Best CD, MM Rates & Bank Special Deals Thread 2024 - Please post updates here

[almost there]

Not just me then. 100k will be avail tomorrow. Schwab rates today, are the same as yesterday..
Should be the same tomorrow.

 

[audreyh1]

I bought one last year when they were offering a slightly higher rate 5.45% and amazingly it's survived 2 calls and matures next month.

Interesting. It was that or another 26-week T-Bill which I already have plenty of, so basically a wash. It will be interesting. Interest rates have not come down as quickly as most people expected.

 

[Chuckanut]

I don't think a loss of 28 cents will get their attention.

No doubt the bankers are quaking in their boots at the thought that more and more of us are wise to the ways of getting more interest at no additional risk. The poor devils.

I did pick up a 2 year 5% CD, call protected. While I don't see a plunge in interest rates and/or inflation, we do seem to bounce off the low 5% rates and then head back down for a while. I had been planning on shorter term rates in the low 5% area but, once the two year call protected hit 5% I decided to not get greedy. YMMV.

 

[Car-Guy]

If (sorry "when") rates drop below the magic 5%, it's not the end of the world. I mean, the difference in simple interest between a 250k CD at 5% and 4.9% is only $250 a year. Maybe good for a nice dinner, after taxes.

 

[Drake3287]

Synchrony Bank now offering a 14 month 5% CD. Maybe the longer term 5%'s are back for awhile....

 

[Marc]

Will the new SEC rules regarding Institutional MM funds affect any of us with funds at Schwab, Fidelity, or Vanguard?

Managers to shut or convert $220bn of US money market funds before rule change

SEC rules on departure fees for institutional prime money market funds will drive up costs, say firms

www.ft.com

Marc

 

[jazz4cash]

Paywalled. Summary?

 

[Marc]

Sorry, it originally wasn't paywalled for me. In part:

"The $674bn US institutional prime money market funds sector is set to shrink by at least one-third this year, as large investment firms shut down these vehicles rather than pay for upgrades needed to meet new regulations. Cash managers including Federated Hermes, Capital Group and Vanguard say they are planning to close institutional prime money market funds holding more than $220bn in assets or convert them to another type of fund before Securities and Exchange Commission rules come into effect in early October, imposing a mandatory fee on large redemptions. Other managers say they are still deciding what to do, but analysts at Bank of America and industry executives predict additional closures and conversions as the deadline draws nearer."

It is not supposed to affect retail customers so FZDXX and the like should be fine; designed to add fees for large withdrawals by institutional clients. Still, the law of unintended consequences . . .

 

[almost there]

Funny how the basic 5% savings/passbook account is now considered Magic?
Yesterday moved a bunch from 5.16% MM to cd's. 2yr 5%, 3yr 4.9% 4yr 4.7% and 5 yr 4.6%.
Writing is on the wall.

 

[teej1985]

Funny how the basic 5% savings/passbook account is now considered Magic?
Yesterday moved a bunch from 5.16% MM to cd's. 2yr 5%, 3yr 4.9% 4yr 4.7% and 5 yr 4.6%.
Writing is on the wall.

What writing? You think they'll finally drop rates?

 

[almost there]

Am 99.9% sure of it. Normal rates are possibly a thing of the past.
Artificially low rates could be the new normal.
As the average person believes rates are high right now.
Hope I am wrong though. The last couple months were a gift I didn't see coming.
Would not be surprised to see 3% 5 yr CD's in 2025. But who knows.

 

[teej1985]

Am 99.9% sure of it. Normal rates are possibly a thing of the past.
Artificially low rates could be the new normal.
As the average person believes rates are high right now.
Hope I am wrong though. The last couple months were a gift I didn't see coming.
Would not be surprised to see 3% 5 yr CD's in 2025. But who knows.

I wouldn't complain. At least mortgages would be cheaper.

 

[Marc]

I have to admit my crystal ball is a little cloudy but I have a contrarian view. Government debt will continue to crowd out private debt; the demand for this debt is not infinite; interest rates will have to rise from here.

 

[almost there]

I wouldn't complain. At least mortgages would be cheaper.

I guess. My best mortgage rate was 7 1/2%. Got it down from 13 1/2%. Over the years. Then paid it off around 2000.

Average 30 yr is about 6% over the past 100 years. 6% in the 1930's, 5% 1945, 4% in the 50's, 7% end of the 60's etc.

 

[Chuckanut]

I wouldn't complain. At least mortgages would be cheaper.

Which will simply inflate the price of housing even further. But, that is really off topic and worth a thread of its own.

IMO, rates, based upon my life experiences, are about normal at the present time. I think a lot of harm was done in some areas by the artificially low rates of the past decades. Maybe it was necessary to ‘save’ the economic system. It would not be the first treatment that leaves the patient alive, but with a new set of problems.

I am happy with my recent 5% 2year CD purchase as well as my recent 5 year TIPS purchase. I try to diversify.

 

[erkevin]

Schwab is showing a 3-year, non-callable CD (semi-annual payer) with a 4.9% APY #61768E3S0 Morgan Stanley Private Bank

 

[aja8888]

Schwab is showing a 3-year, non-callable CD (semi-annual payer) with a 4.9% APY #61768E3S0 Morgan Stanley Private Bank

This looks like a good deal, especially if rates end up dropping in the near future.

 

[copyright1997reloaded]

NASA FCU still has decent 9 month and 15 month CD'S: 5.5% APY on the 9-month, 5.4% on the 15. 10K min.

I've had a number of NASA CD's mature and I moved the money out (looking at houses). If I decide to wait (on the location move or rent for a year) I might plow it back into these.

 

[jldavid47]

Current best non-callable brokered CD rates at Schwab (05/14/24):

12 mo - 5.25%
18 mo - 5.15%
24 mo - 5.00%
36 mo - 4.85%
48 mo - 4.60%
60 mo - 4.60%

 

[almost there]

"Current best non-callable brokered CD rates at Schwab (05/14/24):

12 mo - 5.25%
18 mo - 5.15%
24 mo - 5.00%
36 mo - 4.85%
48 mo - 4.60%
60 mo - 4.60%"

Here is 5/7/24 thru 5/9/24 was unchanged.

 

[Car-Guy]

^^^^^
I'm planning on buying another one today. Decisions, decisions. Since inflation is only transitory, I maybe buy a longer term CD this time.

 

[Chuckanut]

It’s nice to know that this inflation is transitory. Now, can they make 2 Trillion dollars deficits transitory also? That would also be nice.

 

[Car-Guy]

Transitory is relative, if you are talking about timefames on a generational scale.

 

[aja8888]

^^^^^
I'm planning on buying another one today. Decisions, decisions. Since inflation is only transitory, I maybe buy a longer term CD this time.

I just bought a 4.90% non callable for three years at Schwab. In 2027 I am light fixed income as need to fill it a bit to even things out. I may not live beyond 5 years so 2029 is my outside limit.

 

[Car-Guy]

I just bought a 4.90% non callable for three years at Schwab. In 2027 I am light fixed income as need to fill it a bit to even things out. I may not live beyond 5 years so 2029 is my outside limit.

I'm looking at the same rates/timeframes too. I'm like you, my investment time horizon is no longer measured in many decades. But more like 5 to 10 years, 15 on the outside.