I know. But this is after 12 months. If the CD is closed and I want to keep the account, I would just refresh it once a year.
Anyone likes that 60-mo 3.15% CD from Prime Alliance Bank? It does not have the highest APY, but it does have a notable low EWP of just 3 months. Hereās its APY if withdrawn early, compared to the PSECU CDs
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Just an observation here, maybe not a very important one:
Today is first of September so some financial institutions posted interest/dividends on our CDs last overnight.
Looking the situation over, it is intriguing having all this extra interest compared with the way things were before recent events.
Q: Huh? What? Recent events?
Yes, well only fairly recently did I sort of give up on hope of higher interest rates ahead any time soon. Back when I had that hope I was keeping money in liquid situations which do not pay as much interest. But recently I dumped those funds into CDs, locking in much higher yields. NFCU and GTE and PSECU are a few examples.
So, sure, those new CD accounts are paying more interest/month than did the liquid accounts, which are now all but drained. I have two bucks remaining at PurePoint and scarcely more than a thousand bucks at Grow. You have to keep a thousand there to get their high 2.75% APY interest rate. Otherwise Grow would be all but drained, too. But most of my (previously) liquid funds are now locked into CDs, and that is a recent development.
I am a little late to the party. I only started looking at moving into CDs in the past week.
Take a look with the link below. The current market consensus is that the Fed rates would be 0.50% lower by Dec and 0.75% lower by Mar 2020. Moving liquid cash into CDs is not a bad idea.
https://www.cmegroup.com/trading/interest-rates/countdown-to-fomc.html
Iām going to put some more money in Grow. I have about $70 there. I didnāt remember about the $1000.
On Tuesday Iāll be cashing out a 2.40% no penalty 30 month cd that has 15 months left on it and putting the money into the 18 month 3% cd assuming itās still there as an option. (From Andrews to Andrews) One of the last moves Iāll be making. Northpointe guaranteed me 2.50% for a year a few months back (itās currently in their savings earning 2.55% but when that changes Iāll move it back into the money market till the guarantee elapsesā¦that will be funds to take advantage of stock purchases and of course I have some āemergency fundsā still liquid.
curious: when did your Northpt guar of 2.55 start & end & on what min bal?
meant as reply tp Famewolf in abv post
Is that new? Iāve gone many months w out act with no fee.
Bad Address/Inactivity Fee (for 12 months) $5.00 per month
maybe it is $5/mo after 12 mo of inactivity?
I posted in the liquid accounts thread regarding a conversation I had with a banking office manager where the 2.5% for one year was offered and provided his phone number(with his permission). You can probably search for āNateā as I donāt think Iāve ever seen anyone else using that name in the thread to find it. Anyway it required 25k to get the higher rate and was back when they were doing 2.30% (What a coincidenceā¦we are back to those ratesā¦no actually worse.). Since that time they offered 2.55% in the savings (the 2.5 was in the MMA) so Iāve moved the funds but will move them back when that rate changes.
My above prediction calls for lower interest rates generally between now and the November 2020 election. I stand by that. But following the election?
Again, if Trump loses I surely am not calling for higher rates. People should be thinking of the latter Obama years if we get a Democrat in the White House.
A Trump victory would cause the most heartburn for todayās five year CD buyers . . . like me. Four more years of Trump might set loose the animal spirits always lurking here in America, mostly contained since 2007, loosed in the wake of Trumpās last win, and today once again in retreat. But a Trump victory could result in interest rates ascending . . . . or at least ceasing any descent.
I really dunno what will happen if Trump wins. Thatās a risk you run if you buy longer CDs today, locking in these rates for well into (what would be) his second term.
Personal revelation:
Q: Yeah but shin, you already have admitted you went after the NFCU and GTE five year stuff heavy. Right? So you took the risk?
Yes and no. I did buy in very heavily to todayās five year CD offerings, and three year chunk, too. But here is the revelation part:
Even if Trump wins and rates somehow rise, I have an error situation in 2021.
Q: An error situation? Huh?
Yes, I made a mistake. I have WAY too many CDs maturing in 2021. Donāt ask. I was careless, OK? Anyway, even if Trump wins and if rates should turn around and rise, I will have plenty of dough in 2021 to reinvest at the higher interest rates . . . if there even ARE higher interest rates.
My error sort of freed me to invest today in five year CDs, since I know I will not be short money after the election if rates should rise on account of a Trump victory . . . or whatever.
Course if rates are totally in the āturletā come 2021 I will be so messed up it is unbelievable. But we all have to pay for our errors sooner or later.
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Thanks for all the insight into placement of CDās.
