CD Discussion Thread

I agree with your take on the deal. Not anything to write home about, and I won’t be locking up my money there after 1/15. But my goodness … “maneuvered”, “locked”, “dangerous”? They are about to give us each $1000 so I think Ally and I will part friends.

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I am just checking out my Home Loan Investment Bank 18-month eCD 3.15%.

Someone wrote earlier on cashing out this cd upon maturity. They mentioned that there was nothing other than a snail mail check for redemption upon maturity. Well I pulled up this account & sure enough that is true. My CD will not mature until 2/2/20, but wondering if any other’s may have come up with more info.

I read through my info & there is no mention of any way to add a savings or checking account. Also I have never been able to add Home Loan Investment Bank to my Mint account.

Does anyone here have this account?

Well, what can I say? I’m a fan of hyperbole! :grinning:

As far as Ally being my friend, though . . . . . not certain I can go that far. Business, for me, remains business.:wink:

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This just a brief heads up for CD aficionados:

Today (Wednesday), at 2:00 pm ET, the Fed will release minutes from the most recent, December, FOMC meeting. Keep a weather eye. Those minutes could contain clues to, among other things, the direction interest rates will take here in 2019.

This is for Ally Payback Time participants:

As you know the day of reckoning approaches apace. I thought Ally would raise their no-penalty CD rate in order to entice us to keep our Payback Time funds with them.

This has not happened. But it is a cat and mouse game. We are the mice.

However, be reminded that new Ally no-penalty certificates of deposit are not permitted to be closed for, what is it, six days (not sure)? Something like that. Anyway, were Ally to raise their no-penalty CD rate on Monday, for example, and if we jumped in, that would lock up our Payback Time funds at Ally for an additional week. Look before you leap. Keep a weather eye. And so forth.:wink:

Another comment regarding Ally Payback Time money:

I sense opportunity staring in the face of Ally participants who also are PurePoint customers. Be advised Monday, January twenty-first, is Dr. Martin Luther King Jr. Day in America, a Federal holiday. PurePoint is closed on Federal holidays. So is Ally Bank.

If you schedule an ACH funds movement, Ally to PurePoint, at the PurePoint website on Friday, January eighteenth, you will earn double interest on your PayBack Time money for four days. If you are planning to remove the money from Ally anyway via PurePoint, that Friday might be the best day to schedule the transfer.

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Gotta question for Friends…

I am eligible for one of Ken’s promos. 37-mo CD 3.66%. I have applied & have $5 in the Savings acct. As most of you know we have all been waiting for a 4% short term CD. This one is fairly close, but it would tie me down for 3yrs.

Would you take it?

I would treat something like that in manner similar to what I did at Sun East.

I would go in. But I for certain would not bet the farm. I’m not prepared to make major CD moves south of 4%. But I’m well aware this approach might not yield fruit any time soon. :slightly_frowning_face:

Thanks shinobi,

Yes this one is very tempting. I will set up my ach settings tomorrow & begin the process to add funds to that savings acct. Then later I can open the CD.

Not to often that one of Ken’s new good offers comes along, for which I can qualify.

Patelco CU, based in SF Bay Area so may not be available to all, is offering a flexible rising rate CD which is 3% the first year, 3.5% the second year and 4% the third year. It also has the option to withdraw without penalty on the CD anniversary (when the rate rises) each year.

I’m thinking of jumping in since i live in the area, but would like any inputs.

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Sounds like a great deal to me, but I pretty much stopped rate chasing a few years ago. – Looks like you can join Patelco through the ‘Community Association for Engaging Youth’ if anyone wants to give it a shot and doesn’t meet the other requirements.

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Yes, frugalpete, I also thought this offer might be ok.

I belong to Patelco CU. I have had an IRA account with them for many years. They mailed me info on this promo & I checked it out. In essence it is a 3yr CD 3.50%. But I found one a little better. 37-mo CD 3.66%. Not much better but I will go for the latter one.

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Well, if you are going that far out, Navy Federal has 3.75% APY with just 3 more months commitment.

No StatGren…

The one you’re speaking of is a 40-mo IRA 3.75%. I would grab that one if it was a straight CD. :wink:

My apologies. I didn’t catch that nuance. I grabbed the 17-month 3.25% and neglected to note the 40-month was just IRA.

But you’re only getting 0.16% extra versus the Patelco offering that let’s you out without penalty each year so if rates go up you’re not locked in for the whole 3 years. Am I missing something?

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You’re overlooking the 3% first year rate. You’re essentially paying a .5% penalty upfront. And then getting it back in the final year if you dont break it. However, if you do break it, it’ll be for something north of 4%, meaning you’re still “getting back” that .5%, just from another bank. So the answer kind of depends on the penalty for breaking the 3.66% option.

Interesting debate!!

I will say that I do not break CD’s before maturity. I may be wrong in my thinking, Right now I have a couple CD’s that will be maturing the end of the month & early Feb. The rate is only 2%, which can be beat all around today, but the penalty would be bad.

As far as thinking about breaking the 3.66% CD before maturity, it’s not in my thinking…

Is anyone liking that two year, 3+% add-on CD that Ken is featuring. It is a Freedom CU CD. There is a $500 buy-in so not chopped liver like at NFCU.

But insofar as I can tell there is no cap, either. So it costs you $500 to lock in ability to invest at 3% for the next two years.

I dunno. What do you think?

Freedom CU CD deal

You know, the more I think about this, for $500 this appears to be a no brainer. No?

shinobi,
I guess you could just think of this one as a 3% savings acct. You could add regularly, but you could not take out funds for the 2 yr period. Have to think about this one.

I was checking my Freedom CU site & I have a CD paying 3.5% that matures 2/20/21. Wish it was an add-on CD. :wink: