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Old 07-07-2022, 06:14 PM   #901
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Ally just went to 1.15. Waiting on Live Oak at 1.05 and Barclays at 1.10 to catch up.
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Old 07-07-2022, 06:21 PM   #902
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Originally Posted by Drake3287 View Post
Do you really only need a 3 or 4 month CD? Capital One has a 2.50% CD for 18 months. Do the math and see if the early withdrawal penalty still makes it a wiser choice.
My roof is 23 years old, original shingles that are curling, they are architectural so it requires a complete strip down to the plywood cuz you can not put shingles on top of those. I need to take an RMD this year. My central air is also original at 23 years old and may need replacing soon. I have spent a lot on a repair and 2 leaks over the past few years and it may be better to just get a new system rather than spending money on one that will need repairs again in a year or 2. It is hard to rebalance asset allocation when you have longer term note or CD. I have almost $130k in my rollover account's settlement fund and if/when the market goes down a lot from here I would like to have a lot of that to add to equities.

For these reasons, I really prefer to keep fixed income short term turning it over since I really don't know when I might need a large amount of cash to fix a problem that would require immediate attention (roof or AC). Besides, I am not going to make much on any fixed income even if inflation was like the past 12 years which it is not now.
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Old 07-07-2022, 06:26 PM   #903
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I pulled all except a couple of thousand out of Ally this morning. This bit will probably go to Vanguard's Federal MM at 1.42 percent for now. It's also their settlement fund. Fido's premium MM is at 1.40 with $100k minimum with a sizeable portion in financial company paper.
Sounds like a good idea. I have just over $20k at Ally in an online savings account. If the Vanguard settlement fund is paying 1.4% most of that Ally money is getting moved. I like Ally for the next day transfer to my local bank, Vanguard can take 2-3 days. I want to have some at Ally but not this much.
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Old 07-07-2022, 06:34 PM   #904
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I pulled all except a couple of thousand out of Ally this morning. This bit will probably go to Vanguard's Federal MM at 1.42 percent for now.
Is there a limit to the number of transfers you can make each month out of Vanguard's Fed MM fund?
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Old 07-07-2022, 07:54 PM   #905
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Originally Posted by jim584672 View Post
Easy way to check, add up all the coupons from the CD. T-Bill has a set value and returns to full face, so you know how much you will be getting between now and maturity. Compare the two amounts.
Just bought a $5000 26-week T bill today on Treasury Direct for $4,936.81 at auction yesterday. So I will make $63.19, which is about $10.53 per month - a 2.53% interest rate.

CDs for 6 months on E-trade are only offering 2.1%. Most only pay at maturity, so there is no monthly coupon to add up. What is interesting to me is that the ones that pay at maturity show a 2.212% APY on the details page. Where the few ones that pay monthly only show a 2.2% APY

HMMM
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Old 07-08-2022, 05:37 AM   #906
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Originally Posted by Graybeard View Post
My roof is 23 years old, original shingles that are curling, they are architectural so it requires a complete strip down to the plywood cuz you can not put shingles on top of those. I need to take an RMD this year. My central air is also original at 23 years old and may need replacing soon. I have spent a lot on a repair and 2 leaks over the past few years and it may be better to just get a new system rather than spending money on one that will need repairs again in a year or 2. It is hard to rebalance asset allocation when you have longer term note or CD. I have almost $130k in my rollover account's settlement fund and if/when the market goes down a lot from here I would like to have a lot of that to add to equities.

For these reasons, I really prefer to keep fixed income short term turning it over since I really don't know when I might need a large amount of cash to fix a problem that would require immediate attention (roof or AC). Besides, I am not going to make much on any fixed income even if inflation was like the past 12 years which it is not now.
I'm surprised your homeowner's insurance company (if you have insurance) hasn't either told you to replace the roof or cancelled your coverage. Roofs in Florida, even though still good and functional, start becoming an issue for homeowner's insurance companies at around the 10 year old mark. A lot of homeowner's insurance companies in Florida won't even consider insuring a home whose roof is over 10 years old. I realize that is BS because you can get many more good years beyond 10 out of a roof. But it is what it is in Florida!

Mike
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Old 07-08-2022, 07:32 AM   #907
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I'm surprised your homeowner's insurance company (if you have insurance) hasn't either told you to replace the roof or cancelled your coverage. Roofs in Florida, even though still good and functional, start becoming an issue for homeowner's insurance companies at around the 10 year old mark. A lot of homeowner's insurance companies in Florida won't even consider insuring a home whose roof is over 10 years old. I realize that is BS because you can get many more good years beyond 10 out of a roof. But it is what it is in Florida!



Mike


That should be a separate thread. It makes perfect sense that Insurer would do that but I never heard of it. Same with trees growing too close to the home but I guess they’d need to physically see the property or use satellite/drone service.
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Old 07-08-2022, 07:53 AM   #908
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I'm surprised your homeowner's insurance company (if you have insurance) hasn't either told you to replace the roof or cancelled your coverage. Roofs in Florida, even though still good and functional, start becoming an issue for homeowner's insurance companies at around the 10 year old mark. A lot of homeowner's insurance companies in Florida won't even consider insuring a home whose roof is over 10 years old. I realize that is BS because you can get many more good years beyond 10 out of a roof. But it is what it is in Florida!

