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Best Bank Account Interest Rates - Summary for April 18, 2017


Best Bank Account Interest Rates - Summary for April 18, 2017

The chance of another Fed rate hike in June has diminished some. Recent economic data could give the Fed a reason to delay its next rate hike. As we have seen many times, it doesn’t take much to convince the Fed that it should delay a rate hike. Here’s what was said about the Fed in this BloombergView article:

Recent weak U.S. growth and inflation data could provide the opportunity for the Federal Reserve to take a summer vacation. U.S. auto sales, retail sales, job growth and inflation data all weakened in March.

That summer vacation could be the Fed holding off the next rate hike until its September meeting. However, economist Tim Duy thinks the Fed will “dismiss recent data as unrepresentative of underlying economic trends.” In his Fed Watch blog post, he said:

the Fed will be watching incoming data from the end of the first quarter and the beginning of the second. If the data flow picks up over the next couple of months, they will likely move forward with a June hike. They seem to be in a "what, me worry?" frame of mind.

Most of the Treasury yields declined from last week, with the 10-year yield down the most (drop of 14 basis points). The weak economic news is likely the primary reason. That also appeared to affect the Fed funds futures. The futures are showing a 44% chance of a quarter-point rate hike in June, down from 61.7% last week.

The following numbers are based on Daily Treasury Yield Curve Rates and the CME Group FedWatch.

Treasury Yields:

  • 1-month: 0.76% up from 0.74% last week
  • 6-month: 0.94% same as last week
  • 2--year: 1.18% down from 1.24% last week
  • 5--year: 1.71% down from 1.84% last week
  • 10-year: 2.18% down from 2.32% last week
  • 30-year: 2.84% down from 2.93% last week

Fed funds futures' probabilities of future rate hikes by:

  • Jun 2017 - at least one hike: 44.0% down from 61.7% last week
  • Jun 2017 - at least two hikes: 1.8% down from 2.6% last week
  • Dec 2017 - at least one hike: 76.9% down from 84.6% last week
  • Dec 2017 - at least two hikes: 35.1% down from 44.1% last week

Savings & Checking Account Rates

There are early signs that savings and money market account rates will be heading up. The latest sign came from Emigrant Bank’s internet division, DollarSavingsDirect. On April 6th, the internet bank increased the rate of its savings account to 1.25% APY for all balances. Emigrant Bank’s history suggests this may be just the start of rate hikes. Emigrant Bank established three internet divisions in the past 12 years: EmigrantDirect (2005), DollarSavingsDirect (2009), and MySavingsDirect (2013). EmigrantDirect was the first internet bank to aggressively respond to the Fed’s rate hikes in 2005. That year the Fed raised rates by 200 basis points (from 2.25% to 4.25%), and EmigrantDirect responded by increasing its savings account rate by 100 basis points (from 3.00% to 4.00% APY).

We now have two internet banks offering 1.25% APY with no balance caps and that are not promotional rates. The other one is PurePoint Financial, which first launched in February. Unlike DollarSavingsDirect, PurePoint has a $10k minimum balance requirement to qualify for the 1.25% APY.

Another new internet bank was recently launched. Northern Bank launched an online division called Northern Bank Direct. In addition to CDs, it’s offering a money market account that earns a 1.05% APY for balances up to $250k.

Three additional banks were added to the list, but these aren’t new: EBSB Direct (0.88%), Amboy Direct (0.80%) and EH National Bank (0.79%). I decided they deserved to be on the list even though their rates are not really noteworthy. In the past, there have been periods when they have offered very competitive rates. With rising rates, perhaps we’ll see them once again become competitive.

There was one rate drop on the list. Pacific National Bank reduced the APY of its money market account by 6 basis points to 1.00%. The 1.06% APY only last for just over two months.

With the rate hike at DollarSavingsDirect and the addition of Northern Bank Direct, the 1% club has grown to 26. The 1% club is the group of nationally available checking, savings and money market accounts that have rates of at least 1% APY. Once a few more banks and credit unions raise their yields to 1.25%+, I’ll start a new 1.25% club. I exclude accounts that have promotional rates that are scheduled to fall after a certain amount of time. Also, I exclude accounts in which the 1%+ rate is available only for new customers. The ones on the promotional category include EverBank, The Palladian PrivateBank, Northeast Bank, iGObanking.com’s MMA, and Salem Five Direct.

