Best Financial Services
Our picks for excellence from savings and checking accounts to services that help with college bills.
SEE THIS SLIDE SHOW: The Best Financial Services
BEST ONLINE SAVINGS ACCOUNT
Subscribe to Kiplinger’s Personal Finance
Be a smarter, better informed investor.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Earn 3.5% on your FDIC-insured savings at www.fnbodirect.com. You pay just $1 to open an account with no maintenance fees and no minimum-balance requirements. You can link the account to as many as three others, including FNBO's bill-payment account. Use electronic transfers to move your funds and your ATM card to withdraw cash.
BEST MONEY-MARKET ACCOUNT
Express Money Market, Flagstar Bank
Open an FDIC-insured account for $1 at www.flagstar.com and earn 3.65%, with easy access via free checks and a Visa debit card. Also, get free, unlimited ATM withdrawals through the Allpoint and Presto networks. Federal law limits you to six pre-authorized transfers or withdrawals per month.
Schwab Bank High Yield Investor Checking
You don't have to be a Schwab customer to apply for a checking account at www.schwab.com. The account has no minimums and no ATM or other fees. You get a debit card, standard checks and online bill payment, all free. Best of all, your money earns interest while it sits idle, to the tune of 2.2%.
MONEY-MARKET MUTUAL FUND
Fidelity Cash Reserves
Yields are low in the current market, but safety is first-rate if you're looking for a haven to park your cash until the stock market stabilizes. This behemoth has assets of $100 billion, a top-rated portfolio and a large, stable customer base. So it's unlikely that depositors would make significant withdrawals (which could cause the net asset value to drop). Plus, Fidelity has signed up for the new government insurance program. Minimum investment is $2,500, and check-writing is available.
State 529 Plans
Your money grows tax-deferred and escapes taxes if you use it for college expenses. Two-thirds of the states also give residents a tax break for contributions. Set the investment mix to become more conservative as your child approaches college age; some plans also offer an option with a guaranteed return.
Federal Stafford Loan
Despite reports of scarcity, you can still get these government-sponsored loans, which are available to all students who apply. Staffords carry a fixed interest rate of 6.8% or lower. If your student qualifies for financial aid, the feds will subsidize interest on the loan until repayment is due, beginning six months after graduation.
LOANS FOR PARENTS
Parent Loans for Undergraduate Students (PLUS)
These government-backed loans require a minimal credit check and carry a fixed rate of 8.5% or less. You can borrow up to the cost of your child's education and defer repayment until six months after your student graduates. To find lenders, see "Education Lenders and Student Loans" at www.finaid.org.
MORE FROM THE 2008 BEST LIST:
The Best Tools to Help You Retire
The Best for Travel, Cars, Home & Fun
What Is a Stock Split, and Why It Matters to You
A stock split can indicate that a company is healthy — but don't fall for the hype.
By Charles Lewis Sizemore, CFA • Published
Stock Market Today: Stocks Rally on Debt Ceiling News, Manufacturing Data
A slow start turned into a strong finish for stocks thanks to encouraging debt ceiling updates and the latest economic data.
By Karee Venema • Published
Stock Market Holidays in 2023: NYSE, NASDAQ and Wall Street Holidays
Markets When are the stock market holidays? Take a look at which days the NYSE, Nasdaq and bond markets are off in 2023.
By Kyle Woodley • Last updated
Stock Market Trading Hours: What Time Is the Stock Market Open Today?
Markets When does the market open? While it's true the stock market does have regular hours, trading doesn't stop when the major exchanges close.
By Michael DeSenne • Last updated
Bogleheads Stay the Course
Bears and market volatility don’t scare these die-hard Vanguard investors.
By Kim Clark • Published
I-Bond Rate Is 4.30% for Next Six Months
Investing for Income Bonds issued May 1 to October 31 will have a rate of 4.30%.
By David Muhlbaum • Last updated
What Are I-Bonds?
savings bonds Inflation has made Series I savings bonds enormously popular with risk-averse investors. So how do they work?
By Lisa Gerstner • Last updated
This New Sustainable ETF’s Pitch? Give Back Profits.
investing Newday’s ETF partners with UNICEF and other groups.
By Ellen Kennedy • Published
As the Market Falls, New Retirees Need a Plan
retirement If you’re in the early stages of your retirement, you’re likely in a rough spot watching your portfolio shrink. We have some strategies to make the best of things.
By David Rodeck • Published
Where the Midterm Election Races Stand Today
Economic Forecasts In a tight race, these state elections may make the difference when midterm results are announced in November.
By Sean Lengell • Published