Gunn's Financial Advisement

If you need straightforward advice, here's where to get it.

Savings Account

This type of investment is for people who are just starting out, or need to put money away for safekeeping. Basically, think of it as a shoe box that you bury away to keep your greedy little paws off of it for awhile if you're bad a keeping your money. It's like saving it for a rainy day.



Now, let's talk info. In a savings account, you take very minimal risk when opening one. The government guarantee's you up to 120,000 dollars of YOUR money back if the bank you keep it in happens to go out of business. Basically all you do is deposit a desired amount, usually $100 is a minimum deposit when you initially open it, and you can keep adding it from there!


In savings accounts, you get a return interest rate. Now, at most banks this rate is so low it almost isn't even there! Normally, you receive 0.001% interest for having a savings account with your bank annually.


Now, let's say you don't like your bank or you just want to withdraw all the money in your savings account, go ahead. No one's stopping you! Liquidity for a savings account is so high that it's basically a grab it and run when you feel like it type of thing.

Checking Account

One step up from your savings account, now you can have a checking account. With this type of investment, you can receive a checkbook and/or a debit/credit card! Now this is for your big person pants. So, if you can handle it, we're about to lay it all out for you. A checking account is a very low risk account, meaning your money is pretty safe...(unless you lose your card!)...



With a checking account, you get this neat little thing called a debit/credit card. What this little penny does for you is it allows you to make all kinds of transactions. You can either use 'debit' which you MUST have a special code called a pin to use(yes, you have to remember it too.) and usually it only allows a certain amount to spend before it will decline your card. This is a custom option you can have set up so that if your card does happen to get stolen from you, they can't spend ALL of your money! It's for security measures only! With a credit card, its the same thing as a debit card and is used for the same account, but you DON'T use a pin. Usually, if you spend over a certain amount of money, like 25 dollars is pretty common, the cashier just has you sign a receipt so they know its you spending your money and not someone else!


Now that we've covered low risk, and your cool card, let's talk about return rate. If you're good, the bank will give you am interest return just for being apart of their bank! doesn't that make you feel special? In your savings account, your interest return rate was 0.001%, but now, now you've got your big person pants on, and you make a whole 0.002 more! Now, your return rate is 0.003-1% annually! And just like your savings account, if you decide you don't want to be with your bank anymore, you can withdraw all of your money and do what you want with it!

Time-Based Deposit Account(CD)

One step farther than your traditional savings and checking accounts, the CD account is based on putting money in the account for a set amount of days, usually 30 days to 5 years. Now a CD account is still a low risk account investment to make, but it has a higher risk to it than your traditional checking and savings account. By saying its risk is a little higher than the previous two, we mean that it also has a low liquidity. Meaning, if you decide you want to withdraw you CD money, you CAN do that, BUT you will have penalties for doing so. Most will either just take the 0.003-1% interest away that you WOULD HAVE earned, and others will charge you interest for removing your CD money.


Government Bonds

Okay, so now you're wanting to get in on some government business. Well, a really popular way of doing that, is by investing in government bonds! Grandparents and parents can buy these for their beautiful little angels to cash in when they meet the age/number of years you set up. This type of investment is also a low risk.



Basically, what you're doing is giving however much money you decide to give to government to use, and they agree to give you back double of what you gave them in a certain amount of time agreed upon, with interest! These interest rates go from 0.7-3.5%.


Liquidity with a Government bond is very low. Usually you have to wait to receive your money back for the agreed time because you gave your money to the government.

Stocks & Properties

Woah, if you've made it this far, you've got the guns to make it big in the world of money making! Stocks and property investments are more higher risk investments. You aren't guaranteed you'll keep your money safe and you aren't guaranteed you'll make money in return. But if you do, you can make an interest return rate as high as 20% or even more!



Liquidity in these investments are really low...You won't be able to just take your money back when you please, unfortunately. Now, if you aren't big on keeping up with the stock market and trading, I wouldn't get caught up in this game. Stock and property investments are for the bigger, more experienced kids on the playground.

Collectibles, Art, and Gold

These bad boys are for the epitome's of Stock Masters. You aren't even on this level if you have to refer to this page for help. Investing in collectibles, art, and gold are so advanced that they have EXTREMELY high risks involved and VERY low liquidity. Some people place different values on different collectibles and pieces of art, and gold prices are ALWAYS fluctuating! Now, if you jump in on this ring of crazy, and you just so happen to be good at it, return rates are very high! So, you need to make sure you've got nothing to lose and everything to gain before you decide you want to start investing in art, collectibles, and gold.


The Five Stages of Investing:

http://www.econedlink.org/lessons/docs_lessons/707_five_stages11.pdf


By clicking on the link above, this website will give you very straight forward information on the five stages of investing. On this website you will learn/read about:


  • Put & Take Accounts
  • Beginning to Invest
  • Systematic Investing
  • Strategic Investing
  • Speculative Investing


Get ready, get set, LEARN!


Save Your Money!

Start young. You want to save your money as much as possible but still remember to spend some every now and then. You could invest in a piggy bank and keep your loose change in that! Many children start out this way and make their way up the ladder of saving their money for a rainy day! BUT SAVE SOME OF YOUR MONEY by storing it away for safe keeping.


10 Ways To Save Money Video:

10 Money Saving Tips, Ideas, Hints and Strategies

Go Ahead, Take That Investment! You Know You Want To...

Investing is a great way to make money. After all, you can't expect to make money if you don't spend it! But start small! Don't jump right into the stock market exchange as newbie! You'll never make it! As long as you start with a small investment and mature from there, you'll be as ready as ever to make money!