Fidelity To Offer SPAXX As A Core Position In Cash Management Accounts Beginning Next Week.

[Healthy Lifestyle]

Many thanks for the very helpful comments and efforts to get me up to speed.

 

[PatrickA5]

Changed mine today.

I'm considering going back to Fidelity CMA as my daily checking account. Although my Chase checking is "free", I'm losing a good $300-$500 per year in dividends. Back when interest rates were zero, it didn't matter. Trying to decide if I want to go through the pain of moving about a dozen monthly direct debits back to Fidelity.

 

[Surewhitey]

Changed mine today.

I'm considering going back to Fidelity CMA as my daily checking account. Although my Chase checking is "free", I'm losing a good $300-$500 per year in dividends. Back when interest rates were zero, it didn't matter. Trying to decide if I want to go through the pain of moving about a dozen monthly direct debits back to Fidelity.

Why 12? Trying to stay under $10k? I've done plenty of larger transfers without issues.

 

[mrfeh]

Why 12? Trying to stay under $10k? I've done plenty of larger transfers without issues.

I think Patrick was talking about the hassle of changing autopays from one account to another.

 

[Healthy Lifestyle]

I think Patrick was talking about the hassle of changing autopays from one account to another.

Yes I am thinking autopay reset can be a pain.

 

[xlf11]

I just did that: AE, WF Capital One and Discover can be effective right away while BOA took one more billing cycle. Only utility account needs to manually pay online for the current bill once for the autopay to be effective for the next bill. Overall, it's not as bad as I thought.

 

[PatrickA5]

Yes I am thinking autopay reset can be a pain.

I just did 11 of the 12 autopay changes. Took about 30 minutes, so not that big of a deal. My electric company wouldn't let me change it (yet) due to being so close to the due date.

So, I'm back to having my Fidelity CMA be my daily checking account. Since 90% of our expenses go on credit cards, the checking account doesn't get used that much anymore. I'm going to keep my Chase account for the remainder of the year and then probably change over to a local credit union that will be used for things that I can't use the CMA for.

 

[sengsational]

Many moths ago, in order to get the higher interest rate, I took 100% of my Cash Management money and bought SPAXX as indicated one could do in this thread:

Fidelity Cash Management a Year Later

I'm one who acted on your tip & have used the account for funding CDs with my extra cash. I've also opened a 2% card (another smaller bonus) and opened an account for MIL. I personally like the website and app alot & have sold it to friends. I'm going to look deeper into the MM as I've also...

www.early-retirement.org

So whenever a bill was paid, it automatically transferred the amount of the bill to CMA and paid the bill. Worked fine, but I thought it was "a lot of work" for Fidelity. But I wasn't going to have significant amount of money at 2% when it could be at 5% (at the time).

So apparently I can simplify it now...I'll go take a look.

ETA: Used the link above and it went right to the screen to make the change. DONE!!

 

[audreyh1]

Fidelity handles the draw from multiple MM funds everywhere so it’s routine. An extra sweet feature for sure but they clearly made it a priority so I can only conclude that they’ve made it as efficient as possible, automated etc.

 

[Finance Dave]

I’ve always had SPAXX for my core position, but I usually move it to FZDXX when it gets high as it’s rate has been slightly higher.

 

[Dtail]

I’ve always had SPAXX for my core position, but I usually move it to FZDXX when it gets high as it’s rate has been slightly higher.

Same here