Best CD, MM Rates & Bank Special Deals Thread 2020 - Please post updates here

[Montecfo]

Complain to their regulator

That's the plan. Even if they are correct about ability to change terms, use of the "unlimited" and "at any time" language in the CD disclosures, with no reference to the account disclosures, is misleading.

 

[calmloki]

Montecfo's story sounds like last year's GTE Financial and their 3% add-on CD: they tried to change the terms and but ended up honoring them due to (I believe) Consumer Financial Protection Bureau complaints. If that is true I hope the CFPB can stay active and functional. This story suggests they may not:

https://www.cnbc.com/2020/03/02/supreme-court-to-hear-consumer-financial-protection-bureau-case.html

 

[Dtail]

Montecfo's story sounds like last year's GTE Financial and their 3% add-on CD: they tried to change the terms and but ended up honoring them due to (I believe) Consumer Financial Protection Bureau complaints. If that is true I hope the CFPB can stay active and functional. This story suggests they may not:

https://www.cnbc.com/2020/03/02/supreme-court-to-hear-consumer-financial-protection-bureau-case.html

Yup, that is why with these add on favorable CD's, it is best to get to the maximum FDIC insured sooner than later.

 

[njhowie]

Marcus (Goldman) is paying 1.7% for online savings.

Just lowered to 1.55%

 

[almost there]

Ally sav., still 1.50%.
Same as Navy Fed's 5 yr. (

 

[janniemac]

2.02% 2 yr cd

Am wrapping up 2 yr jumbo CD ($99,000+) with Hughes Federal Credit Union. Rates dropped today but maybe something to watch.

 

[sengsational]

Zeros went negative?

The one-month and three-month Treasury bill yields turned negative Wednesday.

 

[almost there]

Not seeing it. Post a link?

 

[njhowie]

Not seeing it. Post a link?

Check now at Fidelity - currently 6-month is negative 0.096%

 

[audreyh1]

The one-month and three-month Treasury bill yields turned negative Wednesday.

The currently trading ones are positive. They went negative interest rate briefly about a month ago, but have been at positive yields since.

 

[ShokWaveRider]

Why would one buy them if they have negative returns.

 

[copyright1997reloaded]

Why would one buy them if they have negative returns.

Because you have to hold them?

Or to play the "Take advantage of the FED" game. It goes like this:
1) Treasuries at auction can't be sold with a negative interest rate. Thus, the highest bid on a short term bill can be par (0%). So buy as many as you can.

2) Sell those on the open market at a negative rate (i.e. over par), capturing the difference as profit. The buyers are there because in some cases they have to hold them.

Isn't America great?

Here's a helper article. Yes, ZH has some crazy stuff but they also have interesting analysis that you won't find on MSM: https://www.zerohedge.com/markets/here-not-so-secret-treasury-trade-printing-millions-guaranteed-risk-free-profits-every-day

 

[sengsational]

Not seeing it. Post a link?

Sorry, I read it on a source that I mostly don't like how they treat the news, so didn't want to give them the business, hehe! I did (and do) trust that they got the basics of this story right.

 

[pb4uski]

I see some Ask prices with negative yields, but no Bid prices with negative yields. I can understand a trader buying them at a negative yield in hopes of selling them at a lower negative yield and capturing a capital gain, but I don't understand why any individual investor would buy them rather than just stash cash in an FDIC insured account.

 

[audreyh1]

Have you looked at what 3 month and 1 month treasury interest rates are quoted on yahoo, CNBC, etc? Not seeing your negative rates.

 

[Bongleur]

The one-month and three-month Treasury bill yields turned negative Wednesday.

OT for this thread, but does this mean that short term Treasury index funds must buy them? Hopefully they will buy at auction so "only" a zero rate? Maybe need a thread talking about this...

