Best CD, MM Rates & Bank Special Deals Thread 2022 - Please post updates here

[lawman]

This isn't a CD but just as safe. It is a new Corporate note from Canadian Imperial Bank of Commerce (CIBC) that is rated (A-/A2) with a duration of 42 months that you can find on Fidelity and other brokerages that will be issued 6/24/22 and matures 12/24/25 and pays semi-annually at a rate of 4.47%. The earliest call date is 12/24/23 and the next is 12/24/24. The CUSIP is 13607XA98.

Given how weak the markets are, I plan to wait for this one to hit the secondary market next week and bid below par value for a better yield.

On a positive note, it's encouraging to see that high grade bonds are being issued with higher coupons for those seeking income.

This helps me...Thanks...

 

[Another Reader]

Anyone notice that yields on their brokerage treasury money market funds are also rising? Fidelity's treasury money market fund is at 0.62 and their treasuries only money market fund is at 0.56. Tempted to move some reserves from the stodgy big banks.

 

[audreyh1]

Thanks! I ordered my first Treasury bills today. The Vanguard rep asked if I wanted them from auction or the secondary market. I'm not very familiar with the options and went with the auction. I hope that was the right choice. He said the interest rate was anticipated to be around 1.59% but I wouldn't know until after the auction.

The auction is next Tuesday morning. The auction is normally on Monday but markets are closed next Monday. You must have ordered a 3 month treasury.

 

[audreyh1]

Anyone notice that yields on their brokerage treasury money market funds are also rising? Fidelity's treasury money market fund is at 0.62 and their treasuries only money market fund is at 0.56. Tempted to move some reserves from the stodgy big banks.

Of course, as expected.

They haven’t caught up with my savings accounts yields yet and probably won’t.

 

[captain3d]

Email from Citizens Access tells me the savings account is moving up to 1.25%

Woohoo

 

[xlf11]

Wealthfront cash 1.4%:
https://www.wealthfront.com/cash

 

[Golden sunsets]

Ivy Bank(Cambridge Savings Bank) is now 1.5%.

Sent from my SM-T510 using Early Retirement Forum mobile app

 

[JoeWras]

Thanks! I ordered my first Treasury bills today. The Vanguard rep asked if I wanted them from auction or the secondary market. I'm not very familiar with the options and went with the auction. I hope that was the right choice. He said the interest rate was anticipated to be around 1.59% but I wouldn't know until after the auction.

And here's another link to the latest auction results. It defaults to the T-Bill tab. The last 13 week T-bill was over 1.6%. So, 1.59% as a guess for the next auction is pretty safe.

https://www.treasurydirect.gov/instit/annceresult/annceresult.htm

 

[almost there]

Had a few CD's in my IRA mature in March & April. My average was 3.5%
Been waiting and waiting to start buying more 5 yr's at 3.5%.
Picked up my 1st batch (brokered - non callable) today 101k @ 3.5% with 22% of the cash on hand.

 

[11522914]

Just got 2% on a 3 month broker CD from Northpointe Bank.

 

[almost there]

Short term is improving... 1 month 1.409 & 3 month 2.015 today.
May do another 1 month, when my existing 1% 1 month expires next week.

 

[John Galt III]

Still waiting for 5 and 7 year CDs to hit 4% or higher. Come on, Penfed !

 

[Happyras]

Anyone notice that yields on their brokerage treasury money market funds are also rising? Fidelity's treasury money market fund is at 0.62 and their treasuries only money market fund is at 0.56. Tempted to move some reserves from the stodgy big banks.

I moved all cash into FZDXX Fido's MM premium. 7 day yield is now 1.09%. Unlike Schwab, Fidelity considers MM mutual funds as cash for making trades, no need to liquidate to buy a bond for example.

 

[Happyras]

You can buy FZDXX at Schwab. Not sure what the fees would be though?
Also $100k min.

Not worth it, but then Schwab does not offer as good a MM fund. The advantage I quickly found with Fido was the liquidity. At Schwab, you would have to sell one day then settle before pulling cash out. I use FZDXX for my cash management account which pulls as needed for checks etc. Schwab, no bueno....

