Best CD, MM Rates & Bank Special Deals Thread 2024 - Please post updates here

It helps to discuss T-bill issues over on the Treasuries thread. Treasury Bills, Notes, and Bonds Discussion 2024+ There are enough details it can easily bog down this thread.

Each week there is a new 13-week issue. The auction day for 13 weeks is every Monday (or Tuesday if holiday), announced the prior Thursday. Settled on the Thursday after auction.

Sorry I don’t know how Schwab displays these things but start looking for them late on Thursday after the announcement. If you don’t place an order for the new issue (auction 6/10, issue 6/13) premarket today, you’ll have another chance starting this coming Thursday for the next Monday auction.

Also Schwab may have rules about when the funds must be available. Prior to auction? I don’t know.

The settlement date you list sounds like a 26-week they are issuing more of this week using the same maturity date but auctioned as a 13-week. Fairly common. Still a new issue, reusing a CUSIP.
 
Last edited:
Luvtoride said:
Local bank here in NJ is offering 5.25% Six month CD, minimum $10,000 New Money into the bank. I’m jumping on this one.
Click to expand...
Not to derail the thread, but 6 month T-Bills are 5.37% and state tax free.
 
Luvtoride said:
Local bank here in NJ is offering 5.25% Six month CD, minimum $10,000 New Money into the bank. I’m jumping on this one.
Click to expand...
5.25% might be a great rate but I'd much rather have a longer term with a slightly lower rate. It's more likely you'd have more money in the end.
 
Drake3287 said:
5.25% might be a great rate but I'd much rather have a longer term with a slightly lower rate. It's more likely you'd have more money in the end.
Click to expand...
I found a 2 year savings bond which will pay 5.22% with interest paid every six months. I will look for a 1 year to create a ladder. Any suggestions for 1 year?
 
Luvtoride said:
Local bank here in NJ is offering 5.25% Six month CD, minimum $10,000 New Money into the bank. I’m jumping on this one.
Click to expand...
The major brokerages are currently offering 5.40% for a brokered 6 month CD.
 
I've seen the 6-month offers for 5% and more. Some banks, depending on the state where you live, are offering. The important fact is what does it drop to in 6 months? We're still looking to stay simple, so adding bank accounts is not in our cards.
 
Drake3287 said:
5.25% might be a great rate but I'd much rather have a longer term with a slightly lower rate. It's more likely you'd have more money in the end.
Click to expand...
It all depends on how much is ‘slightly’. What are your thoughts on that?

When I did my first ladder I bought several 5 year CDs in the area of 4.6%. Had I churned 3 or 6 month CDs instead I would be better off today. It’s nothing that will change my retirement plans, but I did leave dollars on the table.

I think we will be in and around 5% for quite a while more. Inflation in the 3% area seems o be the new normal for the next year or two. So, I am in no rush to buy any fixed rate CD yielding less than 5%. Of course I could be completely wrong. YMMV.
 
Chuckanut said:
It all depends on how much is ‘slightly’. What are your thoughts on that?

When I did my first ladder I bought several 5 year CDs in the area of 4.6%. Had I churned 3 or 6 month CDs instead I would be better off today. It’s nothing that will change my retirement plans, but I did leave dollars on the table.

I think we will be in and around 5% for quite a while more. Inflation in the 3% area seems o be the new normal for the next year or two. So, I am in no rush to buy any fixed rate CD yielding less than 5%. Of course I could be completely wrong. YMMV.
Click to expand...
I agree. For my mothers investments, I am staying in the 2 year and under at 5%+ range. She is 91 y.o. though.
 
Luvtoride said:
I found a 2 year savings bond which will pay 5.22% with interest paid every six months. I will look for a 1 year to create a ladder. Any suggestions for 1 year?
Click to expand...
Luvtoride said:
Local bank here in NJ is offering 5.25% Six month CD, minimum $10,000 New Money into the bank. I’m jumping on this one.
Click to expand...
I don't see the attraction of chasing bank CDs given what is available from a broker.
1718152380278.png
 
Does Bondsource arrange the CD's directly with each bank/ financial institution offering these rates? Or does the investor have to open new accounts at the banks they are being offered through? I obviously have not taken this route of brokered CDs.
 
I used to buy all my CD's from the banks and had a ton of accounts to track but nowadays I buy brokered CD's through Fidelity, it's so much easier and I don't get charged any fees. Once the CD or T-Bill matures the money goes back to my core account and I can immediately withdraw or reinvest it right away.

You might find this helpful, it's how I learned how to buy brokerage CD's, she explains it well. This video is about a year old so the rates are different now.


 
Chuckanut said:
When I did my first ladder I bought several 5 year CDs in the area of 4.6%. Had I churned 3 or 6 month CDs instead I would be better off today. It’s nothing that will change my retirement plans, but I did leave dollars on the table.
Click to expand...
If you just look at the situation purely on the basis of how much interest you have received to date, that almost certainly is true. But, there's no way to know if you would have been better churning short-term CDs until you see what has happened to interest rates at the end of the five-year period.

I've had some CDs mature recently and am debating whether to put the money into short-term CDs or buy some four-year CDs at 4.8%. I'll probably do a mix.
 
