The FDIC is the Federal Deposit Insurance Corporation. It was created by the Glass-Steagall Act of 1933. It insures up to $100,000 per depositor per bank. Runs on banks are nothing new. When there were economic downturns and high unemployment in the 19th century there were runs on banks. There was a particularly severe panic in 1893. A national bank guarantee fund was
proposed. Although deposit security measures were adopted at the state level, the federal government chose the Federal Reserve System as a lender of last resort.

In 1933 the system failed and 4,004 banks closed. Under the federal government’s supervision, these banks were merged into stronger banks.

President Franklin D. Roosevelt was personally opposed to insurance because he thought it would protect irresponsible bankers, but yielded when he saw Congressional support was overwhelming.

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Teenagers need to be taught money management so that when they move out on their own they will be able to handle their money wisely. You don’t want them to fail and have to move back home just so that they can pay off their debt.

How to Get Started

If your child does not already have a savings account, help your child open one. A teenager should also be able to open a checking account. Anyone under the age of 18 will have to have a co-signer since minors cannot be held responsible for contracts.

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Who said money doesn’t grow on trees? You just have to know how to plant one!

Have you noticed how credit card companies and banks make lots of money off of us by charging interest on the debt we owe them? Well I have a solution to outsmart the credit card companies and banks to start making money off of them. It does not require that you have a lot of money already, nor does it require you to be a rocket scientist. Almost anyone can do it. And I say almost because you still have to be careful; we are talking about money here, free money to be precise. This isn’t some scam. It is perfectly legal and there are plenty of people doing it as you read this.

The Concept
You’ve probably heard of leaving money in a high interest savings account or certificate of deposit (CD) to gain interest or invest your money in stocks etc. This is the general concept, but the problem with these methods of obtaining free money is that you have to have money to start with. So what do you do if you don’t have money to start with?

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Washington Mutual (WaMu) is offering a 3.75% APY on their savings accounts! This is not just some introductory rate and you only need to deposit a minimum of $1. (We do recommend depositing more than that to make even more money though.) Wamu is a highly reputable and trusted financial institution with plenty of locations throughout the U.S. They have options for checking accounts, savings accounts, money market accounts, CDs, IRAs, mortgage, home loans and credit cards.

Opening a 3.75% APY WaMu savings account requires you to also open a free checking account with Wamu. WaMu free checking accounts are proud of having:

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We recently researched some of the top savings accounts available today to find the one that provides the best APY and no hassle sign up. The top savings account we found is provided by Wilmington Trust, a highly recognized institution in the online savings industry. Their WTDirect Savings Account will not only increase your savings, but will also improve your credit score. Inside Secret: There is no minimum fee on the WTDirect account so you are not required to maintain a high account balance, just having one of these accounts opened can improve your credit score! Although we do suggest putting as much money into the savings account as possible, because helping you save your money and earn more interest is our ultimate goal.

Wilmington Trust is an online financial service offering an introductory APY (annual percentage yield) of 3.26% for 60 days. After 60 days your APY remains at 3.26% if your account balance is $10,000 or more. If your account balance is less than $10,000 the APY is be 0.50%, which is still great compared to other saving accounts! The APY for an average traditional bank account is 0.36%, lower than the APY offered by WTDirect. Since the WTDirect Savings Account is considered high-yield, it has a potential APY of over 5%.

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