Best CD, MM Rates & Bank Special Deals Thread 2023 - Please post updates here

[lordjust]

I hope this is not a sign of what's to come, one of my credit unions who offer some good promotions has dropped their IRA Certificate rates to 1% and below. Their regular share certificates are still between 3-4%.
I have 3 CD's with them all maturing this month at 4%+ so I called to see what's going on and there was no explanation or interest in keeping my account, just an apology. They did run a special 2-3 months back for 6% for 18 months if I remember correctly so maybe they were so swamped with IRA deposits that they simply don't need to offer any deals right now. My money is now in the process of moving on to Nasa FCU and Alaska for 5%+ offers.

I jumped on that offer and am obviously a member ... that isnt the only cu that has significantly lower rates.

https://www.priorityonecu.org/savings-rates <-- super low too
alliant <--- 18 month 5.15 in case thats better for you than nasa

 

[latexman]

Fido is vastly superior in this regard... Funds sitting in SPAXX (4.73%) or FCZXX (4.83%) until the order settles.

Meaning that Fidelity takes funds from a Money Market account and Schwab does not without client intervention.

It's a manual process at Schwab
- order the CD
- check the settlement date (provided in the online confirmation)
- move money from the Schwab MMF to your brokerage (post-tax/pre-tax) account before the settlement date.

It is one more step that can be done on the same day you order the CD.

Agree, Fidelity is "vastly superior in this regard". Less work for moi! It's a fundamental advantage for Fido.

 

[Livefree]

I have a tax related question on a brokered CD.


i purchased a 2 year CD from Fidelity that pays out semi-annually (Sept and March.)


Will I be taxed on just the Sept payout this year, and the March payout on next years taxes? Or is it all taxed in this year?

 

[audreyh1]

With CDs you are taxed on the interest you are actually paid each year, not on future interest.

 

[Car-Guy]

I have a tax related question on a brokered CD.


i purchased a 2 year CD from Fidelity that pays out semi-annually (Sept and March.)


Will I be taxed on just the Sept payout this year, and the March payout on next years taxes? Or is it all taxed in this year?

If it's bought in an IRA, the interest is tax deferred until it's withdrawn. Which could be decades.

 

[freedomatlast]

NASA Federal Credit Union has 9 month CD's at 5.5%

 

[copyright1997reloaded]

Northern Bank Direct 15-month CD, 5.50% APY

I just opened one of these: Northern Bank Direct, 15-month CD, 5.50% APY and will be using money I have/had at Ally in a no-penalty CD.

Here's a write up on the deal: https://www.depositaccounts.com/banks/northern-bank-direct/offers/#comments.

One note - I already had an account there (Northern Bank) where I was keeping a small but enough $ to keep it open. I was able to use the web page discussed in the article to open the new CD. Looking at the comments, they seem to be quite backed up on account openings requiring human intervention, so YMMV.

 

[njhowie]

I have a tax related question on a brokered CD.


i purchased a 2 year CD from Fidelity that pays out semi-annually (Sept and March.)


Will I be taxed on just the Sept payout this year, and the March payout on next years taxes? Or is it all taxed in this year?

It's taxed in the year you receive the interest.

 

[Chuckanut]

I jumped on that offer and am obviously a member ... that isnt the only cu that has significantly lower rates.



https://www.priorityonecu.org/savings-rates <-- super low too

alliant <--- 18 month 5.15 in case thats better for you than nasa

There is a credit union near me that seems to think it is in the same league as the Big Four Banks. CD rates top out at under 3%. They can keep their rates and I will keep my money - somewhere else.

 

[Car-Guy]

There is a credit union near me that seems to think it is in the same league as the Big Four Banks. CD rates top out at under 3%. They can keep their rates and I will keep my money - somewhere else.

Probably for members of the CU that don't have a brokerage account and/or don't understand broker CD's.

 

[Sunset]

Agree, Fidelity is "vastly superior in this regard". Less work for moi! It's a fundamental advantage for Fido.

Vanguard is like this as well, automatically taking money from money market settlement account for the new bond/cd/treasury bill when purchase time comes around..

 

[RetiredAndLovingIt]

NASA Federal Credit Union has 9 month CD's at 5.5%

They also have 15 month 5.3% and 4.6% 49 month.

Global (Alaska) has 5% for 36 and 47 month terms (IRA CD's) but be aware that they don't allow penalty free withdrawal of reinvested dividends which some credit unions do. You can set future dividends to post to your savings account for easy access though. Pulling these dividends out to reinvest at higher rates have worked well for me in the last 6 months since rates keep climbing.
I'm thinking it's now time to start looking at longer terms though.

 

[JohnDoe]

Anyone still holding out for 4.6+ on a 5 year non-callable CD?

 

[pb4uski]

Agree, Fidelity is "vastly superior in this regard". Less work for moi! It's a fundamental advantage for Fido.

+1 that is the one thing that I hate about Schwab. Luckily, I have so few transactions that it is only a minor PITA.

 

[pb4uski]

Anyone still holding out for 4.6+ on a 5 year non-callable CD?

I see several 4.6% non-callable new issue CDs at Schwab. 4.6% is ok, but 5% would get me more excited.

 

[ShokWaveRider]

I see several 4.6% non-callable new issue CDs at Schwab. 4.6% is ok, but 5% would get me more excited.

MM is getting 5.05% now. Rates are not going down anytime soon, maybe ~1 year. Plenty of time for the current financial turmoil to calm down, in the meantime 5% is good.

 

[JohnDoe]

I see several 4.6% non-callable new issue CDs at Schwab. 4.6% is ok, but 5% would get me more excited.

Looks like fidelity only has 4.5.

 

[harley]

I had a 3 year CD at Ally mature today. I was planning on rolling it over, but the new rate is just .25% higher than the MM rate. So I rolled it into the money market instead, for the time being. Still hoping for some higher longer term rates, but my track record on these types of decisions isn't the best. If MM rates start dropping I'll dump the money into the best longer term CD I can find at the time.

 

[Another Reader]

OK, this is getting stupid. Bank of America and Wells Fargo offer CDs over 5 percent for 6, 9 and 12 months at the Big Three brokers. Too Big to Fail competing with the little banks with weak foundations...

 

[jldavid47]

New non-callable 1 year CD yielding 5.2% available at Schwab this morning.

 

[Gotadimple]

OK, this is getting stupid. Bank of America and Wells Fargo offer CDs over 5 percent for 6, 9 and 12 months at the Big Three brokers. Too Big to Fail competing with the little banks with weak foundations...

Big and Little banks offer CDs through brokers at higher rates, and they always have. It's one more outlet for getting cash in so they can lend it out.

- Rita

 

[Gotadimple]

American Express increases the rate on their high yield savings account to 3.9% effective 5/16. 12-month CDs are the sweet spot there at 4.25%, all other CD terms are lower.

- Rita

 

[Montecfo]

Anyone still holding out for 4.6+ on a 5 year non-callable CD?

I'd need closer to 5 for 5 to increase my investment.

 

[DrgLrd]

12-month CDs are the sweet spot there at 4.25%, all other CD terms are lower

Discover looking better

 

[Montecfo]

CFG Bank MM raised to 5.07%.