Interest Rates

[deputy_doofy]

So, it seems the interest rates have dropped another half point. I was wondering how YOU save your money and get the best rates possible?

I have found that E-Trade, of all places, has good interest rates for savings. After all, even the little bit of interest that dumps in is that much more money towards a future Apple product.

Just curious to see how others are weathering the rates drop from a savings perspective.

 

[jaydub]

I'm not sure I'd be so quick to put my money in an e-trade savings account because it seems like they're losing a lot of money as a company.

Most of the online savings accounts (HSBC, ING, etc) have seen lower APYs following the drop in interest rates. The 5.05% I was enjoying with FNBO has dropped to about 4.30% i think.

I'm still earning a nice bit in interest each month, but it's a far cry from the 5.99% it was at last year.

 

[themadchemist]

Yeah, I just got a cheery e-mail from HSBC about the gigantic drop in rates. Thanks a lot, folks.

The thing to do now is to take advantage of the lower rates where you can--with fixed interest loans, if you need them. The way I see it, you're not going to be on the winning end of rates off the money you loan to banks, but you could end up better off by using well the money they loan to you (for instance, a savvy real estate buy in this market).

 

[silbeej]

ING is down to 3.65, my regular bank account is almost that good.

 

[adk]

It stinks, I have a bunch of money with HSBC as well, but this is exactly what lowering the prime rate is supposed to do - force us to get that money moving through the economy again. It stinks, but we have no choice but to have faith in the fed.

 

[heehee]

You might want to stay away from Etrade and stick with large banks. Their stocks are not doing so good. Last month, their stock went down 60% in one day. I have all of my equities in E-Trade Canada. Scared the crap out of me, I thought they are going bankrupt. I still haven't switched though, I think we are backed by our government of up to $100,000. You dont want to have to do this (see picture)in the future... just play it safe.

 

[Kwyjibo]

http://www.consumerismcommentary.com/rates/

 

[foidulus]

Put your money in Euro

That is what I am doing.

Ben Bernanke has made it crystal clear: if you save in US dollar denominated assets, we are bound and determined to make sure you lose buying power with that money.

At a time when American savings rates are at record lows, he goes and actively discourages savings....brilliant......

Anyway, I would suggest you get your money into Euro. There are ads floating around on macrumors for HSBC offshore euro-denominated accounts. I would recommend that before Bernanke causes a crash in the US economy.

 

[deputy_doofy]

Admittedly, most of my money is in ING, but their advantage is long gone. I still like their checking account, though.

So, I've moved money into E-Trade, albeit, only a little. I also have money in Emigrant Direct. I have considered HSBC as well.

I wish I had a current loan that could take advantage of these rates, but for now, I'm looking to get the best rate out of what I have saved.