Reply #55: From Mike Morgan "Move Money to Money Markets Now "

[Buttercup McToots]

Friday, September 19, 2008
Move Money to Money Markets Now

Before I explain the title of this blog piece,

It looks like King Henry really goofed, but we can take immediate advantage of this one.

The other day I spent a lot of time trying to figure out what to do with our cash. King Henry answered that question today. I recommend everyone move your cash from your bank accounts to higher paying money market accounts. Now that Paulson has declared the FDIC will insure all money markets, why not earn 2-3 times more interest. In fact, I never keep any money in the local bank. All of my funds are in money markets, as I have checking and credit cards tied in. Moreover, this is tied to my trading accounts as well.

Just wait until this really sinks in. If enough people realize how much better their money is with the money markets, the banks will fail from the flood of withdrawals moving to money markets. In any event, if you were worried about the $100,000 limit at banks, Paulson has declared he (we) will insure money markets for 10 times more than we are prepared to insure banks. You can keep up to one million in a money market with FDIC insurance.

Most likely tomorrow he will be offering insurance on our pets and he will be covering all losses in Vegas so the casino operators can surge higher. I heard tonight that he will also be guaranteeing the weather and personal happiness.

Seriously though . . . you are only insured for $100,000 at your bank, but now you are insured for one million in your money markets. Move your money.