Reward Checking Accounts

Two reward checking accounts were added to the nationally available reward checking list. The first is the High Interest Checking account from Partner Colorado Credit Union. This account earns 3.00% APY for up to $10k. Anyone can join this credit union by making a $5 donation to Consumers United Association. The second addition is the Kasasa Cash account from Georgia Bank Company. This earns 2.15% APY for up to $25k. The Bank also offers a Kasasa Saver account that links to the Cash account and earns 1.00% APY for up to $50k. The Bank is currently offering these accounts to people in any state (see review).

Besides these two additions, there were no other changes in the last two weeks in the nationally available reward checking list.

To find the highest reward checking rates and balance caps in your state or nationwide, please refer to our reward checking rate table. If you're new to reward checking, please refer to my blog post, Overview of Reward Checking & Our Reward Checking Table.

Certificate of Deposit Rates

I’m now publishing my CD survey as a separate post. Please refer to my survey of the best CD rates. This recap will focus on banking news of the week and liquid accounts.

Hot CD Deals: I just wanted to include this reminder of a few hot CD deals that are available.

The first hot CD deal that is still active is Navy Federal’s special 17-month CD. Two things make this a hot deal: a 2.00% APY and an add-on feature that allows any number of additional deposits. The one caveat is that there’s a maximum balance of $50,000. If you’re not already a Navy Fed member, there’s a good chance you can join. Please refer to this blog post for more details.

Connexus Credit Union continues to offer three CD specials (2% APY 3-year, 1.70% APY 2-year and 1.50% APY 1-year). You can join Connexus by first joining an association (see blog post).

The new internet bank mentioned above for its money market account (Northern Bank Direct) is also offering a few very competitive CD rates. The most competitive is its 3-year CD (2.00% APY).

Mountain America Credit Union ended its special 2.75% 5-year CD. The new APY is now 2.50%. The two highest 5-year CD rates that are nationally available are now at Service Credit Union (2.60% APY 60-month) and MutualOne Bank (2.53% APY 61-month).

Rates as of April 18, 2017

Checking/Savings/Money Market Accounts:

  • Noteworthy Accounts Available Nationwide:
Self-Help Federal Credit Union1.34% ($500k), 1.24% ($500) Money Market - Account review
The Palladian PrivateBank1.30% (6mo intro rate) 1.10% blended APYSavings Account - Account review
Redneck Bank1.25% (up to $35k), 0.50% ($35k+)Mega Money Market Account
DollarSavingsDirect1.25% (no min)Dollar Savings Account - Account review
PurePoint Financial1.25% ($10k min)Online Savings - Account review
McGraw-Hill Federal Credit Union1.25% ($75k), 1.10% ($20k),1.00% ($5k) (guaranteed through 8/31/17)Ascend Account
HSBC1.25% ($100k relationship required)Promo Premier Savings - Account review
Popular Direct1.15%High Rise Savings - Account review
MyBankingDirect1.15% ($5k+), 0.25% (<$5k) Earn >More Money Market
Connexus Credit Union1.15% ($100k), 1.00% ($50k,) 0.75% ($20k)MMA - active chk required
