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

[Gumby]

New year, new thread.

 

[swk7907]

Link to the 2022 Thread

 

[MichealKnight]

VMFXX.... my e-trade savings is paying 3.25% and I like being able to immediately transfer it to the broker-side in case I want to buy. but VMFXX as everyone knows pays noticeably more so i'nm thinking of moving a healthy chunk into that while I wait - heck, 4.2% is hardly a torturous wait. I have NO intention of doing this but I gotta ask.....

Looking at their website on this fund: The Record-Date is let's say... 12/30/22. The distribution payable date just says after - 1/3/23 this is consistent. I gotta believe it's not that simple - wouldn't people just put their money in a few days before record date, and cash out after distribution - if they wanted to be cute? Again my wish is to just park money there, until and unless "test the new lows" happens, or close. But I just got curious - why wouldn't people just do that for 1 week a money to get paid?

 

[audreyh1]

MM funds pay out dividend distributions based on your days in the fund. You can’t pull that trick.

If you sell before the end of the month you’ll be paid dividends immediately up to that date. If you buy during the month you’ll be paid a smaller amount than you would be for a whole month like a bank savings account does.

 

[MichealKnight]

Ok thanks so it's pro-rated . I guess I was equating it to the storm-chasers (I've read about people who just buy shares a day before DIV-EX....then sell....and figure they collected a freebie...I never understood it because many times, shares in high dividend stocks go down right afterward)....but yes this is MM not shares. Thanks I should have thought of that.

 

[Car-Guy]

MM funds pay out dividend distributions based on your days in the fund. You can’t pull that trick.

If you sell before the end of the month you’ll be paid dividends immediately up to that date. If you buy during the month you’ll be paid a smaller amount than you would be for a whole month like a bank savings account does.

You are absolutely correct, as usual. In addition, since MM rates can change frequently during a month, it's hard to know exactly how much you'll make in any given month. (If you really care to try and calculate it that close.)

 

[Birdie Num Nums]

Ally Bank savings account: paying 3.3%

 

[RetiredAt55.5]

Ally Bank savings account: paying 3.3%

minor quibble - they've paying 3.25% interest. The APY is 3.3%. Ally likes to list the APY's for all their rates.

 

[GenXguy]

Ally savings has been paying 3.3% APY since Dec 16th, so old news and not very impressive.

 

[mebden]

Bask Bank is at 3.950

 

[Car-Guy]

Over the past holiday weekend, Schwab only had one brokered CD available... This morning most maturities are available again (as we expected) They are still inverted (example, 1yr is 4.35% and 5 is only 3.75%). Personally, I still expect rates to climb a little more (bit by bit) and to remain inverted, most of the year.

 

[RetiredAndLovingIt]

Deal Summary: 12-month CD, 6.00% APY, $10k minimum deposit, new money.
Availability: 19 Central Iowa counties
Advantage Credit Union (Advantage CU) is starting 2023 off with a “New Year Savings Spectacular” – a limited-time 12-month CD earning 6.00% APY. (This is definitely a rate milestone: the last time I wrote about a 6% APY was 2008 and it was offered on a 60-month CD.)
https://www.depositaccounts.com/banks/advantage-cu-ia/offers/

 

[PaunchyPirate]

Deal Summary: 12-month CD, 6.00% APY, $10k minimum deposit, new money.
Availability: 19 Central Iowa counties
Advantage Credit Union (Advantage CU) is starting 2023 off with a “New Year Savings Spectacular” – a limited-time 12-month CD earning 6.00% APY. (This is definitely a rate milestone: the last time I wrote about a 6% APY was 2008 and it was offered on a 60-month CD.)
https://www.depositaccounts.com/banks/advantage-cu-ia/offers/

I don’t think I’d move to Iowa for it though.

 

[GenXguy]

Over the past holiday weekend, Schwab only had one brokered CD available... This morning most maturities are available again (as we expected) They are still inverted (example, 1yr is 4.35% and 5 is only 3.75%). Personally, I still expect rates to climb a little more (bit by bit) and to remain inverted, most of the year.

NFCU is 4.4% for 1 year, and 4.2% for 2 years clear out to 7 years.

Add 5 basis points to the rate if $100,000 minimum.

 

[RetiredAndLovingIt]

Deal Summary: 15-Month Certificate Special, 5.00% APY, $5k minimum deposit, new money.
Availability: Los Angeles County, California; more than 300 entertainment industry SEGs.
First Entertainment Credit Union (First Entertainment) is currently offering a 15-month Certificate Special earning an attractive 5.00% APY. The minimum opening deposit is $5k of new money, which is defined simply as funds not currently on deposit with First Entertainment; the cap is $5 million per member. The offer is scheduled to last until January 31, 2023.

https://www.depositaccounts.com/banks/entertainment-cu/offers/

 

[cbo111]

Well the new year has commenced, and I am still patiently waiting for a non-callable 5% rate for 5 years. Crazy. Ha!

 

[Car-Guy]

^^^^

5%+ is what many of us want... I think if JP raises rates another 1/2 point on ~Feb1 we will see it soon after. Just 1/4 and maybe not.

Of course 4.6 and 4.7 that we can get at Schwab today is pretty close.

 

[ShokWaveRider]

^^^^

5%+ is what many of us want... I think if JP raises rates another 1/2 point on ~Feb1 we will see it soon after. Just 1/4 and maybe not.

Of course 4.6 and 4.7 that we can get at Schwab today is pretty close.

5% + FDIC is what we want.

 

[Car-Guy]

5% + FDIC is what we want.

I wouldn't buy any CD's that are not insured by the FDIC. I don't recall even seeing any that were not covered.

 

[calmloki]

5% + FDIC is what we want.

And state tax free.

And a cookie.

 

[mn54]

And state tax free.

And a cookie.

and free turbotax!

 

[NomDeER]

Well the new year has commenced, and I am still patiently waiting for a non-callable 5% rate for 5 years. Crazy. Ha!

I think it's the 5 years that is pretty iffy. Short-term CDs at 5% are pretty likely this year. But, I think I'd rather keep my money available in my money market settlement account than buy very short-term CDs.

 

[njhowie]

^^^^

5%+ is what many of us want... I think if JP raises rates another 1/2 point on ~Feb1 we will see it soon after. Just 1/4 and maybe not.

Of course 4.6 and 4.7 that we can get at Schwab today is pretty close.

I already have some 5-year new issue non-callable Capital One CDs at 5% from the run up a couple months ago when the rates topped out thus far. I continue finding bargains in excess of 5% in the secondary market here and there. Yesterday I got 9-month 5.7% non-callable.

No matter what the rates are, folks always "want" more. Go back and you'll see a couple folks adamant that they want and will get 6% and won't buy before then.

Going forward, I believe we'll see 5% on the one year. Maybe we'll see it for 2-year, and possibly 3-year. Beyond that, will likely be the same as what we have today - falling off on longer term rates.

Bond market and yield curve continue to indicate investors do not believe these rates are going to be with us longer term.

If you really want to guarantee the yield, take some of what's available today. Again, just keep in mind where we've been for the past 10 years. The difference between 5.0% and 4.6%/4.7% is a non-issue in the bigger scheme of things. Can always buy more later if rates continue higher.

 

[njhowie]

I think it's the 5 years that is pretty iffy. Short-term CDs at 5% are pretty likely this year. But, I think I'd rather keep my money available in my money market settlement account than buy very short-term CDs.

Bingo!

That's the way to do it. Remember the constant drum beat the past couple years "Cash is trash". Don't hear that anymore, do we? Cash is once again king.

 

[ShokWaveRider]

And state tax free.

Not an issue in Florida!