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We've all heard of treasury, municipal, corporate bonds and Cd's. The problem with these is that they either give too little interest, are too expensive or are too risky.
As an alternative why not look at the agencies such as Freddie Mac. They are typically giving out anywhere from 5 to 6% for a little over par. They are triple A rated and some are even state tax free, such as the farm credits. The only difference between these and treasuries is that the treasuries have the guarantee of the US government to print money to cover their debts while the agencies don't. However, what do you think the implications would be if the US were to default on these loans? Somehow I find this very unlikely.
So next time if you're seeking for AAA bonds, that are inexpensive, safe and have some potential state tax benefits, look into the Agencies.

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