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Old 01-18-2024, 05:41 AM   #61
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Originally Posted by G-Man View Post
I'm confused. Was this a price mistake?
Maybe. Probably. Still no call on it.

I've had many instances where I've gotten 8% to 10% short term from a secondary market purchase. When you have just a few months to maturity, any amount the price is lowered, it gets magnified to a greater extent due to the short period remaining. So, for instance, in this case, with only 2 months to maturity, this CD was priced at 98 - two points below face value. The capital gain portion just going from 98 to 100 gives a bit more than 12%. Now, this CD itself has a 5.35% yield. Combine the two, plug into the price yield calculator and you get a smidge over 18%.

I've had instances in the past where I'd get a call on just a difference of $10 and they'd say "The dealer made a typo". Other times, the dealer doesn't want to hassle with it, just accepts they made a mistake, and eats the loss. One time, on a municipal bond purchase, I received a call because the dealer did not own the bonds sold to me...as a result he was short (if that's even imaginable with bonds). In that case, which was unusual, Fidelity said the dealer was willing to pay me the fair value price to give them back, which was a few points above what I paid.

I'm guessing that in this case, maybe the dealer meant to enter the price as 99.8 and he put 98 instead. But, so long as the call doesn't come, it's a win.
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Old 01-18-2024, 06:53 AM   #62
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Doesn't matter. If you were willing to take a two month CD at 5.1%, why wouldn't you choose the equivalent one yielding 18%? You'd be in the same place in two months, but with more than 3x the return generated in the same amount of time.
I was trying to be funny ... guess I should have put a in my comment
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Old 01-18-2024, 07:12 AM   #63
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I bit on Discover Bank 1-yr CD at 5.2%. The 5K was wallowing in their Hi-Yield at 4.35%.

Now on to the local bank wallowings...
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Old 01-18-2024, 08:12 AM   #64
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Amazing how fast they dropped CD rates,in anticipation of Fed pivot.
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Old 01-18-2024, 11:50 AM   #65
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Amazing how fast they dropped CD rates,in anticipation of Fed pivot.
As predicted. The market anticipates cuts. If you waited till they went full dove in December the best rates were gone.
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Old 01-18-2024, 12:42 PM   #66
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Amazing how fast they dropped CD rates, in anticipation of Fed pivot.
Yes. The “What if they raise rates again?” Crowd had their lunch eaten by somebody else.
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Old 01-18-2024, 04:45 PM   #67
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I was trying to be funny ... guess I should have put a in my comment
I got it, and laughed when I read it !!
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Old 01-18-2024, 04:51 PM   #68
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Marcus has a 14-month CD at 5.4%. It pretty much splits the difference between their 12-month and 18-month.
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Old 01-22-2024, 07:40 PM   #69
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Marcus has a 14-month CD at 5.4%. It pretty much splits the difference between their 12-month and 18-month.
Do you know if Marcus runs credit check to open a CD? I googled and I see that they don't do for savings accounts, so I hope I don't need to unfreeze my credit reports and avoid a hassle.

TIA!
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Old 01-22-2024, 07:58 PM   #70
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No credit checks for their CDs
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Old 01-23-2024, 04:27 PM   #71
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Boy, Ally is dropping CD rates fast. They dropped several on 1/12, and raised one. They dropped several again on 12/19 and raised one.
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Ally Bank CD Rates as of 1-19-2024 - 1/19/2024
Ally lowers the rates of 7 CDs & raises the rate of 1 CD. Ally Bank CD rates (APY) as of 1-19-2024 include: 6-month @ 5.05% (was 5.00%) 8-month Select @ 5.00% (was 5.15%) 9-month @ 5.15% (no change) 11-month No-Penalty @ 4.35% (was 4.50%) 12-month @ 5.00% (was 5.15%) 14-month Select @ 5.10% (was 5.25%) 18-month @ 4.80% (was 4.95%) 3-year @ 4.15% (was 4.25%) 5-year @ 4.00% (was 4.10%) For more information regarding all Ally Bank CDs see: https://www.ally.com/bank/cd-rates/ https://www.ally.com/go/bank/8m-select-cd/ https://www.ally.com/go/bank/14m-select-cd/ (solarado…Thank you for your earlier update regarding the 11-month No-Penalty CD rate change)