 

[jazz4cash]

Got enrolled for my extra $100. Its not great but i like doing business with Marcus.

https://www.marcus.com/us/en/saving...schl=emd&cid=DR20200121&lid=Jan100PromoHeader

I forgot all about this. I enrolled but I wasn't sure if I got my qualifying deposit in on time. I just noticed $100 hit my account on the 19th.

 

[Gotadimple]

American Express Bank changes interest rate on its high yield savings account from 1.6% to 1.5% effective today.

- Rita

 

[njhowie]

Federal Reserve scraps transfer limits on bank savings accounts

WASHINGTON (Reuters) - The U.S. Federal Reserve announced Friday that banks can now allow account holders to make an unlimited number of withdrawals and transfers from their savings accounts.

The central bank updated its rules to scrap the six-per-month limit that had previously existed for such accounts. The Fed said the move would help ensure people can access their funds "at a time when financial events associated with the coronavirus pandemic have made such access more urgent."

 

[Spock]

Federal Reserve scraps transfer limits on bank savings accounts

WASHINGTON (Reuters) - The U.S. Federal Reserve announced Friday that banks can now allow account holders to make an unlimited number of withdrawals and transfers from their savings accounts.

The central bank updated its rules to scrap the six-per-month limit that had previously existed for such accounts. The Fed said the move would help ensure people can access their funds "at a time when financial events associated with the coronavirus pandemic have made such access more urgent."

Place your bets on how long it takes banks to update their software to allow more transfers....

 

[njhowie]

Place your bets on how long it takes banks to update their software to allow more transfers....

If their developers and designers are worth their salt, it is simply a parameter in a database table somewhere that they just update, from 6 to say 9999.

 

[audreyh1]

Federal Reserve scraps transfer limits on bank savings accounts

WASHINGTON (Reuters) - The U.S. Federal Reserve announced Friday that banks can now allow account holders to make an unlimited number of withdrawals and transfers from their savings accounts.

The central bank updated its rules to scrap the six-per-month limit that had previously existed for such accounts. The Fed said the move would help ensure people can access their funds "at a time when financial events associated with the coronavirus pandemic have made such access more urgent."

Whoa! Surprise!

 

[copyright1997reloaded]

If their developers and designers are worth their salt, it is simply a parameter in a database table somewhere that they just update, from 6 to say 9999.

Coming from someone with 30+ years of experience...I would not be surprised in the least that many will have hard coded values.

FWIW, I teach this stuff - and go over situations like this with DBMS students (i.e. pro's and con's of having the value as a constant in a program or obtained via query.) But that is because I lived it (and have scars from it), I seriously doubt many learning the craft are taught these kinds of things.

ETA: By hard-coded, it could also be a compile-time value. But this would also require a program re-compile and thus the need for a testing cycle. Even a change to a value in a table would likely require a run though a system test cycle to ensure nothing else breaks (but would still be faster to implement).

 

[pb4uski]

That is interesting in that I recently set up my Navy Federal bank account with Vanguard and Vanguard sent to small deposits to my account and a withdrawal equal to the two small deposits combined. I later got a letter from Navy Federal saying that they did not allow transfers out from a share savings account to another financial institution based on the 6-transactions per month limit and that it should be on my checking account (but I don't have a checking account with them). So it sounds like the restriction will change.

 

[jazz4cash]

That is interesting in that I recently set up my Navy Federal bank account with Vanguard and Vanguard sent to small deposits to my account and a withdrawal equal to the two small deposits combined. I later got a letter from Navy Federal saying that they did not allow transfers out from a share savings account to another financial institution based on the 6-transactions per month limit and that it should be on my checking account (but I don't have a checking account with the
m). So it sounds like the restriction will change.

So did they allow the withdrawals or not? Did you have > 6 for the month?

I never knew they would not allow more than 6 withdrawals. I have exceeded the limit a time or two and it only resulted in a finger wag. I've seen financial institutions threaten to penalize account holder, impose a fee, or convert the account but never seen them say they would not allow you to get your funds.

It was a dumb rule anyway, interpreted differently at various banks as I recall.