Best CD, MM Rates & Bank Special Deals Thread 2023 - Please post updates here

[njhowie]

Quote:

Originally Posted by imbatman New CD (DSN371986) - Fidelity has 5.4% 03/17/2023 settlement (Callable starting 03/17/2024, 1 Year) 10-Year Celtic Bank New CD (CCDCHN2) - ML has 5.5% (Callable starting 06/17/2023, 3 Months) 2-Year JPM

Fidelity DSN370219 JPM 1 year 5.4% callable 6/17/2023

[Car-Guy]

Interesting to see the inverted CD yield curve "seems" to be flattening out a little more (maybe). I guess that means the big banks think rates will stay high for a longer period of time than they thought just a few months ago. Less than 1/2 point between 1 and 5 yr CD's at this time and non callable.

[Born2Fish]

2 year non-callable CD, Fidelity, CUSIP: DSN376133

WELLS FARGO BANK NATL ASSN CD 5.25000% 03/17/2025

[Golden sunsets]

The 3-5 year non callable CD's are inching up. On Fido, non callables in the new issue group are 4.95% for the 3 year, 4.85% for the 4 year and 4.8% for the 5 year. Just yesterday the highest 5 year noncallable was 4.6%. I imagine that Powell's speech yesterday triggered increases.

[jldavid47]

Quote:

Originally Posted by Car-Guy There has been a "war on savers" (w/fixed income) so long, all this seems almost to good to be true. Still lagging behind inflation but..........

Yes, the war on savers is over (or so it seems).

My assets do not have to keep up with inflation. My income does. Our income last year rose several multiples of the inflation rate even at 2-4% interest rates even if our asset growth was flat. This year income growth will be even better (on a nominal basis) given 4-5% interest at a minimum.

[jldavid47]

Available this morning on Schwab:

46593LV63 - JP Morgan Chase Bank OH 5.45% CD 06/17/2024 Callable
949764AG9 - Wells Fargo Bank, Nt SD 5.25% CD 03/15/2024
61690U3B4 - Morgan Stanley Bank, UT 5.25% CD 03/15/2024

There are more non-callables in the 18-24 month range at 5.25% and some callables as high as 5.5% for 2 years.

[Montecfo]

Quote:

Originally Posted by imbatman New CD (DSN371986) - Fidelity has 5.4% 03/17/2023 settlement (Callable starting 03/17/2024, 1 Year) 10-Year Celtic Bank New CD (CCDCHN2) - ML has 5.5% (Callable starting 06/17/2023, 3 Months) 2-Year JPM

10 year CD but you are just begging them to give your money back in a worse market. I have heard people say "that's fine, I will find something good to buy then". Sure, but you will be in a different market, by definition, with lower rates.

No, thank you.

[Montecfo]

Quote:

Originally Posted by jldavid47 Yes, the war on savers is over (or so it seems). My assets do not have to keep up with inflation. My income does. Our income last year rose several multiples of the inflation rate even at 2-4% interest rates even if our asset growth was flat. This year income growth will be even better (on a nominal basis) given 4-5% interest at a minimum.

jldavid47, are you all in bonds? Not sure why you would call it a war on savers if you are mostly in equities (as most of us seem to be).

The higher rates are kind of a war on equities if you want to use that terminology. Virtually every time Fed speaks stocks fall.

[imbatman]

I'm not buying these, just sharing for purposes of market direction. Honestly my alternate approach was I bought a small position of 6.64% 15-year callable agencies instead. With my state/local tax rate, worth a bump more than that and still 2% more than my MM fund in the short-term until they are called. Sure, if rates go up to 7% then I lose, but if they go that high, this is just a small laddered position and we will have bigger problems at those rates ha.

[ShokWaveRider]

Logged on to Schwab this morning. ~5.25% seems more common now and ~5.5% for Callable. Life is getting interesting. I think they may be anticipating a 50bps hike in a couple of weeks.

While on the subject of Schwab, I had a long chat with a rep yesterday. He said, and he double checked, that one could buy a CD without any funds in their "Sweep" account, and as long as you do have funds by the settlement date all will be OK. So, if one buys a new issue CD and the settlement date is say 2 weeks away, as long as one has sold their prime MM fund by the day before the settlement date, all would be good. That saves putting funds into their low yield sweep account and missing out on a couple of weeks interest.

