The FEDS, Good or Bad?

By Alisha Vannoy

What is the FED?

The Federal Reserve is the central bank of the U.S. It is also the largest most powerful financial Institution in the entire world. It was created in 1913 by the congress to insure that our country can have a stable financial system and also a stable monetary. Its purpose is to regulate the flow of money and credit in the U.S. When banks our low on money or they need some they borrow from the FEDS. It is controlled by a board of governors. A group of advisers keep a eye on the federal reserve to insure that everything is going as it should be.

What I expect for me financially over the next five years.

This question is a little different for me because right now I am already making financial decisions because I have a daughter. We have opened up a savings account for college which is the first thing we started with her financially. We also want her to be able to do what she wants when she gets older. We also started account which is only for fun activity's and vacations for all of us. While finishing high school early I am also look at good ways to go for college. I might need to look in to financial institutions for a loan for college. College is extremely important to my parents for my brothers and sisters and I, but also to me. Banks give out loans that you pay back later on when you find the job that you wanted. My boyfriend is working and going to school also. He will be graduating high school this June. Since its not just me anymore its three of us. Everything that happens financially for him happens to me to. He is going to start college to that's another loan or scholarship that we are going to have to apply to. We both have a lot going on to think about money wise but our main priority is making sure our daughter is spoiled with love and has everything she needs. Later on I want a larger house to live in that we can call our own instead of renting. I'm hoping that we could build our own house the way we want it. Since we will both be going to college for the jobs we want I think we will both have a good chance in opening account just for the supply we will need to build our entire house. With my uncles construction company we wont need much money. After this I hope the only things that we are going to need to invest in is fun activity for our family. Things that we can all enjoy! We don't know if this is how it will play out in the long run. Who knows my boyfriend might decide college isn't for him and he might take over my dads business. We never know whats in store for us but right now we can save money for our daughter to make sure she has a good start on college.

What do I think about the FEDS?

I think the FEDS are good for businesses. The FEDS give money to the banks that everyone uses today in everyday life. If you bank runs out of money the only thing that is the peoples back up is the FEDS. Keeping your business up in running is your responsibility. For example if you know that your bank is doing awful and needs money maybe it would be a time to have a back up and make sure your money is in good hands to make sure it isnt lost in any way. Although maybe we could use more rules or have a more stable FEDS to make sure our country will stand. FEDS can be good or bad depending on how we our doing ourselves.