchase amounts depending on type. | | | | will remain constant for ten years. After that time |
| Bonds are available at less than their face value but | | | | the rate will be reevaluated, keep this in mind when |
| only with certain types. Others have to be bought at | | | | investing in bonds of this sort. |
| face value. They are short-term securities and are | | | | Setting up an account directly with the treasury is |
| second in popularity only to money market funds. | | | | available through the Treasury Direct website. You |
| Most bonds are free from local and state taxes, | | | | will need your bank information and social security |
| making them of even further value. If you use the | | | | number. It takes up to two weeks to validate your |
| bonds to fund college tuition they will be free from | | | | account, be patient and youll be investing in bonds in |
| federal taxes as well. Bonds are also transferable so | | | | no time. |