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Why Savings Account Rates Are So Pathetic

Friday, December 3, 2010 - 6:51 PM
This New York Time article provides a good summary of all the reasons why savings account rates are so low. There are the reasons we know well like the Fed policy. There are also a review of some of the less well-known issues like the FDIC rate caps.

One interesting thing the author noted was his strategy to earn more:
My tactic is to keep spare cash at BankDirect, an online bank that pays 100 American Airlines frequent-flier miles each month for every $1,000 I have on deposit.

5
Ken TuminKen Tumin5,469 posts since
Nov 29, 2009
Rep Points: 125,077
1. Saturday, December 4, 2010 - 8:11 AM
I didn't see your new thread on this Ken, that you posted last night, so I posted it also this Saturday morning. Sorry. Good article.
1
PurplesagePurplesage25 posts since
Oct 11, 2010
Rep Points: 73
2. Saturday, December 4, 2010 - 12:52 PM
Interesting that this article states no income tax is owed on the mileage.
2
Ally6770Ally6770912 posts since
Jan 16, 2010
Rep Points: 2,655
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