Best CD, MM Rates & Bank Special Deals Thread 2020 - Please post updates here

[audreyh1]

The truth is that federal law requires the FDIC to pay deposit insurance "as soon as possible." For insured deposits — those within the deposit insurance limits — the FDIC almost always pays insured depositors within a few business days of a closing, usually the next business day. Payment is made either by providing each depositor a new account at another insured institution or by issuing a check to each depositor.

The limited exceptions that may take longer to process primarily are deposits that both exceed $250,000 and are linked to trust documents, and accounts established by a third-party broker on behalf of other individuals. "The delay, if any, for a depositor to receive payment for insured funds is a function of the time it takes for the depositor or their broker to provide missing supplemental information that is needed for the FDIC to complete the insurance determination," Troup explained. "This is supplemental information that is not in the bank's records, and it may include affidavits from depositors and copies of trusts and death certificates. And if there is a delay in receiving insured funds, it is typically a matter of a few business days."

https://www.fdic.gov/consumers/consumer/news/cnfall14/misconceptions.html

 

[RetiredAndLovingIt]

Freedom Idaho dropped their rates today
https://www.depositaccounts.com/banks/freedom-northwest-credit-union.html#promo41144

 

[calmloki]

https://www.fdic.gov/consumers/consumer/news/cnfall14/misconceptions.html

Thanks to you audreyh1 - you persist in having good rational solid information.

 

[audreyh1]

Thanks to you audreyh1 - you persist in having good rational solid information.

These answers were easy to find searching the internet.

The long drawn out stuff you remember from 2008 was probably settlement of money market funds that had broken the buck, settlements from non-bank financial companies going under, and perhaps a few financial fraud cases.

 

[LRDave]

I just closed my 5/3 checking account. Balance has to be zero to do it over the phone, but they didn't hassle me or transfer me to a "remediation specialist". Took about 10 minutes. It cost me $3 to transfer the $750 to my current bank, so only earned $247 off of my $500 investment.

We will do it on DW's account after her transfer is completed - probably Monday.

 

[Dtail]

I just closed my 5/3 checking account. Balance has to be zero to do it over the phone, but they didn't hassle me or transfer me to a "remediation specialist". Took about 10 minutes. It cost me $3 to transfer the $750 to my current bank, so only earned $247 off of my $500 investment.

We will do it on DW's account after her transfer is completed - probably Monday.

The 4 of us will close ours in person next week, since the bank is 10 minutes away. Might be more efficient for us. They know it is coming.

 

[Sunset]

I just closed my 5/3 checking account. Balance has to be zero to do it over the phone, but they didn't hassle me or transfer me to a "remediation specialist". Took about 10 minutes. It cost me $3 to transfer the $750 to my current bank, so only earned $247 off of my $500 investment.

We will do it on DW's account after her transfer is completed - probably Monday.

Why did it cost you $3 to transfer the money ?

 

[LRDave]

Why did it cost you $3 to transfer the money ?

*
That was 5/3's fee (tax).

 

[audreyh1]

After the emergency Fed rate slash this week:

I went ahead with one more CD for very short term funds - using the 8 month 2.05% APR CD special from Andrews FCU.

And when my existing CDs mature in a less than 2 weeks I'm hoping to catch the 1.9% no penalty CD at Ally with a 0.05% bonus before it drops.

That's about the best I can do for my short-term funds and will be waiting the rest out as I watch yields on MM funds and high yield savings account gradually drop.

Back to the future.

 

[almost there]

"First Republic Bank" Rates are based on your location. Min $10k 5 yr CD in SoCal =1.20%
No thanks.

 

[calmloki]

"First Republic Bank" Rates are based on your location. Min $10k 5 yr CD in SoCal =1.20%
No thanks.

Totally agree that First Republic's posted rates are not worth looking at. But note my post #97. If you have $100k to put in they are offering a $1770 bonus on their checking account that works out to about a 3.5%/annum return for a 6 month stretch. Do a direct deposit of $2500 and they add $250. Bring in someone else and they add a $100 spiff.
With rates falling fast I'm just looking for bottom line return and it was worth it to us to move money from EBSB at 1.5% and Chase checking at 0%.

 

[statsman]

We have far more money in our trust savings account (single inheritor) than I am comfortable with, exceeding the $500k insured limit. DW worked in banking for 40 years and has zero fears about the financial institution in question, but she understands if I want to move out some of the funds.

