Rates seem pretty good at the moment 4-5%+. We already put some cash into CDs which also had good rates but someone just told me about high yield savings accounts and I’m looking around.
Customers Bank seems good at 5.32% but no clue what raisin is. Unfamiliar with a lot of banking platforms and ins and outs. If anyone can chime in and let me know of some things to consider Id appreciate it. Especially any hidden traps, if they exist.
I keep most of my cash in Schawb’s SNSXX. It yields just over 5% and I don’t have to open up a new account.
I just dumped some money in a new account to get 4.61% intro promo rate for a year. Not bad place to put some extra cash. After that rate is over, I will move it somewhere else.
Goldman Marcus or Ally are the two best choices IMO
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I have my rainy day cash in a Capital One 360 account with 4.35% at the moment. It used to be an ING account and was moved over when they were bought out. What I didn’t realize is that Capital One moved it into a low yield savings account at like 1% and I had to change accounts. Why did they even have a 1% savings account?
Now I am looking at the Schwab Money Market accounts since I use Schwab for checking and investments.
I have my rainy day cash in a Capital One 360 account with 4.35% at the moment. It used to be an ING account and was moved over when they were bought out. What I didn’t realize is that Capital One moved it into a low yield savings account at like 1% and I had to change accounts. Why did they even have a 1% savings account?
Now I am looking at the Schwab Money Market accounts since I use Schwab for checking and investments.
Someone with a capital one account told me and that’s what sparked the curiosity.
Thanks for the replies thus far, all.
I use “empower” they have around a 4.7 percent rate now.
Something to potentially think about, some banks are only ensured up to around $250,000 per account holder.
Typically things like series I bonds have had a slightly higher return rate than money market accounts but 1) you can “only” deposit 10g in them a year, 2) they “have” to be in there for 5 years, 3) bad website.
A leading bank in New Zealand offers 4.5% for regular savings accounts, 6% for high yield (can’t withdraw for a period of time) and 7% for Kiwi saver.
Meanwhile our US bank has a savings rate of 0.02%, hence this topic asking for a high yield savings account.
I use Wealthfront and get 5% interest. While they are not a bank themselves, the front-end to user acts similar to one for basic savings/checking functions. I have had a cash-account with them for about two years now and use it as my primary checking and transactional account. They partner with actual banks on your deposited funds and you can effectively get up to $8M in FDIC insurance on your money. They do this by automatically splitting your deposits between numerous banks on the back end to stay under the 250K limit per bank.
It functions like a checking account to the user though, as I have a debit card, can make deposits, and do on-line check writing, automatic payments, etc… all while earning 5% interest.
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I use Lending Club. I set it up on my phone after downloading the app. It took a few days to get authorized/cleared or whatever; so easy and the current rate is 5%. Highly recommend
I moved my rainy day fund into a Marcus account sometime shortly before covid times.
Their rates are reasonably competitive and the online interface is easy to navigate. It can take a couple of business days for a transfer out of the account to process, but because I don’t use the account except in unusual circumstances where I have a few days’ lead time, it works fine.
I still have my old big-bank account with Wells Fargo and keep a few $$ in there to keep it active just in case I need brick and mortar services and other bank services…but they are still holding onto giving me effectively zero interest.
Moved all my spare cash and checking account to one of the online places like I mentioned above that gives nice market-rate interest to me. Not going to go back to banks using my money for free anymore.
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https://www.schwab.com/...0unlimited%20amount.
Also for consideration. I use treasuries to avoid state tax. And could sell in a pinch.
Not a savings account but a money market. Vanguard money market account is pushing 5.4%
https://investor.vanguard.com/investment-products/mutual-funds/profile/vmfxx
Rates seem pretty good at the moment 4-5%+. We already put some cash into CDs which also had good rates but someone just told me about high yield savings accounts and I’m looking around.
Customers Bank seems good at 5.32% but no clue what raisin is. Unfamiliar with a lot of banking platforms and ins and outs. If anyone can chime in and let me know of some things to consider Id appreciate it. Especially any hidden traps, if they exist.
I used Synchrony and get 4.75% right now, but I am looking. The only issue I have is that it takes 2-3 days to transfer money in or out.
Having a fidelity account I can use something like FDRXX, which is currently at 4.95% and be able to transfer that money our faster and/or put it into purchases on the market right away.
I do have some CD’s to lock in good rate (5% or above right now) and use a simple ladder with auto enrolls.
That said I am not trying to maximize the last couple percentage points, but rather put that cash in a good spot where it can move fast (if needed) and provide me good security and a good rate.
I have my rainy day cash in a Capital One 360 account with 4.35% at the moment. It used to be an ING account and was moved over when they were bought out. What I didn’t realize is that Capital One moved it into a low yield savings account at like 1% and I had to change accounts. Why did they even have a 1% savings account?
Me too. Easy fix, but still seemed wrong.
I put some cash in Capital One 360 around 2019 at about 4.5%. As the Federal Reserve dropped interest rates during the pandemic, it went as low as 0.35%, I think. Now it is around 4.3%.
Not a savings account but a money market. Vanguard money market account is pushing 5.4%
https://investor.vanguard.com/investment-products/mutual-funds/profile/vmfxx
This!