[Golden sunsets]

Ivy Savings Bank just introduced what they are calling an "Indexed Savings Account". It will automatically adjust on the first of each month to the 1 month T Bill rate, which is currently 4.75%. We have been placing our emergency fund money at Ivy Bank for the past 9 months or so in their "High Yield Savings Account" and most recently have been receiving a 4.25%. That account is still offerred. In the past that rate has been aggressively adjusted to be in the rate range offered by the most competitive banks. It will be interesting to see if they continue to be as aggressive with their HY rate, now that they are offering the Index Savings Account. At any rate the Customer Rep just changed the designation on our account to Index, so that we will receive the 4.75%. We could maintain both and just move the money back and forth depending on which has the better rate. But again the rep said all we would have to do is call in to change it back to the HY type of account.

PS They have been an easy bank to deal with. Their online platform works well and their transfer in and out timing is good. Ivy's B&M sister is Cambridge Savings Bank.

[Surewhitey]

Quote:

Originally Posted by jldavid47 Yes, the war on savers is over (or so it seems). My assets do not have to keep up with inflation. My income does. Our income last year rose several multiples of the inflation rate even at 2-4% interest rates even if our asset growth was flat. This year income growth will be even better (on a nominal basis) given 4-5% interest at a minimum.

+1 DW just got another 2% raise (another just 6 months ago @ 4%), 8.5% profit sharing and a 20+% bonus. Our spending went up $6k YOY mainly due to 3 weeks in Italy...I'll take it. We've also averaged in on 4.8% CD's as of late and plan on locking in 4-5 yr CD's from here going forward except for the 401k's in VTI type funds.

[dmpi]

Quote:

Originally Posted by ShokWaveRider While on the subject of Schwab, I had a long chat with a rep yesterday. He said, and he double checked, that one could buy a CD without any funds in their "Sweep" account, and as long as you do have funds by the settlement date all will be OK. So, if one buys a new issue CD and the settlement date is say 2 weeks away, as long as one has sold their prime MM fund by the day before the settlement date, all would be good. That saves putting funds into their low yield sweep account and missing out on a couple of weeks interest.

Schwab lack of a high-yield sweep account is making us do a lot of work! I've done it as you described and it does work. It's important because losing even one day of interest in a high-yield MM can make a 3-month T-bill trade unprofitable. The things to remember: Stocks take T+2 days to settle and Mutual funds take T+1 days to settle. I'm not sure how long it takes a bond or t-bill to settle, maybe someone else can answer this. The worse case when you screw this up is a margin fee, which of course I have done.

[jim584672]

Quote:

Originally Posted by dmpi Schwab lack of a high-yield sweep account is making us do a lot of work! I've done it as you described and it does work. It's important because losing even one day of interest in a high-yield MM can make a 3-month T-bill trade unprofitable. The things to remember: Stocks take T+2 days to settle and Mutual funds take T+1 days to settle. I'm not sure how long it takes a bond or t-bill to settle, maybe someone else can answer this. The worse case when you screw this up is a margin fee, which of course I have done.

T-Bills settle next day on the secondary market trades.

[Dtail]

Quote:

Originally Posted by ShokWaveRider Logged on to Schwab this morning. ~5.25% seems more common now and ~5.5% for Callable. Life is getting interesting. I think they may be anticipating a 50bps hike in a couple of weeks. While on the subject of Schwab, I had a long chat with a rep yesterday. He said, and he double checked, that one could buy a CD without any funds in their "Sweep" account, and as long as you do have funds by the settlement date all will be OK. So, if one buys a new issue CD and the settlement date is say 2 weeks away, as long as one has sold their prime MM fund by the day before the settlement date, all would be good. That saves putting funds into their low yield sweep account and missing out on a couple of weeks interest.

IIRC, Fidelity takes the settlement out of the high yield MM account and thus one doesn't have to keep funds in the lower (still 4%) sweep accounts.

[Car-Guy]

This afternoon, Schwab added 18mo non callable CD's for 5.4%. Get them while they are hot!

Seems clear (to me) we are going to see ~6% in another month or so. YMMV

[PlayinwithFIRE]

Forbright CD- minimum $1000
https://www.forbrightbank.com/consumer-online-cds/


12 month term- 5.12% (5.25% APY)

[disneysteve]

Ally is increasing to 3.6%.

[GenXguy]

Quote:

Originally Posted by disneysteve Ally is increasing to 3.6%.

I think you mean their savings account. I can get over 4 1/2% in my MM fund. I emptied my Ally savings. lol


Edit - confirmed my Vanguard Money Market 7 day SEC yield is 4.51%.

[Jackietime]

From Ally Bank today...

Your Money Market Account rate is increasing from 3.50% to 3.80% Annual Percentage Yield (APY) on all balance tiers. Your new APY goes into effect on 3/10/2023, and will appear in your account on 3/11/2023.