Where can I get 12% interest on my money?
1 The best way to earn 12% interest on your savings is by investing in a high-yield savings account. High-yield savings accounts are offered by some banks and credit unions and generally offer higher interest rates than traditional savings accounts.
1 The best way to earn 12% interest on your savings is by investing in a high-yield savings account. High-yield savings accounts are offered by some banks and credit unions and generally offer higher interest rates than traditional savings accounts.
The reality is that you can! There are mutual funds out there that have averaged 12% annual returns over the course of their history—you just have to know how to look for them. But before we go there, let's cover some of the basics about the average mutual fund return that you need to know about first.
The Co-operative Bank has today announced the launch of its brand new Regular Saver account. The Regular Saver is a savings account with an interest rate of 7%. The account can be opened with as little as £1 and once opened, customers can deposit up to a maximum of £250 each calendar month over a 12-month term.
CDs are best for individuals looking for a guaranteed rate of return that's typically higher than a savings account. In exchange for a higher rate, funds are tied up for a set period of time and early withdrawal penalties may apply.
It stems from the historical average annual return of the S&P 500 (with dividends reinvested). Ramsey's website cites a New York University dataset which says the S&P 500 average from 1928 to 2023 was 11.66%. Over a shorter period of time, from 2014 to 2023, it was as much as 12.98%.
- Stocks.
- Real Estate.
- Private Credit.
- Junk Bonds.
- Index Funds.
- Buying a Business.
- High-End Art or Other Collectables.
- High-yield savings accounts.
- Money market funds.
- Short-term certificates of deposit.
- Series I savings bonds.
- Treasury bills, notes, bonds and TIPS.
- Corporate bonds.
- Dividend-paying stocks.
- Preferred stocks.
Using an annual compounding interest rate of 5% per year, after one year, your $1,000 would earn $50 in interest, bringing your total balance to $1,050. In the second year, your interest is calculated on the initial principal of $1,000 and the $50 earned in the first year.
In California, absent an exception which we discuss in depth below, the maximum allowable interest rate for consumer loans is 10% per year. For non-consumer loans, the interest rate can bear the maximum of whichever is greater between either: i) 10% per annum; or ii) the “federal discount rate” plus 5%. Cal.
What is the highest savings account right now?
- Poppy Bank – 5.50% APY.
- My Banking Direct – 5.35% APY.
- BrioDirect – 5.35% APY.
- Vio Bank – 5.30% APY.
- Ivy Bank – 5.30% APY.
- TAB Bank – 5.27% APY.
- TotalDirectBank – 5.26% APY.
- Jenius Bank – 5.25% APY.
| Banks | Highest FD rate (% p.a.) | Additional interest rate for senior citizens (% p.a.) |
|---|---|---|
| Fincare Small Finance Bank | 8.00 | 0.50 |
| DCB Bank | 8.00 | 0.50-0.60 |
| IDFC First Bank | 8.00 | 0.50 |
| Bandhan Bank | 7.85 | 0.50-0.75 |
A money market account (MMA) is a savings account that typically pays higher interest rates than regular savings accounts. MMAs usually offer tiered rates, meaning you can earn an even higher rate on large balances or on part of your balance over a certain level.
Earning interest in a low-risk way is often possible through vehicles such as a high-yield savings account, money market account, CD, bonds and bank bonuses. These relatively safe strategies can help you boost interest earnings while shielding you from more volatile investments that may exceed your risk tolerance.
1. High-yield savings accounts. Overview: A high-yield savings account at a bank or credit union is a good alternative to holding cash in a checking account, which typically pays very little interest on your deposit. The bank will pay interest in a savings account on a regular basis.
There's a reason that 12% tends to be used as a benchmark, according to Blanchett. The average historical return from 1926 to 2023 is 12.2%, according to a monthly data set called stocks, bonds, bills and inflation, or SBBI.
Investments, such as stocks, do not have a fixed rate of return, but the Rule of 72 still can give you an idea of the kind of return you'd need to double your money in certain amount of time. For example, to double your money in six years, you would need a rate of return of 12%.
| Period (start-of-year to end-of-2023) | Average annual S&P 500 return |
|---|---|
| 10 years (2014-2023) | 11.02% |
| 15 years (2009-2023) | 12.63% |
| 20 years (2004-2023) | 9.00% |
| 25 years (1999-2023) | 7.18% |
- Direct stocks.
- IPOs. Here are four high-return market-linked investment.
- Small-, mid-cap equity mutual funds. options you can choose from. ...
- Direct stocks. ...
- IPOs. ...
- Small-, mid-cap equity mutual funds. ...
- Equity-linked savings scheme (ELSS)
Consider investing Rs 15,000 per month for 15 years and earning 15% returns. After 15 years, the total wealth will be Rs 1,00,27,601 (Rs. 1 crore). According to the compounding principle, if we implement these very same returns and contributions for another 15 years, the amount we accumulate grows enormously.
Where to invest to get 15 percent return?
Growth-Oriented Mutual Funds or ETFs: Investing in mutual funds or exchange-traded funds (ETFs) that focus on growth stocks can provide exposure to a diversified portfolio of companies with high growth potential. These investments can offer higher returns, but they can also be subject to increased volatility.
Conventional wisdom holds that when you hit your 70s, you should adjust your investment portfolio so it leans heavily toward low-risk bonds and cash accounts and away from higher-risk stocks and mutual funds. That strategy still has merit, according to many financial advisors.
- Treasury Inflation-Protected Securities (TIPS) ...
- Fixed Annuities. ...
- High-Yield Savings Accounts. ...
- Certificates of Deposit (CDs) Risk level: Very low. ...
- Money Market Mutual Funds. Risk level: Low. ...
- Investment-Grade Corporate Bonds. Risk level: Moderate. ...
- Preferred Stocks. Risk Level: Moderate. ...
- Dividend Aristocrats. Risk level: Moderate.
- Best Investment Plan for Senior Citizens.
- Senior Citizen Saving Scheme (SCSS)
- Pradhan Mantri Vaya Vandana Yojana.
- National Pension System (NPS)
- Equity Linked Savings Scheme (ELSS)
- Senior Citizen Fixed Deposits.
- Why is Investing for Senior Citizens Important?
| Discount Rate | Present Value | Future Value |
|---|---|---|
| 6% | $1,000 | $3,207.14 |
| 7% | $1,000 | $3,869.68 |
| 8% | $1,000 | $4,660.96 |
| 9% | $1,000 | $5,604.41 |
