Debunking four financial fallacies
People have enough money trouble without these “four financial myths,” says Marshall Loeb in MarketWatch. So, four corrections: First, its no longer best to park your money in the local “brick-and-mortar” bank. Many “online savings/money accounts” offer 5 percent annual returns, rather than the local branch’s 0.2 percent. Second, don’t save for your kid’s college education rather than your retirement—there are many more options for funding college. Third, you always earn enough to save. And fourth, “overdraft protection” won’t save you from your bank’s “overdraft fees,” which earned banks $17 billion last year. “Wouldn’t you rather put that money in savings?”
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