3 ms·

Ok, 4% is like, CD rates. Basically it's a CD without the maturity date; withdraw at any time. There has to be a downside to this, like, if your Apple Card get

Ok, 4% is like, CD rates. Basically it's a CD without the maturity date; withdraw at any time. There has to be a downside to this, like, if your Apple Card gets used fraudulently, they cancel your iCloud and take your money.

WorldMaker 3y ago
So far, the most reported downside is that withdrawals are slow for ACH transfers, though certainly not CD maturity slow. The terms of service were recently updated to include wording that withdrawals may be slow.
cyanydeez 3y ago
4% is currently typical for savings account. If you're willing to uproot multiple banks are offering this
- postmodest 3y ago
  My credit union sits at 0.05% for savings. Their 4% rate only works for 12 months before it reverts to 1.5%
- fragmede 3y ago
  Wealthfront and Betterment are doing better than 4.5% on cash.
nateb2022 3y ago
You can get a 3-month CD with around 5.2% APY right now. If you ladder them, you can keep a portion of your savings relatively liquid while still earning a decent, FDIC-insured yield.
ssabetan 3y ago
For me the downside is lack of accountability and management. The only way I've found to interact with it is via the wallet app on my phone which is a PITA. VMFXX at 5.22% makes more sense, except it's not FDIC insured.
- toomuchtodo 3y ago
  > VMFXX > The fund invests at least 99.5% of its total assets in cash, U.S. government securities, and/or repurchase agreements that are collateralized solely by U.S. government securities or cash (collectively, government securities). While not explicitly FDIC insured, you can consider it backed by the full faith and credit of the US government. FDIC, Federal Reserve, it’s just splitting hairs wrt these instruments.
dangus 3y ago
This is no different than an online high interest savings account. Compare the rate to banks like Ally.
Saris 3y ago
4 is a pretty normal savings rate right now, 9 month CDs are at 5%+

WorldMaker 3y ago

So far, the most reported downside is that withdrawals are slow for ACH transfers, though certainly not CD maturity slow. The terms of service were recently updated to include wording that withdrawals may be slow.

cyanydeez 3y ago

4% is currently typical for savings account. If you're willing to uproot multiple banks are offering this

postmodest 3y ago
My credit union sits at 0.05% for savings. Their 4% rate only works for 12 months before it reverts to 1.5%
fragmede 3y ago
Wealthfront and Betterment are doing better than 4.5% on cash.

nateb2022 3y ago

You can get a 3-month CD with around 5.2% APY right now. If you ladder them, you can keep a portion of your savings relatively liquid while still earning a decent, FDIC-insured yield.

ssabetan 3y ago

For me the downside is lack of accountability and management. The only way I've found to interact with it is via the wallet app on my phone which is a PITA. VMFXX at 5.22% makes more sense, except it's not FDIC insured.

toomuchtodo 3y ago
> VMFXX > The fund invests at least 99.5% of its total assets in cash, U.S. government securities, and/or repurchase agreements that are collateralized solely by U.S. government securities or cash (collectively, government securities). While not explicitly FDIC insured, you can consider it backed by the full faith and credit of the US government. FDIC, Federal Reserve, it’s just splitting hairs wrt these instruments.

dangus 3y ago

This is no different than an online high interest savings account. Compare the rate to banks like Ally.

Saris 3y ago

4 is a pretty normal savings rate right now, 9 month CDs are at 5%+