Northpointe Bank1.12% ($10k min, 12mo rate guarantee)UltimateSavings - Account review
SmartyPig1.12% ($50k min), 0.95% ($10k min)Savings account - Account review
EverBank1.11% (1yr intro rate) 0.61% ongoing rateMMA/Checking - Account review
Incredible Bank1.11% ($2.5k), 0.05% ($250k+)IncredibleBank Savings - Account review
Northeast Bank1.10%Pearl Money Market Promo, new customers - Account review
Dime Savings Bank1.10% Dime Direct Money Market, new money - Account review
First Central Savings Bank1.10% ($10k min)E-Premier Money Market - Account review
iGObanking.com1.10% ($25k min) MMA, New accounts and new money only, Account review
Salem Five Direct1.10%eOne Savings, for new customers only Account review
SFGI Direct1.06%Savings account - Account review
Ally Bank1.05%Online Savings
Northern Bank Direct1.05% ($250k max) Money Market - See review
McGraw-Hill Federal Credit Union1.05% (rate guarantee through 4/30/17)Holiday Money Market Promo - See review
CIT Bank1.05%High Yield Savings - Account review
Alliant Credit Union1.05% ($100 min)Savings account - See review
AloStar Bank of Commerce1.05%Savings account - Account review
GS Bank1.05%Online savings account
Synchrony Bank (formerly GE Capital Retail Bk) 1.05%High Yield Savings
Sallie Mae Bank1.05%MMA - Account review
Pacific National Bank1.00% Money Market Deposit Account - See review
ableBanking1.00%Money Market Savings
iGObanking.com1.00%Savings account - Account review
Barclays1.00%Savings - Account review
Radius Bank1.00% ($2.5k min)Radius High-Yield Savings - Account review
Capital One 3601.00% ($10k+), 0.60% (up to $10k)360 Money Market - Account review
UFB Direct1.00% ($25k min)UFB Savings - Account review
FNBO Direct0.95%Savings account
Discover Bank0.95% (no min) Savings account - Account review
Incredible Bank0.95% ($2.5k min) MMA - Account review
Bank5 Connect0.90% ($100 min) Online savings account (not available for MA and RI residents)
Capital One 3600.90% ($100k) 0.75% ($50k)360 Checking
TIAA Direct0.90% ($100k)MMA
American Express Bank0.90%Savings account - Account review
Clear Sky Accounts0.90% ($250k max) Savings account - Account review
Digital Credit Union0.90% ($100k) 0.85% ($50k)MMA
EBSB Direct0.88% ($5k min) High Yield Savings
Ally Bank0.85%MMA
Colorado Federal Savings Bank0.85% ($2.5k min)Savings account - Account review
Synchrony Bank (formerly GE Capital Retail Bk)0.85%MMA
Sallie Mae Bank0.85%Upromise GoalSaver Account
MySavingsDirect0.85%MySavings account - Account review
Discover Bank0.85% ($100k min), 0.80% ($2.5k) MMA - Account review
Amboy Direct0.80% ($3k min/$100k max) Personal eSavings
EH National Bank0.79% Personal Savings
Bank5 Connect0.76% ($100 min) Checking account (not available for MA and RI residents)
California First National Bank0.75%Money Market Checking - Account review
Bank of Internet USA0.75%MMA
Capital One 3600.75%360 Savings account
Quorum Federal Credit Union0.70%HighQ Savings Account
TIAA Direct0.65%High Yield Savings account
FNBO Direct0.65%Checking account
Alliant Credit Union0.65%Checking (req's elec. dep & e-stmts) Account review
MyCBB0.60%MyCBB Money Market - Account review
Incredible Bank0.59% ($1k min) Checking - Account review
Elements Financial (formerly Eli Lilly Credit Union)0.55% ($10k min) Helium Savings - Account review

