Open a TD Ameritrade Money Market Account and Get a $100 Bonus

[sabrinamari]

Suze Orman worked out a deal with Ameritrade so that those who read her latest book can open up a money market account there and get $100. The account has to be funded with an automatic monthly deposit of at least $50 (probably drawn from your checking account), and after the twelfth consecutive deposit, the account is credited with an additional $100.

The caveats:

If you pull *any* of the money out of the account before the end of the twelfth month, you forfeit the extra $100.

You have to use web links and codes given on page 86 and 87 of "Women and Money".

The offer is only good until March 31st of this month.

I already have a Vanguard Money Market Fund account (high interest but not FDIC insured), an Emigrant Direct Money Market account (high interest and FDIC insured), and a Scottrade brokerage account (for buying stocks and funds outside of Vanguard). I'm also gonna open a Scottrade IRA later this year (this will be a second, non-Vanguard IRA account to supplement my Vanguard IRA).

So am I gonna open *another* account just for this for the free money?

Yeah, you bet I am. It will be my '2009 Travel Money/FreeSpirit Money' account (got the idea for this from bohemianeditor).

I'll do it this weekend and note each step as I go, looking for hidden drawbacks. If it still looks good afterwards, I'll post the procedure and the entry codes you need to do it on my LJ next week.

PS: The account is aimed at women, to help them create a savings account in their own names, but I see no indication that men cannot do the very same thing.

Comments

[elphaba-of-oz.livejournal.com]

I simply cannot imagine not having my accounts in my own name.

[sabrinamari.livejournal.com]

There was a time when I did not have savings or retirement or checking accounts in my own name. I had a joint checking account, but everything else was in my spouse's name.

It can happen without your even noticing it...it can sneak right up on you.

Very intelligent, capable women can find themselves without money or resources in their own name, and without the freedom to leave should they decide to do so.

I lived like that for awhile.

[sligoe.livejournal.com]

I have always had my own checking account. I'm stubborn---I wanted something of my very own. After the third divorce---and my ex signing my name to a credit card application without my kjnowledge, I cancelled everything and got my own cards, my own accounts, my own 401k, my own life insurance----my finaces are still totally separate from Dave's I write him a check to cover my portion of household expenses, and he takes care of everything from there, but I monitor everything. I take no chances. And I have been successful at re-creating my life several times---from scratch---so I have lots of experience. Lessons are hard-wom, sometimes---but won they are!

Yup!

[shades-of-nyx.livejournal.com]

I very narrowly avoided this situation.
I was very smart, having been burned very early on by a long term partner who stuck me with a lease, utilities, etc. and just vanished.

[bnicely.livejournal.com]

Thanks for the tip! Please do keep us posted on how it looks once you dive in. Maybe we can talk E into it ;) BTW... Looking forward to our talks on same subject.

Have you heard me scream YAY lately?? well..guess you know why!

[(Anonymous)]

Happy dance for your good news and the all the positive improvements to come!

[shades-of-nyx.livejournal.com]

So, are you gonna give us the cheat codes? Or do we have to buy the book? Cause I'll take the free $100 and open the savings account no problem.

[(Anonymous)]

I will *so* give you the cheat codes.

I wanna do it myself first in case there's a hidden drawback, so that I find it before everyone else, and no can say,"Hey! Sabrina--what were you thinking, girl?"

[bnicely.livejournal.com]

E and I went to lunch today. During lunch we discussed this particuliar plan and other various investment ideas. After you work out the kinks on this one, looks like we will BOTH follow suit.

[sabrinamari.livejournal.com]

Hurray!!!!!!

[(Anonymous)]

I did this a couple of weeks ago! seems straightforward enough - the only tricky point I see is that you can't set it up all in one go - you set up the account first and then in a couple of days you can set up the funding for it. So if you do this, *don't forget to go back and set up the direct deposit* before the end of the month, or else you won't be getting any $100.

[crepuscular.livejournal.com]

oops, that was me.

[sabrinamari.livejournal.com]

Fabulous! I appreciate your information. It's good to know we'll need to do it in two parts.

[flamespirit.livejournal.com]

So my dear, I am probably going to have a reasonable amount of cash to deposit for a while (from selling my house) and am probably going to look into a CD/Money Market account with some good interest. But Vanguard not being FDIC insured seems risky to me. Why would you choose a non-FDIC Insured account? I ABSOLUTELY know you'll have a good reason for doing this.

[sabrinamari.livejournal.com]

No individual investor has ever lost money in a money market mutual fund. It has only been a possibility once or twice and the fund company involved has always made good on the potential loss.

MM funds also invest in extremely conservative equities---very conservative! However, they provide a higher return for a fractionally higher level of risk (the more risk something has, the greater its return).

I have an Emigrant Direct account because my dad fears another Great Depression, and he wants me to have $ in an account with FDIC insurance. I don't worry about this too much, although I respect his opinion. It is after all, the safest course of action. I don't think there is any real risk of MM fund loss. The economic downturn required would be exceptional, and I don't think it's likely at all. I think we're on board for a multi-year recession.

The Vanguard MM fund also allows me to move $ between my major emergency/savings account and my Roth and taxable account very easily.

That said, how much risk a person can absorb is very particular to each person. I can tolerate a moderate level of risk for a slightly higher return, but it's not a good idea for everyone. In general, if something makes you uneasy, don't do it.

The sleep you lose is *not* worth the extra money you could make. On the other hand, I can watch my portfolio drop like a stone and be cheered and happy--because that means that funds and stocks are cheap right now, and I can buy more for my money.

I learned about investing late, from books and websites, and I started with Modern Portfolio Theory. So from the beginning, I built my understanding on the theoretical principles that you must buy cheap and sell dear, and that short-term volatility is irrelevant: long term asset allocation (making diversified long-term choices) is what actually counts.

Short term bear markets don't worry me at all. They are part of the market's normal behavior (and by short term, I mean a few years or so). Since I am a new investor with only little $ in the market and only a little to spend, I *need* a long bear market to make the most of my money while I build up my portfolio. A bull market (a happy, rising, seemingly low-risk market environment) is not good for me right now. I want that later, when I am getting ready to retire. Now, a happy market would mean I could buy less for my investment money. Later, it would mean that the money I have built up (and am about to start depending on for retirement) will be preserved (rather than diminishing right when I need it)

So, more risk and more volatility helps me right now: less risk and lower volatility actually *impedes* my progress.

And the Modern Portfolio Theory that offers me these insights guides all of my choices, and keeps sleeping happily at night as the market tanks around me.