MONEY OBEDIENCE

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If you want to play it "safe", i.e. not lose any actual money, put your money into a savings account, a money market account, or a money market (index) fund, which works essentially the same as a money market account. You may have to use a money market fund instead of a straight forwards savings account if your savings are held in a 401(k) account or other tax deferred account.

Many banks offer money market accounts, which pay you a higher interest rate than regular savings account. Banks may impose some restrictions such as a minimum balance or withdrawal restrictions on such money market accounts or other higher yielding savings accounts. If you want to avoid such restrictions, you can open a savings account at an Internet bank; these tend to offer better terms than regular savings banks. You can only conduct some limited banking business on the Internet, i.e. depositing and withdrawing money. You never have to wait in line on a visit to a branch, since Internet banks do not have branches. But, you also can't get teller-assisted services such as money orders.