Reward Checking Accounts:

  • Noteworthy Accounts Available Nationwide:
Consumers Credit Union4.59% (up to $20k) Rewards Checking - debit card and $1k credit card requirements
Consumers Credit Union3.59% (up to $15k)Rewards Checking - debit card and credit card requirements
One American Bank3.50% (up to $10k), 0.25% ($10k+)Kasasa Cash - Account review
Consumers Credit Union3.09% (up to $10k)Rewards Checking - debit card with NO credit card requirements
Evansville Teachers Federal Credit Union3.00% (up to $15k), 0.00% ($15k+)Vertical Dividend Checking - Account review
Lake Michigan Credit Union3.00% (up to $15k), 0.00% ($15k+)Max Checking
Great Lakes Credit Union3.00% (up to $10k), 0.10% ($10k+)Ultimate Checking
Partner Colorado Credit Union3.00% (up to $10k), 0.50% ($10k+)High Interest Checking
American Bank & Trust2.51% (up to $10k), 0.25% ($10k+)Kasasa Cash
Mid-Illini Credit Union2.50% (up to $25k), 0.15% ($25k+)Cash Rewards High Interest Checking - Account review
Industrial Bank2.50% (up to $15k), 0.25% ($25k+)Kasasa Cash
Capital Educators Federal Credit Union2.50% (up to $10k), 0.20% ($10k+)High Yield Checking
New Buffalo Savings Bank2.27% (up to $35k), 0.2497% ($35k+)Kasasa Cash - Account review
Bellco Credit Union2.25% (up to $25k), 0.25% ($25k+)Boost Interest Checking - Account review
Main Street Bank2.25% (up to $25k), 0.25% ($25k+)Kasasa Cash - Account review
Altra Federal Credit Union2.25% (up to $15k), 0.50% ($15k+)A+ Checking
Coastal Federal Credit Union2.25% (up to $10k), 0.10% ($10k+) Go Green Checking - Account review that includes companion Go Green MMA
Georgia Bank Company2.15% (up to $25k), 0.40% ($25k+)Kasasa Cash - Account review
TruStone Financial Credit Union2.02% (up to $20k), 0.10% ($20k+)TruRate Checking - Account review
BankFirst2.02% (up to $10k), 0.15% ($10k+)Kasasa Cash
Finex2.018% (up to $25k), 0.20% ($25k+)Axcess Rewards Checking, Premier Account (formerly First New England Federal Credit Union)
XCEL Federal Credit Union2.01% (up to $25k), 0.03% ($25k+)Kasasa Cash Checking
Legence Bank2.01% (up to $10k), 0.25% ($10k+)Kasasa Cash
Bay State Savings Bank2.01% (up to $20k), 0.25% ($20k+)Kasasa Cash - Account review
Country Bank2.00% (up to $20k), 0.25% ($20k+)Kasasa Cash Checking Account review
Elements Financial2.00% (up to $20k), 0.10% ($20k+)High Interest Checking - Account review
MainStreet Bank2.00% (up to $15k), 0.25% ($15k+)Kasasa Cash - Account review
Blue Federal Credit Union2.00% (up to $15k), 0.25% ($15k+)Extreme Checking (up to 4% w/account relationships) - Account review
KS StateBank1.95% (up to $25k), 0.50% ($25k+)Check PLUS - Account review
Connexus Credit Union1.75% (up to $25k), 0.25% ($25k+)Xtraordinary Checking
First Tech Federal Credit Union1.58% (up to $10k), 0.16% ($10k+)Dividend Rewards Checking
MemoryBank1.50% (up to $250k) EarnMore Interest Checking - Account review
All America Bank1.50% (up to $10k), 0.50% ($10k+)Ultimate Rewards Checking
ABCO Federal Credit Union1.26% (up to $25k), 0.20% ($25k+)Premiere Checking
Heritage Bank1.26% (up to $25k), 0.10% ($25k+)eCentive Account
Bank of Internet USA1.25% (up to $150k), 0.00% ($150k+)Rewards Checking
Community Bank of Raymore1.01% (up to $10k), 0.20% ($10k+)Kasasa Cash
Community Bank of Pleasant Hill1.01% (up to $10k), 0.20% ($10k+)Kasasa Cash
First American Bank1.00% (up to $15k), 0.13% ($15k+)Everyday Rewards Checking
Bank of Blue Valley1.00% (up to $10k), 0.10% ($10k+)$1k/month debit card req (formerly Ultimate Checking)

Certificates of Deposit:

Bank Account Alternatives - NOT FDIC Insured

Ally Financial Demand Notes1.15% rate for $50k+
Duke Energy PremierNotes1.05% rate for $50K+Duke Energy PremierNotes review
Ford Interest Advantage1.05% rate for $50k+Ford Interest Advantage review
Vanguard Prime Money Market Fund0.89% 7-day yield
Fidelity Money Market Fund0.76% 7-day yieldreviews on Fatwallet
Vanguard Tax-Exempt Money Market Fund0.76% 7-day yield
Fidelity Municipal Money Market Fund0.51% 7-day yield

Removed, Rate Too Low

Nationwide Bank0.50% ($1k min) MMA
Citizens State Bank (FL)0.50% ($50k) 0.25% ($10k)Internet Savings

Post Publication Edits

4/21/17: Ally Bank Online Savings account rate raised.

4/21/17: Smarty Pig Savings account rate raised.

deplorable 1
deplorable 1   |     |   Comment #1
I'm really surprised and disappointed that ALLY demand notes(formerly GMAC demand notes) has not raised their rates yet. Since this account isn't FDIC insured this is technically an investment account and as such should be paying a much higher rate by now. I have been with them for decades. They used to be on par with 4-5 year CD rates with only a $1,000 deposit but they switched to the tier levels now with a whopping $50,000 top tier. Sadly I have had to branch out to other money market accounts with higher yields and FDIC coverage. Someone needs to tell those guys it's time for a rate hike.
anonymous   |     |   Comment #2
Ken - DollarDirectSavings - don't you mean DollarSavingsDirect?
(but the link is correct)
Ken Tumin
Ken Tumin   |     |   Comment #5
Yup, I meant DollarSavingsDirect. It's now corrected. Thanks!
Kaight   |     |   Comment #3
Trump's election ignited America's animal spirits which had been in hibernation for eight years. Such animal spirits lead to higher interest rates. But it appears a different reality might now be overwhelming everything. It's not Trump or the Democrats. It's Republicans aside from Trump, those in Congress, who appear to have caught the Democrat downer disease. Trump has done what he can. But without a supportive Republican Congress his ability to get things going is severely limited.

