Best Nationally Available High APY Liquid Accounts

Betterment offers what appears to be a 2.68% APY on “Savings” with FDIC insurance up to $1M [ Betterment Checking ].

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Looks like there’s a waitlist?

It appears that you get the Betterment 2.68% APY on savings immediately (appears to be variable and not guaranteed) but only if you agree to “join a waitlist” for their checking account, which appears to be free.

If you don’t mind waiting 5 days for them to process outgoing transfers, then i guess they’re ok…LOL that’s what it says on their FAQs section…There’s almost always catches when you get involved with places that offer top or even higher rates…You always have to look at all the “features of an account” and not get “dazzled” by a high rate dangled at you…

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For SImple, one of the verification options is “a picture of you standing outside your residence” … That’s a new one for me, not sure what exactly that verifies?

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2.69% APY is a promotional offer for individuals who sign up for the Betterment Everyday Checking waitlist and applies to cash deposited into Savings for the duration of 2019. APY is 2.43% as of 07-10-2019 without the promotional offer. APY is a variable rate and may change at any time.

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I suppose they could compare against property tax photos or Google street view to verify the address. But that wouldn’t work for everyone, and wouldn’t prove that it was you. Odd.

Street view and GPS coordinate tag in the JPEG was my first thought. Photoshop (which would allow faking both) was my second.

That’s assuming they required a GPS tag. Without it, it could be anywhere and it could also be entirely photoshopped. What verification was that? Of your identity? It’s the first time I’ve heard any bank asking for a photo of the applicant.

Could it be risky anyway for a bank to ask for a picture (potential for discrimination issues if they denied application of minority applicants)?

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Good heavens that is SO spot on!

What on earth are they thinking!

That may be their last resort verification because I was never asked any of that when setting up or accessing my own account. They require 2-factor ID but I just used regular SMS code.

Added Betterment to the wiki.

If they add decent billpay to their not-yet-released checking account, it could become the best checking+savings combo.

Does anyone know what 4 banks betterment uses?

I found this but there are more than 4 :face_with_raised_eyebrow:

Thank you! I don’t know…I would normally jump at these rates but something about these broker promo accounts is leaving a bad taste in my mouth.

Why? Do you think it’s temporary? Wealthfront, betterment and robinhood, which is expected to relaunch the cash management account, are all competing. And they might not even be losing any money on these accounts. I’m betting their rates will stay relatively high for a while.

Also I jumped in protest as my other accounts started lowering their rates, and weren’t near the top anyway :wink:

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Just signed up for Betterment. Quick and easy process. We shall see…

Credit for this useful information to Ken Tumin. The following is a lift from his website:

Below is a list of the noteworthy no-penalty CDs and promotional savings/money market accounts with rate guarantee periods:

  • 2.55% APY Ultimate Savings with rate guaranteed for 3 months - Northpointe Bank
  • 2.50% APY Money Market with rate guaranteed through 12/31/19 - Northern Bank Direct
  • 2.35% APY 13-month No Penalty CD ($500 min) - Goldman Sachs Bank USA
  • 2.30% APY 11-month No Penalty CD ($25k min) - Ally Bank
  • 2.25% APY 6-month No-Penalty CD ($500 min) - Investors eAccess
  • 2.00% APY 13-month No-Penalty CD ($10k min) - PurePoint Financial
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The Fed funds rate has significant impact on the interest rates paid by financial institutions on liquid accounts. The FOMC meets starting tomorrow and is widely anticipated Wednesday, at close of their meeting, to cut the federal funds rate by 0.25%.

Despite that, Trump is not satisfied or mollified. He was out again a few hours ago, jawboning via tweet, with comment that the anticipated interest rate decrease is insufficient and late.

Trump calls for still lower rates

My opinion:

Trump is seeking to ensure the economy remains strong through election day. Seems to me we can expect interest rates to continue slipping at least until then.