Interest rates for different types of savings products have popped up in various threads (including investment and credit card rewards discussions), so let’s see if there’s enough interest for a dedicated thread.
To get started, I took a fresh look at where we have liquid savings, and today I opened new account with Dollar Savings Direct for 3.0% APY.
I’ll start moving money there next week after the accounts are linked. They use the trial deposit verification method from the 1920s to link accounts.
I chose Navy Federal as my funding source even though I don’t keep any real money there, because DSD wanted me to link a checking account, and this is the worst one I have.
Affinity Federal Credit Union Referral Program SmartStart Savings here does 3.5% on balances up to 5k then 1% thererafter. They also have a 1% cash back debit card for charges up to $1k per month. And decent auto loan rates
Since I know a few of us on here look at DoC for Bank Bonuses, Credit Card Sign Ups, and various other useful hacks I thought I would post the link to Best Savings Accounts:
As mentioned above, sign up bonuses can be helpful. As rates have risen the math becomes a little closer than it was previously so obviously do your own diligence / calculations and see what works better.
Also check out Brokered CD’s in your Fidelity / Schwab / brokerage account. Many are 30-90 days in length paying pretty competitively in comparison to regular 6-12 month CD’s. Take advantage of rising rates in 90 days or so utilizing those.
Any suggestions for medium term liquidity? I have mid five figures I need to access in 8 months, any suggestions?
Was thinking an 8 month cd at 2.96 at my local CU, or whoever gives me a better rate but I’d need to put all of it in at once to reach the min new fund requirement most likely, and I’m open to alternatives.
I’d check out the brokered CD’s in your brokerage account of choice. Let me know and I can screenshot what im taking about if you do not have easy access.
I just bought short term t-bills 1-2 month maturity at around 3% yield. I will keep rolling into 1-2 month maturity bills. I think it gives me enough flexibility if I decide that I want to get out and invest in something else. I like this better than the sub 3% savings accounts and definitely better than a 12+ months CD. If you want to lock your money for 12 months get a 1 year t bill, I think the yield is close to 4%.
for a dedicated thread.