To get interest rates up we need an excitement of optimism, a certain giddiness in the economy. Slow progress, which Republican Congressional leaders appear to prefer, will not do the trick. While I continue to anticipate higher rates, it will not happen as soon as I had expected several months ago would be the case.
Bogey   |     |   Comment #4
I, for one, had no expectation of very fast pace of interest rate hikes. There is still politics involved and the Feds don't want to spook the stock market. Giddiness aside, how fast and how high interest rates may go depends a lot on how strong our economy really is and the outlook for growth.

While we do have our hopes in President Trump, things don't change overnight. As you pointed out, without backing, there is no way he can fulfill his promises. Not that any politician ever did keep their election campaign promises.........
Kaight   |     |   Comment #6
President Trump has tried, harder than any president in my memory since Reagan, to keep his promises made during the campaign. I never anticipated the Democrats would assist him. But it is the Republicans who have turned out to be his most significant adversaries.

More and more we see it is the elites on both sides, and the despicable fat cat Republican (and, less important right now, Democrat) big money donors who are working as hard as they can against the best interests of the American people. They are doing everything in their power further to line their own pockets while denying us outcomes for which we voted.
LuvCD   |     |   Comment #7
The Republican Party is not the same as Reagan's Party. Its composition has changed since the "tea party" movement and the Democrats almost had a new party too if Bernie had won their nomination. Several factions within don't make a party.
Mark   |     |   Comment #8
Forget about rates going up fast because they will not be going up much at all in the next 10 years. Growth will be very slow during that time. No matter the tax cuts ahead it will not do much. Good jobs are not being created fast enough and that's a trend for the next decade.
People should start planning their lives with low rates for the long term.
sam   |     |   Comment #9
Mark is correct. Big companies are not growing and the only way they can grab more market share in by issuing bonds at low rates in order to buy out their competitors. Slow economy + low growth = LOW RATES..
deplorable 1
deplorable 1   |     |   Comment #14
I strongly disagree. If Trump can get a decent tax cut package through congress which simultaneously eases the tax burden on the middle class and businesses at the same time you will see higher growth, GDP, higher paying jobs and higher interest rates. Trump is trying but he needs congress both Republicans and Democrats to do what is in the best interests of the American people. It is the political bickering in congress that is failing not Trump.
Bogey   |     |   Comment #15
That's a big IF! A lot of different scenarios with a lot of "ifs".
deplorable 1
deplorable 1   |     |   Comment #17
Life is full of if's. If Hillary was elected we could be looking at negative interest rates. If banks didn't lend to unqualified borrowers and required a 20% down payment to buy a house we might have been looking at 10% interest rates right now.
Alcoholics_Anon   |     |   Comment #11
If you're retired, "America's animal spirits"," an excitement of optimism" and "a certain giddiness in the economy" are the last thing you need. Those are the things that create bubbles and crashes.

I ran an IT consulting business for 30 years. During the good times I didn't overextend the business to unsustainable levels. Those that did went bankrupt during the inevitable downturns.

I learned this lesson the hard way when I worked for a small IT consulting firm as a salaried employee. It crashed and burned due to the wishful thinking and greed of the owners.

I really don't think we need that kind of mentality running the whole country. The reality of the situation is that the world economy is stressed due to overexpansion in the preceeding decades.

The US economy is just starting to crawl out of the hole that we dug for ourselves when nothing was done to curb the ridiculous housing bubble that caused the Great Recession due to loan fraud.

Both the stock market and real estate prices are back to historical highs. Isn't that enough animal spirits? From my fiscally conservative view of things, it's been too much for too long.