I would move some of the funds to someplace else, but all I see are recommendations for online accounts and some obscure credit unions that are a complete unknown to me. I guess insurance is insurance (FDIC or NCUA). Not seeing a lot available here outside Austin, TX. Those that are pay less than the money market rate we're earning on the excess funds.

 

[brewer12345]

We have far more money in our trust savings account (single inheritor) than I am comfortable with, exceeding the $500k insured limit. DW worked in banking for 40 years and has zero fears about the financial institution in question, but she understands if I want to move out some of the funds.

I would move some of the funds to someplace else, but all I see are recommendations for online accounts and some obscure credit unions that are a complete unknown to me. I guess insurance is insurance (FDIC or NCUA).

Insurance is insurance. Or you can buy t bills. No limit on full faith and credit.

You could also ask the bank if they will do something for you to reduce your exposure, like put some of the money in a repo transaction.

 

[almost there]

Have been dumbfounded by all the rate cuts.....
And what when things really go south. Over due in the cycle as it is.
And here we sit, at record low rates?
Nuts....

On the plus side we have 50 yr low unemployment.........
Makes no sense at all...

Navy Fed still the stand out. For now anyway....

 

[Momcpa]

New one on me-----I have a spreadsheet that I use to list current CD rates. I use this to record rates I've looked up at different institutions around the time when I have an established CD maturing. I saw a credit union about 50 miles away had the best rate in our area. We live in a rural area, so the larger town that credit union is in is a town we frequent often for shopping or dining. We DON'T consider it far away.

So we went in today (Saturday) to start a new CD. We did not already have any account with them. So we had to become members first. Apparently the county we reside in isn't in their approved list of the counties allowed. Since we are retired, they couldn't/wouldn't make an exception for that reason. They said if any relative had an account with them, that would allow us 'in'. They looked up our last name/maiden name...nope. I tried to encourage them to make an exception as we had funds we were willing to invest....in more than one CD. They wouldn't let us open a savings/checking account either to meet the qualifications.

We will go to the more local bank with the 2nd best rates on Monday. Disappointing!

 

[RetiredAt55.5]

And when my existing CDs mature in a less than 2 weeks I'm hoping to catch the 1.9% no penalty CD at Ally with a 0.05% bonus before it drops.

I just grabbed some of Ally's 1.9% no penalty CDs this week. They already lowered their regular CD's this week, aside from the 18 month that's still at 2%. I put some in there, as a hedge if rates are lower in 11 months when the no penalty CDs are up.

A little off topic, but recently disappointed by Ally's phone reps. Got some incorrect information. The biggest gaffe was that if you don't fund them within 10 days, you don't get the 1.9% rate if the rate goes lower. The rep (from the CD phone queue), claimed I was guaranteed the 1.9% rate if I funded them within 30 days. She was also recommending a 13 month CD at 2.1%. Strange as that CD isn't listed on their website.

 

[pb4uski]

New one on me-----I have a spreadsheet that I use to list current CD rates. I use this to record rates I've looked up at different institutions around the time when I have an established CD maturing. I saw a credit union about 50 miles away had the best rate in our area. We live in a rural area, so the larger town that credit union is in is a town we frequent often for shopping or dining. We DON'T consider it far away.

So we went in today (Saturday) to start a new CD. We did not already have any account with them. So we had to become members first. Apparently the county we reside in isn't in their approved list of the counties allowed. Since we are retired, they couldn't/wouldn't make an exception for that reason. They said if any relative had an account with them, that would allow us 'in'. They looked up our last name/maiden name...nope. I tried to encourage them to make an exception as we had funds we were willing to invest....in more than one CD. They wouldn't let us open a savings/checking account either to meet the qualifications.

We will go to the more local bank with the 2nd best rates on Monday. Disappointing!

Dunno why you are so disappointed. That is the way credit unions work... they each have membership requirements that need to be met and you have to become a member before buying a CD. Pretty elementary stuff.

 

[jim584672]

I just grabbed some of Ally's 1.9% no penalty CDs this week. They already lowered their regular CD's this week, aside from the 18 month that's still at 2%. I put some in there, as a hedge if rates are lower in 11 months when the no penalty CDs are up.

