We all know how hard it is to save money for education these days and it is even tougher to find a place to invest money for a short term that will still earn a decent return. With stock markets the world over getting beaten down by the credit crunch, people are searching for guaranteed investments with high interst rates in order to preserve capital and beat the effects of inflation.
There are several banks that claim to have “high interest rates”, but many of them don’t even come close to the rate of inflation which means that your hard earned money is losing its value even though he have saved and invested it. Some of the highest rates available from North American banks are in the 3-3.5% range.
There are many investment options from banks and financial institutions in other countries throughout the world, but some of them lack credibility or political stability and thus are risky in their own right. Investing in foreign countries can be profitable if you focus on a solid company in a politically stable country.
One bank that is locking in decent interest rates until at least 2013 is icesave a bank from Iceland that is offering savings accounts with interest rates in the 6-7% range. If you are looking to lock your mone in for a couple of years and want to safeguard it against both the volatile forces of the stock market and the effects of inflation, you might just want to check out the options available with icesave.
There are many banks the world over that are offering bonus introductory rates or rates that are not guaranteed for the length of the term. However, icesave offers no bonus introductory rate, just a fair and decent rate of return for the entire period of investment.
If you are sick of the smoke and mirror shows that other banks and financial institutions give you and just want a fair return on the money you are saving for your child’s education, investigate options in the United Kingdom, Austrailia, and other developed countries. You might be very glad that you did!