From: beliavsky@aol.com
Newsgroups: misc.invest.financial-plan
Subject: Re: Safe investments with at least a 6.8% yield?
Date: 14 Jun 2005 19:30:30 GMT
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countchocula@forpresident.com wrote:
> I'm trying to figure out whether I should take the extra $ I have and
> use it to make payments on my non-federal education loan, which has a
> variable (6.8% currently) interest rate, or if there is some type of
> fairly safe investment I may invest in that will match or exceed that
> interest rate. Any help would be greatly appreciated!
Currently yields on Treasury bonds range from about 3% to 4.5% (see
http://www.treas.gov/offices/domestic-finance/debt-management/interest-rate/yield.html
), so I'd say "no", there is no fairly safe investment yielding 6.8%.
I'd recommend paying off the loan, unless doing so will make you unable
to contribute to a 401(k) or IRA account this year.
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