Parking Cash

[thisisme543]

Hello,

We are in the process of buying a new home and selling our current home. Our current house will close after the new home purchase and we will not have the funds available to use as part of our down payment on the new home, so we're pulling from savings and brokerage accounts for the purchase.

We'll have about $250k following the sale that I plan to put about $100k into general savings at about 4% interest, but would like to get a little better returns on the remaining $150k. Does anyone have any recommendations on where we should park the money that isn't too risky but will earn better than 4%? I'd like to have it relatively liquid while we contemplate whether we could use it for a business purchase.

 

[Sunset]

I think many money market funds (which are pretty safe) earn 4.5% or better.

Otherwise 6 month or less treasuries are earning 4.7% to 5.7%

 

[DrRoy]

The MM fund at Fidelity is paying 4.76%.

 

[foxcreek9]

Bask bank is paying 4.75% for their regular savings account


https://www.baskbank.com/products/interest-savings-account

 

[VanWinkle]

Good replies, I have my 300K house money in both Vanguard Treasury money market and Bask Bank. Interest on both accounts is at 4.75%, Getting ready to spend it all (Blow that Dough) in mid June on a new home build in Tennessee. House is finally near completion after 7 months.

VW

 

[Graybeard]

VMFXX Vanguard Federal Money Market Fund 7 day SEC yield is 5.01% C as of 05/11/2023.

C-AVERAGE ANNUALIZED INCOME DIVIDEND OVER THE PAST 7 DAYS

 

[xlf11]

Juno 5% for upto $50k, CIT savings 4.8% and 11month no-penalty CD 4.85% (no limit).

 

[Montecfo]

When you can earn 5% or thereabouts risk-free, that seems to be the ticket.

CFG Bank HY savings 5.02%.

 

[FlaMariner]

5.25% here.....Dominion Energy.

https://investors.dominionenergy.co...on-energy-reliability-investment/default.aspx

 

[latexman]

5.25% here.....Dominion Energy.

I'm curious, do you know what they were paying when the Fed was at 0%?

 

[RxMan]

Have you considered I-Bonds for part of this money?

 

[FlaMariner]

I'm curious, do you know what they were paying when the Fed was at 0%?

I do not know what is was paying then....thinking that was during the unpleasantness around 2008?

I do know that in 12/21 it was paying 1.25%.

 

[copyright1997reloaded]

Good replies, I have my 300K house money in both Vanguard Treasury money market and Bask Bank. Interest on both accounts is at 4.75%, Getting ready to spend it all (Blow that Dough) in mid June on a new home build in Tennessee. House is finally near completion after 7 months.

VW

TN is on my short list for possible moves. What (in general) part of the state are you moving to and what sold you on that area? Thanks.