Are there any recommendations for which type of bonds to use to build an emergency fund?
I want to use these bonds to start building an emergency fund so I dont have to see the the money sitting in a HYS every time I access my bank accounts. That has been a proven way for me to fail in the past. I have the option to automatically withdraw I/EE bonds of various denominations with every paycheck so it will be easy to force myself to save. Basically it will let me kill 2 birds (trouble with forced saving and problems with spending savings) with 1 stone.
Im not sure about the differences between them. Based on initial research, I bonds are based on CPI, EE bonds are based on 6 month treasury rate, and TIPS are also based on CPI? If thats true, what is the difference in rate determination between I and TIPS bonds?
Are there any other recommendations about bonds I should know about? Thanks in advance.
I want to use these bonds to start building an emergency fund so I dont have to see the the money sitting in a HYS every time I access my bank accounts. That has been a proven way for me to fail in the past. I have the option to automatically withdraw I/EE bonds of various denominations with every paycheck so it will be easy to force myself to save. Basically it will let me kill 2 birds (trouble with forced saving and problems with spending savings) with 1 stone.
Im not sure about the differences between them. Based on initial research, I bonds are based on CPI, EE bonds are based on 6 month treasury rate, and TIPS are also based on CPI? If thats true, what is the difference in rate determination between I and TIPS bonds?
Are there any other recommendations about bonds I should know about? Thanks in advance.