I discussed what to do with less-than-ideal gifts and gift cards in a recent post. Since then another strategy has popped up, and it might be the best idea of them all.
At GoalMine you can trade in your gift cards and open a savings account or even start investing in mutual funds.
If you’re starting a new account at GoalMine, they’ll give you 150 percent of the first $50 of card value on your first gift card and they accept more than 400 different kinds of gift cards.
After the first $50 in gift card value, you no longer get the 50 percent bonus value; they credit your account with the card’s market value. Still, this beats other gift card buyers who take a cut off the top.
GoalMine offers two mutual funds, a stock mutual fund and a bond mutual fund. These are fairly young funds so there’s not a lot of historical performance data on them yet. But, if you follow the links above you can see all the available information, including the fees built into the funds. You’ll also get a picture of what kinds of investments these funds make. GoalMine also offers a standard savings account.
The mutual funds are “no load” funds, which means you do not pay a sales commission when you decide to buy or sell any or their mutual funds. However, there is a management fee along with operating expenses included in the ongoing cost of the funds.
I don’t consider myself an investment guru, however I do believe that the stock market is fairly low right now. Will it recover in one year or ten years? That’s the big question. However, considering the adage, “Buy low, sell high,” this would be a good time to start buying.
Ask yourself this question: Will there ever be a time in the future when the stock market is higher than it is today? If you think that one day—either sooner or later—the market will be higher than it is right now, it makes sense to buy, and buy on a regular basis.
And, if you have a few gift cards rattling around the top of your bedroom dresser, you can ante up without having to dip into your personal funds. What a great way to start the new year!
Further, when your birthday rolls around and your friend gives you a gift card you can say, “I know just what I’m going to get with this!”