A little off topic, but recently disappointed by Ally's phone reps. Got some incorrect information. The biggest gaffe was that if you don't fund them within 10 days, you don't get the 1.9% rate if the rate goes lower. The rep (from the CD phone queue), claimed I was guaranteed the 1.9% rate if I funded them within 30 days. She was also recommending a 13 month CD at 2.1%. Strange as that CD isn't listed on their website.

The 13 month Select CD was 2.0% yesterday. I had a maturing CD and in the options for maturity, if you choose rollover the CD list will show the Select CD option. It doesn't show up in the normal list of CDs on the website.

 

[audreyh1]

I just grabbed some of Ally's 1.9% no penalty CDs this week. They already lowered their regular CD's this week, aside from the 18 month that's still at 2%. I put some in there, as a hedge if rates are lower in 11 months when the no penalty CDs are up.

A little off topic, but recently disappointed by Ally's phone reps. Got some incorrect information. The biggest gaffe was that if you don't fund them within 10 days, you don't get the 1.9% rate if the rate goes lower. The rep (from the CD phone queue), claimed I was guaranteed the 1.9% rate if I funded them within 30 days. She was also recommending a 13 month CD at 2.1%. Strange as that CD isn't listed on their website.

That 2.1% 13 month special CD does exist, or did - I bought a couple 2 weeks ago, and I had to web search for it to get a link to use.

But I think if you go through the actual open account process you’ll find it in the list. I think I saw it there too.

Oops - I see Jim indicates it’s already dropped a bit.

 

[Momcpa]

Dunno why you are so disappointed. That is the way credit unions work... they each have membership requirements that need to be met and you have to become a member before buying a CD. Pretty elementary stuff.

Not disappointed that I "couldn't become a member" per se. Disappointed that I didn't get the better rate that they were offering. Also disappointed that we couldn't qualify in case they continue to have good rates in the future.

Always looking for good rates to continue building my CD ladder. It was over 2% today.

 

[pb4uski]

Got it. I guess I've got used to seeing some really nice juicy rates offered by some CUs that after a little research I figured out that I didn't qualify to join.

 

[jazz4cash]

Not disappointed that I "couldn't become a member" per se. Disappointed that I didn't get the better rate that they were offering. Also disappointed that we couldn't qualify in case they continue to have good rates in the future.

Always looking for good rates to continue building my CD ladder. It was over 2% today.

Have you used depositaccounts.com to monitor CD rates? It has a lot of details on eligibility requirements, rate alerts, customer contacts etc. I think it’s always good to ask for an exception to whatever the standard policy is. They might say yes!

 

[Sunset]

We have far more money in our trust savings account (single inheritor) than I am comfortable with, exceeding the $500k insured limit. DW worked in banking for 40 years and has zero fears about the financial institution in question, but she understands if I want to move out some of the funds.

I would move some of the funds to someplace else, but all I see are recommendations for online accounts and some obscure credit unions that are a complete unknown to me. I guess insurance is insurance (FDIC or NCUA). Not seeing a lot available here outside Austin, TX. Those that are pay less than the money market rate we're earning on the excess funds.

I've used online banks, for many years, without issues. I do ONLY use online banks that have been around for years, and are listed on the FDIC site (name,address,etc).
I certainly recommend ALLY bank, as it's easy to use and is competitive in the rates paid ( which means might not be the highest all the time, but close enough to the highest for me).

I have found a brick & mortar bank usually pays the worst or no interest, which is why I use online for savings & CD's and brick & mortar for checking account.
I just ACH transfer (it's free) between the two types to move money.

 

[Dtail]

I've used online banks, for many years, without issues. I do ONLY use online banks that have been around for years, and are listed on the FDIC site (name,address,etc).
I certainly recommend ALLY bank, as it's easy to use and is competitive in the rates paid ( which means might not be the highest all the time, but close enough to the highest for me).

I have found a brick & mortar bank usually pays the worst or no interest, which is why I use online for savings & CD's and brick & mortar for checking account.
I just ACH transfer (it's free) between the two types to move money.

Exactly the same scenario for me.
Ally has an intuitive website and allows for very high daily transfers, if one wants to catch a special deal at another financial institution which might be limited in time.

 

[GenXguy]

I just had a one year Ally renew at 2% + 05% bonus, but the one year is now 1.75%. I have another one coming due in about a month - so I hope there's something better available by then, maybe the 13 month or no-penalty.