Best CD & MM Rates Thread 2018 Archive

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No worries - a brown paper grocery bag will serve the purpose and can be sourced for under $220. Curious Copyright 1997 - you found that website how??
 
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Dtail said:
Does anyone keep a million in cash?
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Times 2+

To be honest, it's a bit of a PIA splitting these up at a bunch of different banks to stay under the 250k FDIC limits. Am considering combing some where the rates are best.
 
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Car-Guy said:
Times 2+

To be honest, it's a bit of a PIA splitting these up at a bunch of different banks to stay under the 250k FDIC limits. Am considering combing some where the rates are best.
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Going through a brokerage can help with this. You are not having to deal with the different banks directly.
 
Livefree said:
It is. Just not sure I want to go longer than 2 years at this point.
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As I mentioned above, as if Friday, Wells Fargo and JP Morgan were showing 2 year at 3.3% in my brokerage fixed income screener(callable).


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Citizens Access (online subsidiary of Citizens Bank) has hit 2% on online only savings.
 
I just opened up a money market account at Lakeland Bank (many locations in NJ) at 2.05%. Guaranteed until October 2019. Not an online account. (I moved it from another bank that was giving me 1.6%). That's $1000 in interest extra a year. I guess I'd keep moving it for at least $500/yr. Why not? - it takes less than an hours worth of my time for me.
 
Golden sunsets said:
As I mentioned above, as if Friday, Wells Fargo and JP Morgan were showing 2 year at 3.3% in my brokerage fixed income screener(callable).


Sent from my iPad using Early Retirement Forum
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I just ordered some Wells new issue mature 8/16/20: 2.8% - settlement is next week so final yield might vary. I avoid callable CDs and bonds. Too much risk.
 
Golden sunsets said:
As I mentioned above, as if Friday, Wells Fargo and JP Morgan were showing 2 year at 3.3% in my brokerage fixed income screener(callable).
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I bought a few of those Wells Fargo CDs.

The interest schedule is:
2.55% through 8/2019
3.0% through 2/2020
5% through 8/2020

The very high likelihood is that they will call in Feb 2020 when the rate would go to 5% for the final 6 months. You get to 3.264% only if they pay the CDs for the full 2 years and don't call. If they call at 2/2020 it comes to 2.7%.

However, the way I looked at it was that 2.55% is better than the 1 year rate today. Should they not call at 1 year and go another 6 months or year, it's gravy.

I also bought the HSBC incarnation for 5 years:
3.0% through 2/2021
3.625% through 2/2022
3.875% through 8/2022
4.375% through 2/2023
4.875% through 8/2023

Again, 3.0% is a good rate for the first 2.5 years, anything after that will be gravy.
 
Golden sunsets said:
I decided that today was the day to jump on this change in rates. I closed five 11 mo no penalty CD's at the older 1.75% rate and did so successfully with just 5 clicks. I then began the process of opening 5 new 11 mo no penalty CD's at the new 2% rate. After opening 2 successfully, the system stopped opening them and after a call to ALLY I was told that all new apps for my account were pending and I will receive a call in 3-5 business days. Meanwhile the money sits in a minimal interest bearing Ally checking account. ANNOYING but not fatal.:mad:
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I was able to upgrade two of my CDs online, no problems. Hope you get your call back!
 
Callitaday2022 said:
Just got 1yr at Fidelity 2.3%
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If you're dealing with Fidelity, at this time, it's better to opt for the equivalent maturity Treasuries as opposed to the CD. Rates breakeven at about 15 months - less than that, treasury yields are higher and the intersest is free from state taxes. For example, instead of your 2.3% 1 year CD, you could have gotten 2.48% 1 year treasury and again, interest on the treasury is free from state taxes.

It is very easy/straightforward to purchase treasuries on Fidelity's website - just play around with it, you'll probably quickly figure it out. If not, do not be shy about calling and speaking with a representative who will gladly walk you through it.
 
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njhowie said:
If you're dealing with Fidelity, at this time, it's better to opt for the equivalent maturity Treasuries as opposed to the CD. Rates breakeven at about 15 months - less than that, treasury yields are higher and the intersest is free from state taxes. For example, instead of your 2.3% 1 year CD, you could have gotten 2.48% 1 year treasury and again, interest on the treasury is free from state taxes.

It is very easy/straightforward to purchase treasuries on Fidelity's website - just play around with it, you'll probably quickly figure it out. If not, do not be shy about calling and speaking with a representative who will gladly walk you through it.
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Do you work for Fidelity? LOL!
 
Henry Lili said:
Just picked two up today. Easy over the phone since I'm already a member and have another CD there.
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It looks like they only charge a six month early withdrawal penalty, so at 3.56% for 3 years that looks like the best overall deal out there. I think I'm going to move my money over tomorrow.
 
Ready said:
It looks like they only charge a six month early withdrawal penalty, so at 3.56% for 3 years that looks like the best overall deal out there. I think I'm going to move my money over tomorrow.
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That's correct. Six months penalty is the deal. Only a seven day Grace period at renewal to pull money out versus the more usual ten. Not a big deal just thought I'd make mention .
 
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