Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 06-20-2007, 07:11 PM   #21
Recycles dryer sheets
 
Join Date: Mar 2006
Posts: 126
I have never done any business with PenFed, but I was wondering how their services compared to USAA.

I am a member with USAA and I have: Checking accounts, Homeowners Insurance, Mutual Funds, ROTH IRA, and car insurance and I am very please and satisfied with their service. Also, this year they were considered as one of the best customer service companies.

Am I better off switching to PenFed or USAA has better customer service and products?

Thanks!
__________________

__________________
xmanz3 is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 06-20-2007, 07:27 PM   #22
Moderator Emeritus
Nords's Avatar
 
Join Date: Dec 2002
Location: Oahu
Posts: 26,617
Quote:
Originally Posted by xmanz3 View Post
I have never done any business with PenFed, but I was wondering how their services compared to USAA.
Am I better off switching to PenFed or USAA has better customer service and products?
Not a clue. I only use PenFed for the best CD rates I've been able to find.

Speaking as a 25-year USAA customer, I wouldn't buy USAA's mutual funds any more than I'd buy car insurance from Vanguard or home insurance from Fidelity...
__________________

__________________
*
*

The book written on E-R.org, "The Military Guide to Financial Independence and Retirement", on sale now! For more info see "About Me" in my profile.
I don't spend much time here anymore, so please send me a PM. Thanks.
Nords is offline   Reply With Quote
Old 06-20-2007, 07:52 PM   #23
Recycles dryer sheets
 
Join Date: Mar 2006
Posts: 126
Even though if you are getting a return of 26% and 21% with an expense ratio of 1.3 and 1.5%??

I believe that is the only reason why I have not switch to Vanguard or Fidelity yet, but I am still planning to buy some funds with Vanguard.
__________________
xmanz3 is offline   Reply With Quote
Old 06-20-2007, 08:02 PM   #24
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
What asset classes and risk levels are those funds and during what time period?

For example, most of the equity vanguard funds are giving that sort of 1 year return at an expense fee averaging below a quarter percent.
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Old 06-20-2007, 08:04 PM   #25
Thinks s/he gets paid by the post
 
Join Date: Apr 2007
Posts: 1,304
Quote:
Originally Posted by cute fuzzy bunny View Post
FatWallet Forums - Finance

Look under the 'cd' thread.

Looks like 5.5-5.7's as good as is available right now.

Also Institution Rates For 1-year CD rates in Los Angeles, CA
Darn got all 'wet' thinking I could get 6%+ on a midterm cd
__________________
Life is GREAT!
megacorp-firee is offline   Reply With Quote
Old 06-20-2007, 08:07 PM   #26
Full time employment: Posting here.
DRiP Guy's Avatar
 
Join Date: Nov 2006
Posts: 546
PenFed rocks. Also got some of that 6.25% CD action myself, and they were fast, friendly, and competent. Have a share account there, and also like their on line site, because it is so darn simple. Just the info. Plain and simple.

And as previously noted, looks like in Jan they knock off their funding pool, and do it by blowing the socks off of everyone else. I'll bet it's win win, because the investor class they end up with via the "unadvertised insider special" is savvy and not going to be skittish and pull out before maturity or otherwise cause them any hassles with the funding pool.

So since they have stability and no muss, fuss, or large customer service worries on our end, the savings get passed on to us in the form of a once-per-year premium-level CD rate.

It's a beautiful thing.
__________________
DRiP Guy is offline   Reply With Quote
Old 06-20-2007, 08:08 PM   #27
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Quote:
Originally Posted by megacorp-firee View Post
Darn got all 'wet' thinking I could get 6%+ on a midterm cd

You might have...some months ago...and perhaps yet again.

But I'm thinking that rates like that might not be back around again for a few years.
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Old 06-20-2007, 08:45 PM   #28
Recycles dryer sheets
 
Join Date: Mar 2006
Posts: 126
Cute Fuzzy Bunny:

Here's the info

Emerging Markets Fund (USEMX)
Aggresive
Expense Ratio 1.61%
1yr 36.23% 5yr 23.94% 10yr 7.61%

USAA Precious Metals and Minerals Fund (USAGX)
Very Aggresive
Expense Ratio 1.21%
1yr 17.70% 3yr 30.24% 5yr 24.45% 10yr 15.90%
__________________
xmanz3 is offline   Reply With Quote
Old 06-20-2007, 10:26 PM   #29
Moderator Emeritus
Nords's Avatar
 
Join Date: Dec 2002
Location: Oahu
Posts: 26,617
Quote:
Originally Posted by xmanz3 View Post
Even though if you are getting a return of 26% and 21% with an expense ratio of 1.3 and 1.5%??
Nobody cares about expense ratios in a rising market, and nobody cares about anything else in a dropping market.

