Strategy Beginner: Automatic Savings and Investment Plans

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1.
Using an automatic investment plan to fund a retirement account is only for the young.
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False. Even later in life, you can still build up a sizable amount of money.
2.
Savings accounts can be ideal candidates for automatic investing plans _______.
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For either the short term or the long term. They are ideal for the risk averse, over either the short term or the long term.
3.
Automated transfers of money between two accounts require that those accounts be from two different institutions.
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False. You can set up an automated transfer between two accounts at the same institution.
4.
Automatic savings and investment plans are often used to fund _______.
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All of the above. These are the most common uses for automatic plans.
5.
An automatic savings plan withdraws money from an existing savings or checking account on a periodic basis and deposits it into another account.
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True. The period is usually monthly or weekly.