Gifted $10,000 toward home down payment

[Anonymous]

I don't think we'll be ready to buy for another year. Maybe more, but hopefully not. Where is the best place to put the $10,000 in the meantime?

[Anonymous]

A bank CD or a short term Treasury money fund. Time horizon is way too short for anthing else.

[Anonymous]

If you have kids, we discovered that some banks offer custodial minor accounts with much better interest rates than conventional savings accounts. For a short term place to plunk money it's a decent option.

For example, at Virginia Commerce Bank they'll give 2.47% on amounts up to $10,000. A one year CD only gives 0.2%

[Anonymous]

Anonymous wrote:If you have kids, we discovered that some banks offer custodial minor accounts with much better interest rates than conventional savings accounts. For a short term place to plunk money it's a decent option.

For example, at Virginia Commerce Bank they'll give 2.47% on amounts up to $10,000. A one year CD only gives 0.2%

Might be a dumb question, but could you run into problems when you want to withdraw or demonstrate the source of your downpayment? I know for a custodial account you effectively have control of it, but it's technically your kid's money?