almost there
Thinks s/he gets paid by the post
- Joined
- Sep 24, 2008
- Messages
- 1,022
They had like a 2 star rating from reviews. May have just been a stunt to drum up some quick business? Hmmm..
We will need to see what comes out of the Fed's December meeting. If the language suggests reducing hikes and there is NOT a December Hike. That may be interesting.
On the 5 years, be careful - at least on the ones from Fidelity, the 5 years at 3.55% and 3.6% are all callable, non-callables max out at 3.5%.
I’m inclined to think that the market may continue be nervous until the Fed Dec 19 meeting. If there is a hint of backpedaling, they might be a relief rally. Or not, if traders think the Fed is seeing a softer outlook. Or both! LOL!
I purchased a 5 yr 3.6% at Fidelity the other day that is call protected.
Andrews FCU has 8 mo CD at 2.84. Their 84 mo CD IS 3.45.
Eighty-four is too long for me.
...PenFed is turning out to be troublefree and good services.
2) Certifcates Having a Term Greater Than Six
Months.
a) If redeemed within the frst year, all dividends
will be forfeited.
b) If redeemed thereafter, but prior to the maturity
date, the early withdrawal penalty will equal 30%
of what would have been earned if the certifcate
had been held to maturity, not to exceed total
dividends earned
understand the broker CD does not reflect the daily compounds but is it the same when mature and why additional risk? Thanks all!
Thats just it. What added risk if its "non- callable" and you know you will not need the money in a 1- 5 yr CD for 10-15 years? Am not seeing the risk?
(But am not all that sharp either)........
Maybe some one could explain it to me. Thanks!
They are going to have a mass exodus with that kind of penalty.Check out the change PenFed made to their early termination penalty a couple of years ago - definitely not member friendly. I'm going elsewhere when my CDs mature next month.
If interest rates rise sharply you will be stuck holding on to a CD with below market returns, for perhaps many years if you buy a long term CD. I will pay a modest early term penalty to the bank and reinvest at the higher rate. It’s lost opportunity risk, not risk of default. But it’s still a valid risk.
Andrews FCU has 8 mo CD at 2.84. Their 84 mo CD IS 3.45.
Eighty-four is too long for me.
They are going to have a mass exodus with that kind of penalty.
Awesome! Your post made me realize that I didn't have a link between PedFed and my Vanguard IRA brokerage account... so I initiated one so once those CDs mature and get put into my Share account I can easily transfer the funds back to Vanguard... (I hope).
I need to do the same. How did you initiate the link? I don't see any way to set that up at Penfed unless the other institution has a transit routing number, which I don't believe applies to Vanguard. What am I missing?
I got the routing and account numbers from the PenFed website and set the banks up on the Vanguard website. I just needed to make sure that my IRA share account was linked to my Vanguard IRA brokerage account and not my taxable account to avoid a nasty surprise.I need to do the same. How did you initiate the link? I don't see any way to set that up at Penfed unless the other institution has a transit routing number, which I don't believe applies to Vanguard. What am I missing?