Luvtoride said:
Does Bondsource arrange the CD's directly with each bank/ financial institution offering these rates? Or does the investor have to open new accounts at the banks they are being offered through? I obviously have not taken this route of brokered CDs.
Click to expand...
You just buy through the broker so it solves the problem of dealing with multiple bank accounts directly. You are still responsible for staying within the FDIC limits for each bank.
 
audreyh1 said:
There are times when direct bank CDs beat brokered CDs. Seems to happen more often Dec/early Jan, but can happen other times too. I pay attention to both.
Click to expand...
I agree there are times when bank CD yields are more attractive than brokered CDs or Treasuries, but one has to ask whether a little extra yield is worth the hassle of opening, funding, maintaining, clawing back and closing bank accounts... and if it is tax-deferred money it is even more hassle.

Been there, done that. Back in 2019 when a handful of credit unions were offering 5-year CDs at very attractive rates it was arguably worth the effort, but not worth it for 20-50 bps.
 
Last edited:
NomDeER said:
If you just look at the situation purely on the basis of how much interest you have received to date, that almost certainly is true. But, there's no way to know if you would have been better churning short-term CDs until you see what has happened to interest rates at the end of the five-year period.

I've had some CDs mature recently and am debating whether to put the money into short-term CDs or buy some four-year CDs at 4.8%. I'll probably do a mix.
Click to expand...
I agree. Under different circumstances I could be considered an interest rate maven, and be paid big bucks for blathering away on financial shows.:oops:

Today, I recently bought another 2 year CD at 5.1%. I’m happy with it.
 
pb4uski said:
I agree there are times when bank CD yields are more attractive than brokered CDs or Treasuries, but one has to ask whether a little extra yield is worth the hassle of opening, funding, maintaining, clawing back and closing bank accounts... and if it is tax-deferred money it is even more hassle.

Been there, done that. Back in 2019 when a handful of credit unions were offering 5-year CDs at very attractive rates it was arguably worth the effort, but not worth it for 20-50 bps.
Click to expand...
The way I deal with that these days is maintaining accounts at three online banks and one credit union. Between them there are usually some good deals at least annually. I haven’t bothered dealing with new banks/credit unions for years.
 
Last edited:
I am trying to keep all CDs in IRAs - the only exception being Navy Federal Credit Union. The only reason I continue to keep money in Navy Federal is their support of the military - not their rates.
 
I have a few CD in Navy credit my highest is a 4.9% 12 month CD and i bought a couple more that are 4.5% last month. If they were ever over 5%, I missed out on that boat, but i will take 4.5% and 4.9. Maybe There were some banks with higher % at one time, but I don't want to be chasing CD rates and then having to open a new account at a new bank and have new passwords that is just a PITA that I don't want to deal with. I have 2 banks already, USAA and Navy ,that is enough for us. Given that the FED held the line on rates this week, I expect that CD rates have hit their high water mark for the time being, unless inflation spikes up. 5.15% is about the best rate one can get right now according to Marketwatch.https://www.marketwatch.com/guides/cds/best-cd-rates/
 
Last edited:
pb4uski said:
I agree there are times when bank CD yields are more attractive than brokered CDs or Treasuries, but one has to ask whether a little extra yield is worth the hassle of opening, funding, maintaining, clawing back and closing bank accounts... and if it is tax-deferred money it is even more hassle.

Been there, done that. Back in 2019 when a handful of credit unions were offering 5-year CDs at very attractive rates it was arguably worth the effort, but not worth it for 20-50 bps.
Click to expand...
IMO, the answer is easy. NO!
 
copyright1997reloaded said:
3 and 6 months (and 52 week once a month) are announced on Thursdays. The 3 and 6 are auctioned on Mondays, the 52-week on Tuesday (again, once a month). The 17-week (4 month) on Tuesdays (auctioned Wednesday), 1 & 2 month (4 and 8 week) on Tuesday and auctioned Thursday.

Regarding Schwab's setup, it is a little confusing Here is one way of getting there: You need to select Trade->Bonds->"Find Bonds & Fixed Income" and then "New Issues" then select "Treasuries" from the drop down. Here is a screen shot of that last step:
View attachment 51302
Click to expand...
It's even easier than that. Just click on the "Treasury Auctions" link at the bottom of the "Fixed Income Offerings" table:

1718362094287.png


That will get you to the same page.
 
audreyh1 said:
Also Schwab may have rules about when the funds must be available. Prior to auction? I don’t know.
Click to expand...
I do. Funds must be available on the settlement date. I have negative cash balances in my accounts often because they subtract the amount from the cash balance as soon as the auction is complete, but the money isn't actually due until the settlement date. I've never been charged margin interest or had any problem in an IRA as long as there is enough settled cash in the account by the settlement date.
 
jldavid47 said:
It's even easier than that. Just click on the "Treasury Auctions" link at the bottom of the "Fixed Income Offerings" table:

That will get you to the same page.
Click to expand...
As already mentioned, please keep the treasury posts in the treasurys thread. This thread is for CD's, MM's, bank special deals.
 
You must log in or register to reply here.

Similar threads

C
2024 Investment Performance Thread
8 9 10
Sunrise_Ray
Sunrise_Ray
imbatman
Corporate and Agency GSE Bond DEALS and NEW ISSUES
17 18 19
njhowie
njhowie
audreyh1
Treasury Bills, Notes, and Bonds Discussion 2024+
10 11 12
gromit
gromit
Janet H
  • Sticky
Forums 101 - posting, accounts, basics (revised for 2024)
2
Janet H
Janet H
Alan
Blow that Dough 2024
20 21 22
Luvtoride
Luvtoride

Latest posts

Back
Top Bottom