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What percentage are you talking about as being abysmal. 0.1% offered at some shitty brick and mortar bank is terrible but nearly all the online first banks offe

What percentage are you talking about as being abysmal. 0.1% offered at some shitty brick and mortar bank is terrible but nearly all the online first banks offer (or offered before covid) what I thought was a decent 1-3%

X-Istence 6y ago
Highest these days is like 0.5%. If you are really lucky you can find 0.8%
unclebucknasty 6y ago
I'm not seeing anything like that. Here's the latest roundup of "the best rates" over at Bankrate [0], which includes some online-only banks. Highest I see there is 0.57%, with most at 0.4% and 0.5%. You might be able to scrounge up a few basis points somewhere if you're really determined and/or willing to meet some requirements. Still, even with our low-inflation these days [1], you're actually losing money in these savings accounts. Main point though is that it's more of a relative game vs your ROI elsewhere. Even indexes and ETFs that are reasonably "low-risk" are routinely returning much more these days, and of course over the long haul equity markets still beat this handily, even when smoothed for downturns. [0] https://www.bankrate.com/banking/savings/rates/ https://www.bankrate.com/banking/savings/rates/ [1] https://www.statista.com/statistics/244983/projected-inflation-rate-in-the-united-states/ https://www.statista.com/statistics/244983/projected-inflati...
- Larrikin 6y ago
  TMobile Money is 4% for the first $3000 and 1% after that for customers and 1% flat for everyone else. Ally used to be pretty good but I've moved all my savings over for now
  - unclebucknasty 6y ago
    Yeah, obviously not scalable, but cool for a risk-averse T-Mobile wireless customer who wants a guaranteed 4% on $3K. It is funny though that they give the example that at $5,000 saved your effective APY is around 2.79%. I mean, the bottom line is that as soon as you get above $3K, any additional savings drops to a lowly 1%, which doesn't keep pace with inflation (i.e. you're losing money). But they're presenting it like 2.79% is some kind of average that matters, thus implying it's a good idea to keep pouring money in. The reality is that the offer is not an average, but two discrete terms of 4% and 1%. And, on the latter, you're trading whatever other returns you could've made elsewhere for that miserly 1%. Much better to put it elsewhere, even for those who bite on the initial $3K for 4%.

X-Istence 6y ago

Highest these days is like 0.5%. If you are really lucky you can find 0.8%

unclebucknasty 6y ago

I'm not seeing anything like that. Here's the latest roundup of "the best rates" over at Bankrate [0], which includes some online-only banks. Highest I see there is 0.57%, with most at 0.4% and 0.5%. You might be able to scrounge up a few basis points somewhere if you're really determined and/or willing to meet some requirements. Still, even with our low-inflation these days [1], you're actually losing money in these savings accounts. Main point though is that it's more of a relative game vs your ROI elsewhere. Even indexes and ETFs that are reasonably "low-risk" are routinely returning much more these days, and of course over the long haul equity markets still beat this handily, even when smoothed for downturns. [0] https://www.bankrate.com/banking/savings/rates/ https://www.bankrate.com/banking/savings/rates/ [1] https://www.statista.com/statistics/244983/projected-inflation-rate-in-the-united-states/ https://www.statista.com/statistics/244983/projected-inflati...

Larrikin 6y ago
TMobile Money is 4% for the first $3000 and 1% after that for customers and 1% flat for everyone else. Ally used to be pretty good but I've moved all my savings over for now
- unclebucknasty 6y ago
  Yeah, obviously not scalable, but cool for a risk-averse T-Mobile wireless customer who wants a guaranteed 4% on $3K. It is funny though that they give the example that at $5,000 saved your effective APY is around 2.79%. I mean, the bottom line is that as soon as you get above $3K, any additional savings drops to a lowly 1%, which doesn't keep pace with inflation (i.e. you're losing money). But they're presenting it like 2.79% is some kind of average that matters, thus implying it's a good idea to keep pouring money in. The reality is that the offer is not an average, but two discrete terms of 4% and 1%. And, on the latter, you're trading whatever other returns you could've made elsewhere for that miserly 1%. Much better to put it elsewhere, even for those who bite on the initial $3K for 4%.