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What Would You Invest $25,000 In?

Posted on 1/22/16 at 7:50 am
Posted by Poncho
R.I.P. Ivar's
Member since Aug 2014
537 posts
Posted on 1/22/16 at 7:50 am
I'm thinking about taking a $25,000 DOD loan at 1% interest, but I have no idea what to invest it in.

Any recommendations for a safe investment with a decent rate of return?

Posted by Big Saint
Houston
Member since May 2009
1453 posts
Posted on 1/22/16 at 7:54 am to
quote:

Any recommendations for a safe investment with a decent rate of return?




How safe and how decent a rate of return are we talking here? I probably wouldn't put the entire $25,000 in all at once since I don't think the market is done going down yet.
Posted by rintintin
Life is Life
Member since Nov 2008
16178 posts
Posted on 1/22/16 at 7:58 am to
quote:

I'm thinking about taking a $25,000 DOD loan at 1% interest


How would you get this?
Posted by Poncho
R.I.P. Ivar's
Member since Aug 2014
537 posts
Posted on 1/22/16 at 10:27 am to
Fair enough. What would you do with it?
Posted by Fat Bastard
coach, investor, gambler
Member since Mar 2009
72623 posts
Posted on 1/22/16 at 10:38 am to
quote:

safe investment with a decent rate of return?



oxymoron
Posted by Big Saint
Houston
Member since May 2009
1453 posts
Posted on 1/22/16 at 11:13 am to
quote:

Fair enough. What would you do with it?


Do you have any other investments? I'd personally open an account at Fidelity or Vanguard and get in a couple broad market funds that have no commissions and low fees. They both offer funds with a $3,000 minimum or even cheaper fees for a $10,000 minimum.

Take two admiral shares funds ($10,000 min) and use the remaining $5,000 to buy more if the market keeps dropping.
Posted by Grits N Shrimp
Kansas City, MO
Member since Dec 2014
646 posts
Posted on 1/22/16 at 11:22 am to
quote:

Any recommendations for a safe investment with a decent rate of return?


A percentage of a NNN leased piece of real estate.
Posted by BoatSchoolTiger
Houston, TX
Member since May 2013
659 posts
Posted on 1/22/16 at 4:39 pm to
quote:


How would you get this?


They are generally called a career starter loan and given to people in certain military training programs.

They can offer such a low interest because they know you're good for it and in the contract you agree to garnished wages, so the lender never misses a payment and it also requires direct deposit from DFAS (defense financial...). Normally when the direct deposit stops the interest jumps somewhere in the teens.
Posted by 632627
LA
Member since Dec 2011
12758 posts
Posted on 1/22/16 at 7:45 pm to
how old are you and whats the payment schedule on the loan?
Posted by 13SaintTiger
Isle of Capri
Member since Sep 2011
18315 posts
Posted on 1/22/16 at 8:24 pm to
quote:

I'm thinking about taking a $25,000 DOD loan at 1% interest, but I have no idea what to invest it in.


It's 1% now? Geeze, it was 2.99% a few years back.
Posted by player711
Member since Jun 2006
285 posts
Posted on 1/23/16 at 12:00 pm to
A9 month promissory note that pays 13-16% backed by 1st position liens and/or collateral with zero management fees.
It is not correlated to the stock market or our economy.
That is what I would do all day long
Posted by player711
Member since Jun 2006
285 posts
Posted on 1/23/16 at 12:03 pm to
Or there is another 9 month promissory note that pays 7% and is backed by three times collateral and has two legal measures to avoid losses.
It's not exciting at 7%, but over 9 months it annualized at 9.33%.
I don't know of anything is better with that short time horizon.
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