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I linked some above which are all in the 1% range or so. And there are others out there too.
OTOH - all aren't created equal. And there are some issues to watch out for. Some have very low $ daily limits on transfers. Some only allow you to link relatively small numbers of accounts. And one issue I've run into handling my father's accounts is some don't allow POA accounts (or make you jump through a lot of hoops on POA accounts). I'm sure there are other differences as well. So it's best to think about what your personal needs are before opening an account. Robyn
P.S. All of these "high yield savings accounts" (at least the ones I've seen) have monthly limits on outgoing transfers. I seem to recall that it's 6 a month (but I could be wrong).
Savings accounts are bound by withdrawal limits not just high yield. Yup it's reg d
Quote:
In consumer banking, "Regulation D" often refers to §204.2(d)(2) of the regulation, which places a limit of six withdrawals or outgoing transfers per month[1] from savings or money market accounts via several transaction methods. Transactions counted against the limit include "preauthorized or automatic transfer, or telephonic (including data transmission) agreement, order or instruction, or by check, draft, debit card, or similar order made by the depositor and payable to third parties." Transactions not counted against the limit include "mail, messenger or in person or when such withdrawals are made by telephone (via check mailed to the depositor)."
Please everybody, thank you for your imput. but my question was about how safe are money market funds.
So most got into the returns of deposits in cd's treasuries, and etc. I did not ask about returns. My question about safety was answered. This ends the thread.
Please everybody, thank you for your imput. but my question was about how safe are money market funds.
So most got into the returns of deposits in cd's treasuries, and etc. I did not ask about returns. My question about safety was answered. This ends the thread.
If your question was answered was there really a need for another post stating an end to the thread? Just move on if you don't want to participate in continued conversation
Well the second quote you posted was made after your comments I replied to.
No problem.
Quote:
Originally Posted by Robyn55
The only meaningful caps I've found are the FDIC limits. $250k for a single account - $500k for a joint account. You also get an extra $250k for each POD beneficiary (don't know if there's a maximum number of POD beneficiaries - it might vary institution to institution). That's usually enough for most people. If it isn't enough for a particular person - he/she can open accounts at multiple institutions. Robyn
I checked out all the links you provided in post #9 and I noticed that almost all of them do advise that the advertised rates are subject to change after the account is opened (I didn't see it on the American Express site, but that rate too is probably subject to change after account opening).
I looked around for some reviews and comments, some people stating that the rate was reduced to 0.40% after several months, others stating that it had remained the same after as many as seven months.
What is your experience or knowledge of any downward shifts in rates below the advertised rate after the account is opened?
It seems that none of these online high yield savings accounts are available for business entities.
I did find a link for business savings accounts (https://www.depositaccounts.com/savi...-accounts.html), but not sure how up-to-date it is. In any case, some of these appear to be teaser rates, while the ongoing rate is probably no more than 0.25%.
...I checked out all the links you provided in post #9 and I noticed that almost all of them do advise that the advertised rates are subject to change after the account is opened (I didn't see it on the American Express site, but that rate too is probably subject to change after account opening).
I looked around for some reviews and comments, some people stating that the rate was reduced to 0.40% after several months, others stating that it had remained the same after as many as seven months.
What is your experience or knowledge of any downward shifts in rates below the advertised rate after the account is opened?
It seems that none of these online high yield savings accounts are available for business entities.
I did find a link for business savings accounts (https://www.depositaccounts.com/savi...-accounts.html), but not sure how up-to-date it is. In any case, some of these appear to be teaser rates, while the ongoing rate is probably no more than 0.25%.
Yes - all the rates on these accounts (and other "cash" equivalents - like MMFs) are subject to change. But some rates change - and others don't. I've had an account at AMEX for perhaps 3 years - and the rate there has never changed.
OTOH - I've had an account at Capital One for a very long time - and the rate there has changed a lot. Used to be up there at the top in terms of yield - but it's .3% now. I'm not exactly sure why that happened - but I suspect it has something to do with Capital One's acquisition of ING. The Capital One ING product is now "Capital One 360" - and the rate there is .75%. I still use the Capital One savings account for a limited amount of "everyday" cash because it's tied into my Capital One checking account (which yields .2%) - and because it's linked to a lot of other accounts. But I sweep longer term cash into the AMEX account. I haven't yet figured out a good way to do things for my (98 year old) father because of the no-POA rules at other institutions (he still has his old Capital One account).
I don't know anything about business savings accounts. But depositaccounts.com is a pretty good comprehensive website. And I saw there that Capital One 360 is offering .4% on business accounts. I've never used Capital One 360 - but - after using Capital One for many years - I can say that the service there is excellent (although the yields aren't the best these days - at least when it comes to personal accounts). Note that I'm not sure it's necessary to open a "business account" per se if - for example - you're an unincorporated sole proprietorship that uses a SSN as opposed to a TIN. It's something I'd look into. Robyn
The only meaningful caps I've found are the FDIC limits. $250k for a single account - $500k for a joint account. You also get an extra $250k for each POD beneficiary (don't know if there's a maximum number of POD beneficiaries - it might vary institution to institution). That's usually enough for most people. If it isn't enough for a particular person - he/she can open accounts at multiple institutions. Robyn
Actually Robyn your local institution has a way of insuring up to 50 million in which different bank charter's (CDARS) will be used but you will be able to simply deal with your own institution. Granted the rates are usually poor but if insuring cash is your goal then this is a way to go & these will be certificates with terms.
Actually Robyn your local institution has a way of insuring up to 50 million in which different bank charter's (CDARS) will be used but you will be able to simply deal with your own institution. Granted the rates are usually poor but if insuring cash is your goal then this is a way to go & these will be certificates with terms.
Thanks for that info. I might have a need for it one day. But not now. Robyn
I checked out all the links you provided in post #9 and I noticed that almost all of them do advise that the advertised rates are subject to change after the account is opened (I didn't see it on the American Express site, but that rate too is probably subject to change after account opening).
I looked around for some reviews and comments, some people stating that the rate was reduced to 0.40% after several months, others stating that it had remained the same after as many as seven months.
What is your experience or knowledge of any downward shifts in rates below the advertised rate after the account is opened?
It seems that none of these online high yield savings accounts are available for business entities.
I did find a link for business savings accounts (https://www.depositaccounts.com/savi...-accounts.html), but not sure how up-to-date it is. In any case, some of these appear to be teaser rates, while the ongoing rate is probably no more than 0.25%.
I've used cit bank for a couple years and the rates have fluctuated slightly up and down but not in a teaser manner
One more thing for those of you concerned if you are covered under FDIC insurance limits you can use the EDIE calculator and add owners/ POD's to see if you are covered.
One more thing for those of you concerned if you are covered under FDIC insurance limits you can use the EDIE calculator and add owners/ POD's to see if you are covered.
It's best to check out the policies of various banks when it comes to any limits on the number of owners/PODs and maximum account limits. For example - Goldman Sachs seems to have a limit of 6 beneficiaries and a dollar cap of $500,000:
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