My list is showing an abundance of CDās maturing in 2020. When I look at the %rates, 2020āpretty decent 3.1%-3.35%. But, when those CDās mature we will be right in the middle of the election battle. Donāt know is itās good or badā¦ Probably bad!! 
I do tend to agree with this. The outlook will probably be similar to the past 2 to 3 years. So far I plan to go for the 18-month and probably the 2-yr or 3-yr CDs. Or the 5-yr Prime Alliance CD with easy/low EWP.
Just checked out PSECU site. 36-Mo.CD 3.25%. Looks like it may still hang on for at least this week time frame. All PSECU rates mostly say 9/1/19 except CD rates & they list 8/19/19. To me, I think their CD rates will hang tight. 
hope so.
If you go to the certificates page (Certificates - PSECU), it does show the current date, instead of 8/19/19. I am not sure what this means.
Iām not quite sure about that. I think itāll depend way more on the economic outlook than on the political one. If weāre in a recession or heading towards a stagflation, Iām not sure the Fed will have any reason to bump the rates. For that, itād take the economy and global outlook to head towards overheating and itās hard to see it happening merely over a year from now.
Plus many here have addon CD backstops against really rock bottom rates comes 2021. These GTE 3.3% CDs (or even 3% ones) will have about 3 years to go. I donāt have a crystal ball but my prediction is that regardless of who wins the election, itās gonna be hard to beat 3.3% by a lot for 3-yr CDs in 2021ā¦ Iād be very happy to be wrong mind you, since I also have a ton of Penfed 5% CDs maturing then too.
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The problem lies in the fact many believe we have had negative interest rates for the last 10 years because the rates have not been keeping up with inflation. If I can earn 2.5% on my money but inflation is estimated at 3% then Iām earning -0.50% ie paying a fee.
The money you have today has less buying power then the equivalent money 10 years ago did. The market is also beginning to ignore Trumpās repeated ārallying callsā. Many state even a trump win will not stop us from reaching the same negative rates Europe has already experienced.
The one bright note is that after some financial pain we may see opportunities to buy into stocks at a reduced cost. It would be a good time for those capable of doing so to max out any profit sharing plans or company stock match benefits. Actually in general itās a bad idea to ever leave money on the table yet I knew many co-workers back when I worked as a programmer who didnāt even contribute 6% to their 401k which had a 100% match.
Iād love to contribute to a Roth IRA too as having a method to bypass taxes altogether vs just deferring them should be a no brainer but unfortunately none of my āincomeā ie interest, dividends, social security etc meet the requirements of the IRS for income that can be applied to an IRA.
Upon reflection, I think youāre right. I should have written that a Trump victory would result in the most POTENTIAL for heartburn. Itās an important distinction.
We five year CD buyers of today will have regrets if CD interest rates return to Sharonview and/or even better Garden Savings levels in, say, 2021, 2022, or thereabouts.
(Can tell you parenthetically that I stupidly went into both the Sharonview and Garden Savings CD gift horses WAY TOO LIGHT!! Am I kicking myself now? You bet I am!!)
I foresee only small possibility of that sort of regret if Trump loses. But if he wins there is at least the potential for gift horse CD rates during (what would be) his second term.
Q: In 2021? Youāve already confessed you have too many maturities in 2021. Do you think rates will be a lot higher then if Trump wins?
I do NOT! Not in 2021. Not that early. But if Trump wins I will, in 2021, be shortening my CD maturities in anticipation of possible higher rates ahead in 2022 and 2023. At least that is my thinking today. A great many other things can surface and impact CD rates. Itās certainly not only about the election.
That said, I certainly wish right now that I knew who was going to win that election!
ETA
By the way if Trump loses the election I will, in 2021, be buying the highest yielding CDs I can, even if they have five year terms. This is because I will be expecting a return to lower āObama yearsā interest rates if Trump is voted out.
Iām pretty certain it means PSECU has updated their rates despite the holiday, as is customary for them on Mondays, and that their three year CD special rate has held!!
This is wonderful news for anyone seeking more time to secure that three year CD, which is a really great deal in my view. In fact, in the realm of three years CDs, I believe that deal is the best in the country at this time.
I am really surprised that rate has held. I would certainly place that CD in the gift horse category. WooHoo!
Iām not sure if thatās true. Every time you load the page (see it for youself: Certificates - PSECU), it shows the current date and time.
Exactly. And that is the good news. It is saying that as of today, Monday, the rate has held for another week.
Oh, wait. Maybe I see what youāre saying:
Maybe, because of the Labor Day holiday, they will not update the rate until tomorrow, a business day. I mean, if the rate is going to be updated.
Hmmmm. Difficult to know which it is. We will know much more tomorrow, I guess. If itās still at 3.25% APY 24 hours from now that rate will be good for the next week.