Ally Bank CD Rates as of 1-12-2024 - 1/12/2024
Ally lowers the rates of 4 CDs & raises the rate of 1 CD. Ally Bank CD rates (APY) as of 1-12-2024 include: 6-month @ 5.00% (no change) 8-month Select @ 5.15% (was 5.25%) 9-month @ 5.15% (was 5.05%) 11-month No-Penalty @ 4.50% (was 4.55%) 12-month @ 5.15% (was 5.25%) 14-month Select @ 5.25% (no change) 18-month @ 4.95% (was 5.15%) 3-year @ 4.25% (no change) 5-year @ 4.10% (no change) For more information regarding all Ally Bank CDs see: https://www.ally.com/bank/cd-rates/ https://www.ally.com/go/bank/8m-select-cd/ https://www.ally.com/go/bank/14m-select-cd/
https://www.depositaccounts.com/banks/ally-bank.html

I have several CDs maturing in early and mid-Feb so I have been watching this closely. It’s unusual for Ally to change rates that frequently.

You get a 0.05% additional rate as a bonus if you renew into a CD. I’ve already changed renewal instructions several time. I signed up for notifications on Ally from deposit accounts.com.
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Old 01-24-2024, 07:55 AM   #72
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Boy, Ally is dropping CD rates fast. They dropped several on 1/12, and raised one. They dropped several again on 12/19 and raised one. https://www.depositaccounts.com/banks/ally-bank.html

I have several CDs maturing in early and mid-Feb so I have been watching this closely. Itís unusual for Ally to change rates that frequently.

You get a 0.05% additional rate as a bonus if you renew into a CD. Iíve already changed renewal instructions several time. I signed up for notifications on Ally from deposit accounts.com.
I have less than 1k there now, I cashed in all of my no-penalty CD's when rates were higher (mostly went to Nasa FCU).

I will keep the account open (as I've done in past years) to wait for the day they need funds again (and offer good deals).
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Old 01-24-2024, 08:41 AM   #73
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Yes, Ally offers good deals often enough to keep some funds there. I loaded up on some of their best deals in Dec, but even more went to Synchrony. Synchrony has also dropped their best deals. Most notably the 15 month 5.5% CD is now 5.2%.
Quote:
Synchrony Bank CD Rates as of 1-23-2024 - 1/23/2024
Synchrony lowers the rates of 8 CDs. Synchrony Bank CD rates (APY) as of 1-23-2024 include: 6-month @ 5.00% (was 5.25%) 9-month @ 5.30% (no change) 11-month NP @ 4.05% (was 4.50%) 12-month @ 5.00% (was 5.30%) 13-month @ 5.00% (was 5.25%) 14-month @ 5.00% (was 5.25%) 15-month @ 5.20% (was 5.50%) 16-month @ 5.00% (was 5.25%) 18-month @ 5.00% (was 5.25%) 19-month @ 4.50% (no change) 24-month @ 4.40% (no change) 36-month @ 4.30% (no change) 48-month @ 4.00% (no change) 60-month @ 4.00% (no change) For more information regarding all Synchrony Bank CDs see: https://www.synchronybank.com/banking/ratesandterms
There is a Dec and early Jan pattern where several institutions offer their best CD deals. I guess in anticipation of new money coming available.
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Old 01-24-2024, 08:59 AM   #74
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Yes, Ally offers good deals often enough to keep some funds there. I loaded up on some of their best deals in Dec, but even more went to Synchrony. Synchrony has also dropped their best deals. Most notably the 15 month 5.5% CD is now 5.2%.


There is a Dec and early Jan pattern where several institutions offer their best CD deals. I guess in anticipation of new money coming available.
I just slid in on the 15 month Synchrony 5.5% CD - I hope. Opened the CD on the 16th and have 15 days to fund it at the 5.5% rate. Funds should be at Synchrony tomorrow from a 2 month T-bill that matured on the 23rd. Fidelity has been great at getting ACHs out fast.
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Old 01-24-2024, 09:08 AM   #75
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My experience with Fidelity transfers is that if you initiate transfer before market closing time it goes out that day, and both Synchrony and Ally will notify you funds available later in the day. I’ve transferred from Fidelity and bought CDs same day.

Also funds from maturing T-Bills seem to be available first thing at Fidelity, so you can do all this same day.
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Old 01-24-2024, 01:27 PM   #76
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My experience with Fidelity transfers is that if you initiate transfer before market closing time it goes out that day, and both Synchrony and Ally will notify you funds available later in the day. I’ve transferred from Fidelity and bought CDs same day.