 

[almost there]

Not worth it, but then Schwab does not offer as good a MM fund. The advantage I quickly found with Fido was the liquidity. At Schwab, you would have to sell one day then settle before pulling cash out. I use FZDXX for my cash management account which pulls as needed for checks etc. Schwab, no bueno....

Agree, looked into it, Then deleted my post. LOL LOL
Unlike stocks, I can wait a day for funds to clear for CD's purchases. No problem.
But SWVXX only pays around .6% or so. And takes a day to clear.
That is a bummer.
When I was trading, a day was a life and death wait.
Now? Not so much.
Schwab used to have a good MM fund. Now? Nope...

 

[almost there]

Still waiting for 5 and 7 year CDs to hit 4% or higher. Come on, Penfed !

Yep, have 5 yr CD's maturing at Navy Jan 2023 and Pen Fed Jan 2024.
Will be interesting what rates will be there / then.

Am thinking Jan 23 will be much higher than Jan 24...Just a guess.

 

[gromit]

I moved all cash into FZDXX Fido's MM premium. 7 day yield is now 1.09%. Unlike Schwab, Fidelity considers MM mutual funds as cash for making trades, no need to liquidate to buy a bond for example.

FZDXX is a premium fund class, so it has $100k minimum. By any chance does anyone know what happens if you're in the fund but one day spend enough money buying stocks that your balance in the fund goes under the minimum? Just wondering if it automatically reverts to the lower class fund rate or if there's a fee or nagging emails from Fido, etc.

 

[Another Reader]

FZDXX owns a lot of commercial paper. I can get a decent yield using federally insured products. If I include some three month CD's, I can equal the FZDXX yield. Not inclined to take risks with short term cash.

 

[jazz4cash]

Not worth it, but then Schwab does not offer as good a MM fund. The advantage I quickly found with Fido was the liquidity..

Yes the liquidity at Fidelity is incredible. I have submitted a transfer request from my B&M bank to Fido and immediately had access to trade with those funds before they ever left my bank. I never knew how other brokerages handle transfers.

 

[JoeWras]

Many thanks here for the pointer to buying treasuries at Vanguard. I've used Treasury Direct in the past, but when you have the money at VG already, it is more convienent to do it there.

So the latest 13 week T-bill came thru today at 1.70%. Helpful in my state is that the interest is exempt from our state's significant income taxes.

 

[Helen]

Helpful in my state is that the interest is exempt from our state's significant income taxes.

Thank you. I looked it up to see if Oregon was exempt:

"Interest earned on all U.S. Treasury securities, including Treasury bills (T-Bills), is exempt from taxation at the state and local level but is fully taxable at the federal level."

https://www.investopedia.com/ask/answers/013015/how-are-treasury-bills-taxed.asp

 

[Gotadimple]

American Express announced their second rate increase this from from .75% on June 9 to .90% today, June 21.

 

[kongmen]

I just opened my account with Synchrony at .85 I'm hoping they will increase soon along with the other online banks in response to the latest 75 basis point increase by the Fed.

 

[Chuckanut]

Many thanks here for the pointer to buying treasuries at Vanguard. I've used Treasury Direct in the past, but when you have the money at VG already, it is more convienent to do it there.

So the latest 13 week T-bill came thru today at 1.70%. Helpful in my state is that the interest is exempt from our state's significant income taxes.

After dealing with a three hour and 20 minute wait to get my TD account unlocked, I decided to make future Treasury security purchases via a brokerage, probably Fidelity.

 

[JoeWras]

Thank you. I looked it up to see if Oregon was exempt:

"Interest earned on all U.S. Treasury securities, including Treasury bills (T-Bills), is exempt from taxation at the state and local level but is fully taxable at the federal level."

https://www.investopedia.com/ask/answers/013015/how-are-treasury-bills-taxed.asp

Yeah, Helen. During stable interest times, when Treasuries are a bit lower than say, a typical CD, the state tax thing can even it up. Depends on your state, though. TX and FL residents won't care.

Right now, during this upside down time where Treasuries are ahead of almost everyone else, it is just an extra bonus.