How should I invest this money?

I recently received a small amount of money from a car accident. I would like to do something with the money but everytime I try to do the research on CDs or a savings account, I second guess my choice. The amount is less than $10,000. I would like to put the majority of it away and make some money on it. What is the best way to do so? Should I consider investing in the stock market? Or should I stick with a CD or money market account? What other options do I have?

You have lots of option. If you are not a risk taker, I would suggest that you could startup some online business as the investment cost and risk is rather low. Plus, you could work anytime, anywhere on your interested / passion area.

There are a lot of internet business model you could consider: http://www.income-internet-business.com/...

Do drop me a email if you want to know more and hope that it will be useful to you.

Patrick
http://www.income-internet-business.com

stick with cd

Invest wisely and Beware of Investment Scam!!!
http://www.sec.gov/investor/pubs/cyberfr...

Go with a money market If the rest of your finances are in order you can put that money away for 10 years or so and still get a check every few months on the interest

You could open an IRA, this would be a nice starting point for your retirement. In the IRA you should select a good mutual fund that has a good 10 year investment track record and a stable leadership staff. Doing this will pay you a lot more than a CD or money market account and put the money out of easy access so you will not be tempted to spend it.

Good Luck.

If you want safe go for the CD. If you want a little more risk go with a mutual fund. You may want to to choose a lower risk lower return mutual fund. If you want to risk it and possible make a lot more money go for a more aggressive mutual fund. You may also look into buying a lot. There is some land in the $7,000 price range and with the real estate market as bad as it is you might be able to find a good investment. If you invest in land, you are stuck and will not be able to get your money out for a long time. You need to have a very long time span. I tripled my money in 3 years in a lot I bought for $15,000, but if I wanted to cash in it would likely take another 3 years to sell.

Go to www.bankrate.com and find a money market account that you like. It should have a good interest rate, no fees and be with a reputable company. Now that your money is earning decent interest, look into the stock market. Learn about it and consider trying one of the market simulators. Never invest in anything until you understand how it works.

CDs are the best way to go. Consider this, most banks are offering 5% on every $1000 invested for 6 months. So you receive $50 interest. The more you invest for a long period at a time the more money you receive.

If you go with stocks, you have to know which one to go with because there is risk involve.

Don't put your all of your eggs in one basket.

A CD or money market fund is much safer than the stock market. From http://mycash.info

buy gold or silver
they do better than the stock market, ira, cd's and the rest of that b.s
one day the value of the dollar in america wont be worth the paper its printed on. ..true money is gold
paper money is a promisary note

I would advise you to open an on-line savings account at HSBC.com. I have an account there and the interest rate is the best around. 5.05% ... You can transfer money to and from your regular account and they will also send you an ATM card so you can have access to the money if needed. I would avoid CD's and and money market as you have limited access and penalties for early withdrawl and definitely stay away from trying to pick individual stocks- too risky. It's not a whole lot of money and you may want to have quick access if an emergency comes up so I would definitely go with the HSBC account.

it depends.

Is this a lot of money TO YOU.... how much do you have saved for a rainy day? do you have any large expenses coming up that may require extra cash? how secure is your job?
if this is a lot to you...and you expect to use it soon (within next 3 years).. or you have little other savings... then stick to a CD...

if this is a lot to you and you dont expect to need it and you have at least some other savings. ... open a Roth IRA and invest in a diversified mutual fund... something that will cover many sectors and styles....with the first 4,000 .. and a cd outside the roth with the rest

from how you sound... this is a lot of money... and you may need it... so fund your roth ira and buy a diversified fund... and outside the ira buy a short term cd with the rest.... a year from now if you havent needed the cash use it to fund next years Roth ira contribution.

and stop trying to micromanage... more than likely any action you take will be better than the inaction you are doing.