Best CD & MM Rates Thread 2018 Archive

[Dtail]

Quote:

Originally Posted by ShokWaveRider It is only rated B+ but as long as investment is below $250k it should be fine. And you will not need to talk to them once the CD is purchased until it matures.

Agree since they have Federal insurance even though they are a state and not a federal credit union.

The only I might have is that they are closed today and I am away until Thursday. I assume they will not change any offers until then.

[Amethyst]

I just checked, and VG VMFXX has been gradually creeping up and has a 7-day SEC yield of 1.96%, higher than Ally or Discover savings rates. Maybe a good idea to send spare cash to VMFXX?

[ShokWaveRider]

Quote:

Originally Posted by Amethyst I just checked, and VG VMFXX has been gradually creeping up and has a 7-day SEC yield of 1.96%, higher than Ally or Discover savings rates. Maybe a good idea to send spare cash to VMFXX?

I put mine in VMMXX it is currently 2.1%

[nwsteve]

Ally just bumped their 11 mon no penalty CD to 2.1%

[ShokWaveRider]

September 26th. is "IR" Day....

[audreyh1]

Quote:

Originally Posted by nwsteve Ally just bumped their 11 mon no penalty CD to 2.1%

Oh another 10th of a point! Well, I guess that’s just a bit below the 3 month treasury at 2.16%.

Hmmmm - I’ll have to think about it. I wouldn’t be surprised if they raised a little more within a month.

[jazz4cash]

Just stumbled on this. Harbor Bank of Maryland IRA MM is 2.6% w/ $500 min. That’s 500 not 500k! This is listed on depositaccounts and the bank website. I know they are a small local bank based in Baltimore. I’ll be looking into this.

[Another Reader]

The yield on four week treasuries at tomorrow's auction is anticipated to be 2.07 percent. I'm in!

[pb4uski]

Why bother when VMMXX pays 2.11%?

[Another Reader]

Because I don't have to pay state taxes on a taxable account and because treasuries are lower risk than even prime money market paper. Although I agree that risk seems small right now.

Also, most of my money is at Fido with their outrageous ER's on their money market accounts.

[Huston55]

Quote:

Originally Posted by Another Reader Because I don't have to pay state taxes on a taxable account and because treasuries are lower risk than even prime money market paper. Although I agree that risk seems small right now. Also, most of my money is at Fido with their outrageous ER's on their money market accounts.

FZDXX is currently 1.95% yield, net of expenses.

[dvalley]

So if I were to switch-to/buy VMMXX using the money in VMFXX (settlement fund), do I lose out on this month's VMFXX's interest?

Similarly if I move the money from the Discover savings account (compounded daily, paid monthly) today into VMMXX do I lose the entire Sep accrued interest or just the days the money's not in the account?

[audreyh1]

Quote:

Originally Posted by dvalley So if I were to switch-to/buy VMMXX using the money in VMFXX (settlement fund), do I lose out on this month's VMFXX's interest? Similarly if I move the money from the Discover savings account (compounded daily, paid monthly) today into VMMXX do I lose the entire Sep accrued interest or just the days the money's not in the account?

No it’s all accrued daily.

[pb4uski]

^^^ Right.

[Another Reader]

FZDXX invests in 40 percent commercial paper. It requires $100k initial investment, which I could do, but prefer not to. The current reduced ER with waiver is 0.3 percent. I would have to pay state tax in the taxable account. I'll stick with treasuries for now.

ETA: ER on VMMXX is 0.16 percent.

[Ready-4-ER-at-14]

For those of you who mention great deals found through a broker could you also please provide the cusip number if it is availabl?


I am especially looking for secondary longer term offerings at lower yields with great discounts on purchase in 5 to 10k amounts in the next week or so.

Thanks!

[Huston55]

Quote:

Originally Posted by Another Reader FZDXX invests in 40 percent commercial paper. It requires $100k initial investment, which I could do, but prefer not to. The current reduced ER with waiver is 0.3 percent. I would have to pay state tax in the taxable account. I'll stick with treasuries for now. ETA: ER on VMMXX is 0.16 percent.

Understand; not trying to convince you, just listing facts. Regarding the $100k initial investment, as pointed out in an earlier thread, after opening the position with $100k, the balance can go well below that & still earn the same rate. And, all the 7-day yields for these funds are ‘net of yield’ so, that’s already baked into the yields quoted above.

[Helena]

.

I put one of my IRAs into a five year variable CD I posted about here previously.

The floor base rate is 3% and that rate wiill increase with any increase in the fed fund rate which will probably go up .25 Wednesday. If so, my interest rate automatically goes up to 3.25% beginning in October. Experts say the Fed will probably increase the rate again several more times in the next year or so.

.

[njhowie]

Quote:

Originally Posted by Ready-4-ER-at-14 For those of you who mention great deals found through a broker could you also please provide the cusip number if it is availabl? I am especially looking for secondary longer term offerings at lower yields with great discounts on purchase in 5 to 10k amounts in the next week or so. Thanks!

Can I ask what your objective is in doing this as opposed to simply looking for the highest yield to maturity, whether new issue or secondary market?

FYI, there is a HSBC 4% 13-year new issue at Fidelity and Merrill (likely others as well). At Merrill, the cusip is 40434YQ59. At Fidelity, the temporary cusip they've assigned to it is DSI9K4485. It is callable, but then so are any of the new issues longer than 10 years at this time. The chances are that they won't be called - unless you believe that going forward long term interest rates may go lower. It seems fairly obvious that the reason they are offering 4% for 13 years right now is because they believe rates are likely to go higher.

If you're looking to pick up deals on secondary market "offerings", you'll likely not be successful if you're looking for folks to post them here to alert you. The best deals generally pop up in small lots and by the time anyone could come here to post about it, and you see the post, it would likely be gone. Folks watch the CD inventory for when the deals pop up (I certainly do) and if you're not ready to grab it when you see it, if it is really a bargain, it will be gone in under a minute.

As far as long term bargains, over the past few weeks, I haven't seen any secondary market bargains on longer-term CDs. Fidelity does not offer anything longer than 10 years in their secondary market inventory. Etrade offers secondary market CDs beyond 10 years, but I closed my account earlier this year, so haven't seen their inventory in some time. For 10-year secondary market at Fidelity, just in the past week the yields have poked back above 3.7% after maxing out in the 3.6% range for the past month or so.

[Golden sunsets]

I just successfully funded the NASA FCU 15 month CD at 3.25%. I must say I am impressed with the processing time, customer service, on-line experience and up to date technology NASA uses. Thanks to whoever posted this deal. I was unaware of the offer until that message was posted.