We have a mutual fund expense ration of 1.38%, considered "pretty good" as international ERs go, and we're still getting rid of it in favor of the 0.60% ER for the equivalent index ETF.

Our next-highest ER is our small-cap value index ETF at 0.25%.

The ER of our Berkshire Hathaway shares was an $8 trade about six years ago...
__________________
*
*

The book written on E-R.org, "The Military Guide to Financial Independence and Retirement", on sale now! For more info see "About Me" in my profile.
I don't spend much time here anymore, so please send me a PM. Thanks.
Nords is offline   Reply With Quote
Old 06-21-2007, 03:07 AM   #30
Thinks s/he gets paid by the post
Tadpole's Avatar
 
Join Date: Jul 2004
Posts: 1,170
PenFed is great. Their customer service will even advise you to wait a few days before you buy a CD because the new rates are coming out and are higher than the current rates. It gives you that warm and fuzzy feeling that they "care" about you.
__________________
Tadpole is offline   Reply With Quote
Old 06-21-2007, 07:52 AM   #31
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
Quote:
Originally Posted by xmanz3 View Post
Cute Fuzzy Bunny:

Here's the info

Emerging Markets Fund (USEMX)
Aggresive
Expense Ratio 1.61%
1yr 36.23% 5yr 23.94% 10yr 7.61%

USAA Precious Metals and Minerals Fund (USAGX)
Very Aggresive
Expense Ratio 1.21%
1yr 17.70% 3yr 30.24% 5yr 24.45% 10yr 15.90%
Heres a good example of fund performance and prices...check out vanguards emerging market and precious metals funds...which at a glance seem to have performed similarly or better...for under .5% expense ratios.

But heres the $64,000 question...has your advisor let you know that the emerging markets fund risk profile suggests that a 40-50% one year loss is quite plausible, or that the precious metals market went practically nowhere for the 20 years prior to the most recent 10?

These are good funds to add in 5-10% dollops to a core profile. If you're holding them in larger chunks...good luck!
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Old 06-21-2007, 07:53 PM   #32
Recycles dryer sheets
 
Join Date: Mar 2006
Posts: 126
Quote:
Originally Posted by cute fuzzy bunny View Post
Heres a good example of fund performance and prices...check out vanguards emerging market and precious metals funds...which at a glance seem to have performed similarly or better...for under .5% expense ratios.

But heres the $64,000 question...has your advisor let you know that the emerging markets fund risk profile suggests that a 40-50% one year loss is quite plausible, or that the precious metals market went practically nowhere for the 20 years prior to the most recent 10?

These are good funds to add in 5-10% dollops to a core profile. If you're holding them in larger chunks...good luck!
What kind of portfolio mix would you suggest I should I strive for at 33?
__________________
xmanz3 is offline   Reply With Quote
Old 06-21-2007, 08:01 PM   #33
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
That depends on your risk tolerance, objectives, financial status and a bunch of other stuff.
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Old 06-21-2007, 08:22 PM   #34
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Dawg52's Avatar
 
Join Date: Feb 2005
Location: Central MS/Orange Beach, AL
Posts: 7,438
Well I have just had a negative experience with PenFed. I applied for a cash rewards visa card that had been discussed earlier here. I was just told that I would have to provide them with 2 years worth of tax returns and all the supporting documents related to my income. Apparently they do not like the fact that I am retired with no pension and that I am relying on dividends and interest to live on. I told them to shove it as I have never had to provide such detail with respect to a frigging credit card. I'm sure they requested a credit report on me and I know that checked out fine. Never been past due on anything. I'll just keep on using the one I have. Chaps me though.

I guess the moral to the story is if you want a new credit card, you better get it before retirement while you have a 'normal' income.
__________________
Retired 3/31/2007@52
Full time wuss.......
Dawg52 is offline   Reply With Quote
Old 06-21-2007, 08:28 PM   #35
Thinks s/he gets paid by the post
wildcat's Avatar
 
Join Date: Feb 2005
Location: Lou-evil
Posts: 2,025
Quote:
Originally Posted by Dawg52 View Post
Well I have just had a negative experience with PenFed. I applied for a cash rewards visa card that had been discussed earlier here. I was just told that I would have to provide them with 2 years worth of tax returns and all the supporting documents related to my income. Apparently they do not like the fact that I am retired with no pension and that I am relying on dividends and interest to live on. I told them to shove it as I have never had to provide such detail with respect to a frigging credit card. I'm sure they requested a credit report on me and I know that checked out fine. Never been past due on anything. I'll just keep on using the one I have. Chaps me though.