Also funds from maturing T-Bills seem to be available first thing at Fidelity, so you can do all this same day.
Yep. Just got off the phone and did the online transfer at Synchrony. Verified that they will honor the 5.5%APY as I'm within the 15 day funding window - even though when transferring from Synchrony HI-Yield to CD it shows 5.2% on the funding screen.
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Old 01-25-2024, 08:57 PM   #77
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I prefer this website for the latest CD rates: https://www.investopedia.com/best-cd-rates-4770214

I don't see forum members talking about 5% CD for 2 or 3 years from DollarSavingsDirect or My Savings Direct (both are under the same parent Emigrant Bank). The rate is tempting, but I don't know how hard/easy it is to open a new account with them and move money. If DollarSavingsDirect or My Savings Direct fall under riskier FDIC insured banks then I would rather avoid them than earn a few extra dollars. Would anyone know?

That's one of the reasons I have started to avoid CU's. So much hassle to open a membership account and then a CD account plus limited amounts of money one can transfer in or out. One local FCU offers 5.61% 12-month CDs, but it wants to perform a hard pull on my credit history through TransUnion in order to become a member. Uhmm, I don't think so. I'll try to open a 14-month 5.40% CD at Marcus instead.
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Old 01-25-2024, 09:22 PM   #78
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Anybody know anything about UFB Direct (via Axos Bank)? I was helping a friend get his finances straight, and as part of the plan I told him to open a HYSA. The plan also involves opening a Schwab brokerage account and getting his many 401Ks rolled over to a single IRA at Schwab. I told him I use Ally for my HYSA. He chose UFB Direct. So when I look at their site I see a surprising 5.25% APY (Ally is giving me 4.35%). I'm not into chasing rates and am happy with Ally but I was surprised by nearly a 1% difference. Here's what I see on their site: https://www.ufbdirect.com/savingsacc...YaAjt-EALw_wcB
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Old 01-25-2024, 11:24 PM   #79
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Anybody know anything about UFB Direct (via Axos Bank)? I was helping a friend get his finances straight, and as part of the plan I told him to open a HYSA. The plan also involves opening a Schwab brokerage account and getting his many 401Ks rolled over to a single IRA at Schwab. I told him I use Ally for my HYSA. He chose UFB Direct. So when I look at their site I see a surprising 5.25% APY (Ally is giving me 4.35%). I'm not into chasing rates and am happy with Ally but I was surprised by nearly a 1% difference. Here's what I see on their site: https://www.ufbdirect.com/savingsacc...YaAjt-EALw_wcB
I'm not a Schwab customer, but I've been saving this post from an Early-Retirement member just because . Think it's still valid, so get your friend some extra bucks if they're joining Schwab:
*********************************************
Old 03-24-2022, 06:28 AM #31
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I use this myself and recommend it to my ex, since she is too busy to manage. We both use the Schwab Int Advisor (their version of Robo account). I expect to convert mine to income in another few years. painless and effortless. I like the auto-rebalancing to smooth the investing ride.

Feel free to pass along a recommendation code, it will get your friend extra money. Does nothing for me.

https://www.schwab.com/public/schwab...=REFER2XZGGM9H
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Old 01-26-2024, 06:35 AM   #80
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Ally does it again! Third CD rates drop within 2 weeks. I guess they have too many customers/deposits to too much money coming in.

I turned off renewal on some CDs maturing soon and will buy T-bills instead.

I’m sure glad I signed up for notifications from depositaccounts.com! Very timely as I already had an autoroll on the Monday T-bill auction and added to it. I maintain strict dates on my T-bill purchases.

Quote:
Ally Bank CD Rates as of 1-26-2024
RichardW | 4 hours ago

Ally lowers CD rates for the third time in 14 days.
This time Ally lowers the rates of 6 CDs.
Ally Bank CD rates (APY) as of 1-26-2024 include:
6-month @ 5.05% (no change)
8-month Select @ 5.00% (no change)
9-month @ 4.95% (was 5.15%)
11-month No-Penalty @ 4.25% (was 4.35%)
12-month @ 4.90% (was 5.00%)
14-month Select @ 5.00% (was 5.10%)
18-month @ 4.65% (was 4.80%)
3-year @ 4.00% (was 4.15%)
5-year @ 4.00% (no change)
For more information regarding all Ally Bank CDs see:
https://www.ally.com/bank/cd-rates/
https://www.ally.com/go/bank/8m-select-cd/
https://www.ally.com/go/bank/14m-select-cd/
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