Question

Lloyd has $20,000 to deposit. His wife’s illness leads to medical expenses beyond what their insurance will cover, so Lloyd must often quickly access his savings. Recommend a good way for Lloyd to store his money. a. A two-year CD giving 9.1% interest annually b. An online savings account giving 3.6% interest c. A series of six-month money market accounts paying 4.6% interest d. A checking account with free checks

Answer 1

b. An online savings account giving 3.6% interest

Answer 2

An online savings account giving 3.6% interest

Explanation:

The online savings accounts is a safe place to keep your money and earn a high interest rate. These banks work on lower fee rates. These accounts give higher rates than other banks. So, the best way for Lloyd to store his money is keeping it in an online saving account.