I'd like to get some of your knowledgeable opinions.
I hold a large amount of cash, about $600,000. I do this because, if the right opportunity arises, I may buy a new home before selling the current one, therefore not having to mess around with a mortgage and the associated fees as well as not having to move twice.
I now have $250k at Ally (max FDIC insured amount - I do not want a joint account) and the rest in MM funds at my broker, which are paying about 40 basis points. I am considering opening another account with a different online bank to get the current 1.5% interest rate. But it's a hassle - more paperwork, emails, etc.
So, the question is - what are the chances the online banks lower their interest rates for a savings accounts to something less than 1%, in which case I may not want to make the change? What other decent options might be available to me?
I hold a large amount of cash, about $600,000. I do this because, if the right opportunity arises, I may buy a new home before selling the current one, therefore not having to mess around with a mortgage and the associated fees as well as not having to move twice.
I now have $250k at Ally (max FDIC insured amount - I do not want a joint account) and the rest in MM funds at my broker, which are paying about 40 basis points. I am considering opening another account with a different online bank to get the current 1.5% interest rate. But it's a hassle - more paperwork, emails, etc.
So, the question is - what are the chances the online banks lower their interest rates for a savings accounts to something less than 1%, in which case I may not want to make the change? What other decent options might be available to me?