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09-15-2020, 07:34 AM
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#41
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Thinks s/he gets paid by the post
Join Date: Mar 2004
Posts: 2,343
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Quote:
Originally Posted by pb4uski
^^^ You make me sad. I wish that I had thought to do that for me and DW.
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I almost hesitated because the rates were still at 3.5 to 3.7% but like I said I looked at it as a conservative small "investment" for myself and my wife. I'll be able to put in up to 500K with POD.
I hope GTE continues to do well for at least the next 4 years while we take advantage of their promo. They'll be paying out an extra (ouch) 2%+ on all that added money. GTE's current 5 year certificate is at .40%.
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I look to the present moment because that's where I live my life.
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09-15-2020, 11:25 AM
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#42
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Recycles dryer sheets
Join Date: Apr 2004
Posts: 137
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Pen Fed was great years ago but has fallen to the bottom on CD rates. I had a 5 year cd ladder and have been withdrawing each year. This year will be the final good bye.
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09-15-2020, 12:43 PM
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#43
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2018
Location: Tampa
Posts: 11,298
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Quote:
Originally Posted by MJ
I almost hesitated because the rates were still at 3.5 to 3.7% but like I said I looked at it as a conservative small "investment" for myself and my wife. I'll be able to put in up to 500K with POD.
I hope GTE continues to do well for at least the next 4 years while we take advantage of their promo. They'll be paying out an extra (ouch) 2%+ on all that added money. GTE's current 5 year certificate is at .40%.
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Did the same in the IRA and Taxable space. I would load even more in there past the NCUA limit, but don't know what the financial effect will be on GTE with all these 3%+ payments.
__________________
TGIM
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09-16-2020, 03:21 PM
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#44
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Thinks s/he gets paid by the post
Join Date: Jun 2006
Location: Central, Ohio, USA
Posts: 2,635
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Quote:
Originally Posted by jazz4cash
Yes....I'm savoring those certificates!
I even went back and perused some of the threads where they were discussed. You started one of the first threads and I wrote the last post. There was quite a bit of drama surrounding the way they were offered. They tried to use the promo to encourage renewal of maturing CDs. Is it too much to hope for Penfed to offer a promotion to keep many of us from taking our money and running? Or, maybe Penfed is savoring the date they no longer have to pay 5%! Apparently it was a $240M offering.
https://www.early-retirement.org/for...fer-51751.html
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I have over $200K some of which is in 5% (plus almost 10 years of accrued interest) all set to move to NFCU automatically by a PENFED option at maturity. Will let you know if PENFED offers me a deal to leave that $200K there at PENFED. Frankly, doubt it but who knows as I think they will see very few rollovers at the current CD rates at PENFED. Better, but not by much, at NFCU.
__________________
Vietnam Veteran, CW4 USA, Retired 1979
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09-16-2020, 03:27 PM
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#45
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Recycles dryer sheets
Join Date: Nov 2013
Posts: 233
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Quote:
Originally Posted by OAG
I have over $200K some of which is in 5% (plus almost 10 years of accrued interest) all set to move to NFCU automatically by a PENFED option at maturity. Will let you know if PENFED offers me a deal to leave that $200K there at PENFED. Frankly, doubt it but who knows as I think they will see very few rollovers at the current CD rates at PENFED. Better, but not by much, at NFCU.
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Would you mind providing some details regarding how you set up the auto transfer to NFCU?
Also are your funds in a IRA CD account or regular CD account?
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09-16-2020, 05:46 PM
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#46
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 38,140
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You can set up a transfer to an external account when a CD matures.
__________________
Retired since summer 1999.
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09-16-2020, 06:14 PM
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#47
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Aug 2016
Location: Northern Virginia
Posts: 7,586
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Well with the Fed promising near-zero short-term rates till end of 2023, my 3.35% CDs with Signal Federal from last year are looking good, even though they reneged on my ability to add to them at anytime.
Wish I had done more. Meantime I think I'll be primarily in short-term bond funds with my expiring CDs-wheee they were before rates rose.
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09-16-2020, 06:19 PM
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#48
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Recycles dryer sheets
Join Date: Jun 2011
Posts: 297
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Quote:
Originally Posted by Koolau
No idea of current rates, but you could look into SPDAs (Single Premium Deferred Annuity.) Years ago, I beat current CD rates with a SPDA. The SPDA had a short term (3 years.) IIRC, I beat CDs by 1%. Penalties for early withdrawal were fairly severe as I recall, so caution advised. Just a thought so YMMV.
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I recently opened a DYIA at 3.45% for 5 yrs. Taxes on the interest is deferred and after 5 years you can cash out just like CD.
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09-16-2020, 07:33 PM
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#49
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Nov 2010
Location: Sarasota, FL & Vermont
Posts: 36,364
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What is a DYIA? What company was it with? 3.45% for 5 years sounds pretty good.
__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.
Retired Jan 2012 at age 56
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09-16-2020, 07:37 PM
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#50
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Aug 2004
Location: Laurel, MD
Posts: 8,327
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Quote:
Originally Posted by audreyh1
You can set up a transfer to an external account when a CD matures.
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I don’t have that option since my CD is IRA. I guess because additional paperwork is required for an IRA transfer. Anyway I would prefer to wait and see what new rates will be. Don’t forget, these promo rates were a follow up to a promo three years before and it was structured as an incentive to keep funds from transferring out of PFCU. Maybe they’ll do it again but not likely.