I guess the moral to the story is if you want a new credit card, you better get it before retirement while you have a 'normal' income.
They pulled a credit check when you opened your PenFed account. Strange. I wouldn't have provided them with a damn thing either.
__________________
"These walls are kind of funny. First you hate 'em, then you get used to 'em. Enough time passes, gets so you depend on them"
wildcat is offline   Reply With Quote
Old 06-21-2007, 08:34 PM   #36
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
cute fuzzy bunny's Avatar
 
Join Date: Dec 2003
Location: Losing my whump
Posts: 22,697
They did a credit check on me too when I opened an account to buy some cd's.

No further questions regarding my credit worthiness or other funny business.

Check your credit report lately for errors or other badness?
__________________
Be fearful when others are greedy, and greedy when others are fearful. Just another form of "buy low, sell high" for those who have trouble with things. This rule is not universal. Do not buy a 1973 Pinto because everyone else is afraid of it.
cute fuzzy bunny is offline   Reply With Quote
Old 06-21-2007, 08:37 PM   #37
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
Dawg52's Avatar
 
Join Date: Feb 2005
Location: Central MS/Orange Beach, AL
Posts: 7,438
Quote:
Originally Posted by wildcat View Post
They pulled a credit check when you opened your PenFed account. Strange. I wouldn't have provided them with a damn thing either.
Yeah, it really left a bad taste in my mouth.
__________________
Retired 3/31/2007@52
Full time wuss.......
Dawg52 is offline   Reply With Quote
Old 06-21-2007, 08:55 PM   #38
Thinks s/he gets paid by the post
OAG's Avatar
 
Join Date: Jun 2006
Location: Central, Ohio, USA
Posts: 2,598
Been a member since 1975 (32 years). Never a problem, have had or have loans, credit cards, about 45 CD's (IRA and Regular CD's). SECOND largest CD in the USA; right behind Navy Federal CU, if I remember right. Also have direct deposit of SS and Mil Ret payments and several other smaller monthly direct deposits. Never a hold on any of them (they can not hold government deposits; but some, if not most, banks put a hold on other deposits).
__________________
Vietnam Veteran, CW4 USA, Retired 1979
OAG is offline   Reply With Quote
Old 06-21-2007, 10:07 PM   #39
Thinks s/he gets paid by the post
 
Join Date: Mar 2004
Posts: 1,318
I wonder if I dodged that credit check/tax return hoo ha because I had a CD there? They never asked for that stuff from me. Then again, this may be the way the hold down their expenses/defaults on non-active-duty members
__________________
ESRBob is offline   Reply With Quote
Old 06-21-2007, 10:19 PM   #40
Thinks s/he gets paid by the post
wildcat's Avatar
 
Join Date: Feb 2005
Location: Lou-evil
Posts: 2,025
Quote:
Originally Posted by ESRBob View Post
I wonder if I dodged that credit check/tax return hoo ha because I had a CD there? They never asked for that stuff from me. Then again, this may be the way the hold down their expenses/defaults on non-active-duty members
List of Institutions that pull HARD credit inquiries when opening a NON-CREDIT account

PenFed (unless they changed policy) does a hard credit pull when you sign up for an account. Not a huge deal unless you have a lot of them in you credit history.
__________________

__________________
"These walls are kind of funny. First you hate 'em, then you get used to 'em. Enough time passes, gets so you depend on them"
wildcat is offline   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 1 (0 members and 1 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Automatic payment option for Penfed ( Pentagon Federal ) Visa calmloki FIRE and Money 2 04-20-2007 11:40 AM
Hyperactive thyroid/treatment - worth a 2nd opinion? ERD50 Health and Early Retirement 11 03-16-2007 04:41 PM
Another opinion needed from doctors and patients on the board Surfdaddy Other topics 17 05-23-2006 09:49 PM
Penfed Rates for Jan 27-Feb 23 ESRBob FIRE and Money 13 01-28-2005 05:33 AM
Penfed Heads-up Bob_Smith FIRE and Money 8 02-26-2004 02:33 PM

 

 
All times are GMT -6. The time now is 06:40 AM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2017, vBulletin Solutions, Inc.