It's time to raise the interest rates to curb speculation in these markets. This absurd chasing after the mystical "wealth effect" has got to come to an end in a controlled fashion.
Bozo   |     |   Comment #18
Jimbeau, as always, you are too pessimistic. Animal spirits created our Democracy. Over time, they will save it. The Republic will survive.
A. JESUIT   |     |   Comment #29
AC-DC GUY   |     |   Comment #28
the only person of gravitas at fox news was andrew napolitano who did two 5 minute rants on why things never change and it's always biz as usual in dc. youtube him up right now.
Really?   |     |   Comment #10
Why would anyone mess with "bank account alternatives" when you can get 1.25% at Redneck and no min balance and FDIC??? Just do some research, people!!! Geez!
deplorable 1
deplorable 1   |     |   Comment #13
The reason I use ALLY demand notes is to pay all my bills like a checking account and still earn 1.16% APY in the meantime. ACH push and pull transactions are fee free and there is no 6 withdrawals per month limit like FDIC insured accounts have. There are no direct deposit or debit card hoops to jump through like rewards checking accounts either. I use various rewards credit cards for every purchase earning 2-7% cashback so a debit card does not work for me. Also the interest rate always stays consistently high and never drops like many other MMA's do. Still they do need to raise the rate to compensate for the risk.
decades   |     |   Comment #12
It appears the DC beltway cu's are no longer offering outlier cd rates as they once did. I sense they are not feeling the animal spirits but rather are shaken to the core by the recent election. MAGA!
Bogey   |     |   Comment #16
I believe the whole Democratic Party was "shaken to the core by the recent election". Electing a person other than a political elite insider for president was long over due. The pent up frustration in our country finally came to a head and hopefully the new reality stick.
Bozo   |     |   Comment #19
Bogey, without getting too deep in the weeds, the Trump inner-circle is quite elitist (aside from Bannon, who has been marginalized). Cynics might say there is only a long red tie and a Florida White House difference between Trump and Hillary.

Aside from outliers like Scott Pruitt (at EPA) and Ms. DeVos (at Education), it's pretty much business as usual.

The "hands on the tiller" of economics are Steve Mnuchin and Gary Cohn. Cohn is a certified liberal Democrat. Go figure.

Trump now thinks Janet Yellen is the greatest thing since sliced bread, and wants her to extend low interest rates. Huh?
LuvCD   |     |   Comment #20
Bozo, you write on the Forum about a couple in Fresno. I go to Fresno in my travels and know it quite well, e.g. I only pass through, but that couple could do "better." Have a good friend with $36k gross soc sec, house paid, prop 13, etc. in Los Angeles (of all places, can't afford to move)...plus minimal cd interest income. They are very close to Yose-mite...that is the deal!
Bozo   |     |   Comment #21
LuvCD, I only repeated a story I read in the San Francisco Chronicle which posited that a retired married couple, no mortgage, and portable Prop 13, could live on $44,000/yr, before tax, in Fresno. This struck me as somewhat logical, inasmuch as dual Social Security benefits (which are not taxed under California's state income tax) could easily amount to $44,000/yr, property taxes could be quite minimal (with portable Prop 13 benefits), and the resulting Federal income tax could be quite modest, after standard deductions and exemptions.

Ironically enough, some long-time residents of the San Francisco Bay Area have realized this fact, cashed out their gains (utilizing the $500,000 exclusion), and called it a day.
LuvCD   |     |   Comment #22
Sounds like a "winner."
Bogey   |     |   Comment #23
Bozo, re-read my post #16. Without going out on a tangent, I clearly stated we voted for a president of our country who was not a member of the "political elitist club", We had no vote on who President Trump surrounded himself with. They are not elected.
deplorable 1
deplorable 1   |     |   Comment #24
Ken, While doing some research I came across this: Mercedes Benz demand notes they pay 1.6% APY with a $10,000 minimum. The catch is that you have to basically be a millionaire in order to join. It is for accredited investors only who either have a $200,000/yr. income or 1 million in net worth(not counting your home) Ouch! I'm not quite there yet. I just thought it was interesting as I had never heard of it before and it makes me wonder what other bank alternatives may be out there. This would be a interesting subject for an article "bank account alternatives".
DCGuy   |     |   Comment #25
I guess I would qualify, but to get 1.6% with a $10K minimum is about what you can get with most current CD rates. It is better than the Ally Demand Note rate, but if your goal is liquidity and a high rate, then it might be worth investing. However, getting a similar amount of interest is available through other means. If it was a liquid 1.6% tax free rate, that would be good, but I already got my 5% muni investment during the 2009 implosion. Muni MM rates are approaching 1%.
deplorable 1
deplorable 1   |     |   Comment #27
I have investments but I don't consider them liquid. Even my monthly paying dividend stocks are not liquid apart from the monthly dividend payouts. This account would work for me If I could use it to pay bills as a checking account like Ally demand notes. I don't keep much in my checking account as it pays 0%. I basically only keep a local checking account for direct deposit and ATM access.
LuvCD   |     |   Comment #26
Probably uninsured being "demand notes" with those suitability standards