__________________
...with no reasonable expectation for ER, I'm just here auditing the AP class.Retired 8/1/15.
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09-16-2020, 08:40 PM
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#51
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Recycles dryer sheets
Join Date: Jun 2011
Posts: 297
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Quote:
Originally Posted by pb4uski
What is a DYIA? What company was it with? 3.45% for 5 years sounds pretty good.
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Sorry I meant MYGA (not DYIA). MYGA stands for "Multi Year Guaranteed Annuity" (CD like product from Insurance Company). I got it from here: https://www.stantheannuityman.com/myga-rates
Note It's as good as the strength of the insurance company. I opened only a small amount ($10K) to test it out. This is my first MYGA
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09-16-2020, 08:41 PM
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#52
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Recycles dryer sheets
Join Date: Apr 2004
Posts: 137
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I have transferred IRAs and Roth IRAs numerous times.
1 rollover a year or as many transfers as you want.
For a transfer just notify the receiving facility, they will have you fill out a transfer form, specify the CD date maturity date. If you are new to this facility you will also fill out an IRA account form.
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09-16-2020, 08:58 PM
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#53
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Recycles dryer sheets
Join Date: Jun 2014
Posts: 193
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Quote:
Originally Posted by retired1
Sorry I meant MYGA (not DYIA). MYGA stands for "Multi Year Guaranteed Annuity" (CD like product from Insurance Company). I got it from here: https://www.stantheannuityman.com/myga-rates
Note It's as good as the strength of the insurance company. I opened only a small amount ($10K) to test it out. This is my first MYGA
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I have bought a few MYGAs in the past few months, the latest being Americo's 5-yr MYGA at 3.2%. Americo is rated A by AM Best.
Another caveat about MYGAs is their punishing early withdrawal penalties. Buy a MYGA only if you are certain you won't need the entire sum of money until its maturity.
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09-16-2020, 09:34 PM
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#54
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Aug 2004
Location: Laurel, MD
Posts: 8,327
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While it’s true the early withdrawal penalties (aka surrender charges and market value adjustments) are generally severe for MYGA products, most of the ones I’ve reviewed permit 10% withdrawals per year without penalty. That’s actually better than a CD.
__________________
...with no reasonable expectation for ER, I'm just here auditing the AP class.Retired 8/1/15.
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09-17-2020, 04:29 AM
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#55
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jan 2018
Location: Tampa
Posts: 11,298
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Quote:
Originally Posted by retired1
Sorry I meant MYGA (not DYIA). MYGA stands for "Multi Year Guaranteed Annuity" (CD like product from Insurance Company). I got it from here: https://www.stantheannuityman.com/myga-rates
Note It's as good as the strength of the insurance company. I opened only a small amount ($10K) to test it out. This is my first MYGA
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Yup comes down to the credit rating. Your yield appears to be fairly high.
__________________
TGIM
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09-17-2020, 08:50 AM
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#56
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Recycles dryer sheets
Join Date: Jun 2011
Posts: 297
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Quote:
Originally Posted by catotx
I have bought a few MYGAs in the past few months, the latest being Americo's 5-yr MYGA at 3.2%. Americo is rated A by AM Best.
Another caveat about MYGAs is their punishing early withdrawal penalties. Buy a MYGA only if you are certain you won't need the entire sum of money until its maturity.
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Yes Agreed. This is first MYGA I hesitantly (has word Annuity in it) bought.
Whether MYGA or CD, once I open them I forget about them until I get a reminder at Maturity. Just like CDs, you've to shop for best rates for MYGA. Let me know which site you use for MYGA rates.
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09-17-2020, 09:13 AM
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#57
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Jun 2003
Location: Florida's First Coast
Posts: 7,721
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I would stick with A and above rating for the insurance companies. There have been a lot of insurance claims lately.
I use this one for rates.
https://www.immediateannuities.com/deferred-annuities/
__________________
"Never Argue With a Fool, Onlookers May Not Be Able To Tell the Difference." - Mark Twain
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09-17-2020, 09:17 AM
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#58
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Recycles dryer sheets
Join Date: Jun 2014
Posts: 193
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Quote:
Originally Posted by retired1
Yes Agreed. This is first MYGA I hesitantly (has word Annuity in it) bought.
Whether MYGA or CD, once I open them I forget about them until I get a reminder at Maturity. Just like CDs, you've to shop for best rates for MYGA. Let me know which site you use for MYGA rates.
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I use Blueprint Income https://www.blueprintincome.com/fixed-annuities
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09-17-2020, 09:30 AM
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#59
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Recycles dryer sheets
Join Date: Jun 2011
Posts: 297
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09-17-2020, 09:54 AM
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#60
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Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Join Date: Aug 2004
Location: Laurel, MD
Posts: 8,327
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I like that blueprint income site. One thing I never considered is the withdrawal policy for MYGAs wrt RMDs. I many the permit 10% withdrawals on the anniversary date, some that permit accumulated interest to be withdrawn, and at least one so far allows RMD withdrawals w/o penalty. I'll need to study that some more but I'm a long ways from RMDs.
__________________
...with no reasonable expectation for ER, I'm just here auditing the AP class.Retired 8/1/15.
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