Mike
I see Graybeard is in the NE. I live in NH. We routinely get 20-30 years out of good old asphalt shingled roofs around here. I have never had my insurance company ask me how old my roof is.
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Old 07-08-2022, 10:11 AM   #909
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Fidelity is offering a 1 year 3.75% note that pays monthly rated A3/A

CITIGROUP GLOBAL MKTS HLDGS IN SER N
3.75000% 07/20/2023 MTN

CUSIP 17330PSX8
ISIN US17330PSX86
SEDOL --
Pay Frequency MONTHLY
Coupon 3.750
Maturity Date 07/20/2023
Moody's Rating A3
S&P Rating A
Issuer Events NO
Survivor Option NO
Bond Type Corporate Note
Sector FINANCE (NON-BANK)
Interest Accrual Date 07/20/2022

I'm not very active on the board anymore but I do check in on a few threads every now and again. After seeing the rate and info above I decided today is going to be the day to dip my toes into T-notes and bills. So I opened a brokerage account with Fidelity (already had a HSA account) and ordered qty 25 of the above after looking up the CUSIP.


Thanks so much for posting this information- it was the push I needed to take the leap
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Old 07-08-2022, 10:15 AM   #910
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Are CUSIPs unique to each brokerage?
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Old 07-08-2022, 10:34 AM   #911
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Are CUSIPs unique to each brokerage?
No, they're unique identifiers.
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Old 07-08-2022, 10:43 AM   #912
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I just checked my Ally checking account rate and it shows
"full interest rate 0.99505%". How can some people get 1.1% and I'm showing something less?
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Old 07-08-2022, 11:26 AM   #913
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I just checked my Ally checking account rate and it shows
"full interest rate 0.99505%". How can some people get 1.1% and I'm showing something less?
Did you mean Savings account? The checking account rate is 0.1%
The savings account rate is 1%, increasing to 1.15% July 9, 2022
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Old 07-08-2022, 11:44 AM   #914
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I'm surprised your homeowner's insurance company (if you have insurance) hasn't either told you to replace the roof or cancelled your coverage. Roofs in Florida, even though still good and functional, start becoming an issue for homeowner's insurance companies at around the 10 year old mark. A lot of homeowner's insurance companies in Florida won't even consider insuring a home whose roof is over 10 years old. I realize that is BS because you can get many more good years beyond 10 out of a roof. But it is what it is in Florida!

Mike
Yup relatively new here in our section of FLA.
Perhaps FLA should address these types of issues vs. ........
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Old 07-08-2022, 11:46 AM   #915
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Nope. Both my Ally Savings and Checking show the same %.
"Showing full interest rate 0.99505%" Essentially 1%.

This also displayed on my web page.
ANNUAL PERCENTAGE YIELD
1.00%

I'll wait until after the weekend to see if the 1.15% interest hits.
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Old 07-08-2022, 12:46 PM   #916
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Nope. Both my Ally Savings and Checking show the same %.
"Showing full interest rate 0.99505%" Essentially 1%.

This also displayed on my web page.
ANNUAL PERCENTAGE YIELD
1.00%

I'll wait until after the weekend to see if the 1.15% interest hits.
Tomorrow. It shows in accounts tomorrow according to their email.
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Old 07-08-2022, 01:27 PM   #917
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Discover has been doing much better lately. I've been getting 1.15% for the last couple of weeks. They seem to raise their rate as least as quickly as any other bank.
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Old 07-08-2022, 01:30 PM   #918
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For the first time that I can recall, I received an e-mail from Discover asking me to take a survey that asked about customer satisfaction and what would make me happier with them.

I recently moved the majority of my cash from Discover to my Vanguard settlement fund, which has a higher interest rate. And I'm buying T Bills with a lot of the cash. I'm sure that a lot of people are doing the same thing. I hope the banks start increasing their interest rates more as a result.
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Old 07-08-2022, 02:36 PM   #919
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Ally just raised theirs to 1.15%.

Looks like their 11 month NP CD is also going to 1.15%.
Doesn't make sense, why not higher?
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Old 07-08-2022, 03:06 PM   #920
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I'm not very active on the board anymore but I do check in on a few threads every now and again. After seeing the rate and info above I decided today is going to be the day to dip my toes into T-notes and bills. So I opened a brokerage account with Fidelity (already had a HSA account) and ordered qty 25 of the above after looking up the CUSIP.


Thanks so much for posting this information- it was the push I needed to take the leap
It's actually a great time for fixed income investors who manage their own ladders. There are lot's options and high grade notes are a good alternative to CDs and treasuries as they are paying a premium yield. Just seven months ago a one year note from Citigroup would have been issued at a yield of about .75% and would have paid semi-annually not monthly. If the Fed maintains their 3.8% Fed funds target for 2023 and holds at those levels, it will be a great period for savers.
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