Reward Checking Accounts:
Most Reward Checking accounts have a cap on the balance that earns their high yield. Any balance above that cap will earn a much lower yield, typically 1.01% APY. They also have stringent requirements that must be met during each statement cycle, such as 10 debit card transactions, 1 direct deposit or other ACH transaction, receiving e-statements, and logging into on-line banking at least once. Not meeting the requirements for a statement cycle usually nullifies other features that might apply, such as ATM rebates, and drops the yield drastically, typically to 0.25% APY. Click on a link below or on Reward Checking Accounts (High Yield and Available to All) for details regarding a specific account.
You can invest in a Money Market Fund (designated with MMF on this list) through various brokers, including on-line discount brokers. Use this APY calculator to convert the MMF's 7-day Yield to an APY based on daily compounding for comparison with other products in this Quick Summary. The MMF APY is converted from the 7-day Yield in the ticker link in the notes column. A Tax-exempt fund is one for which proceeds are not considered taxable income by the IRS. To convert a tax-exempt yield to it's comparative taxable yield, use this calculator.
[Mod Note: This newer thread is replacing this previous one. This is the only link to the old thread that should be in the QS. Please do not add a duplicate link. Thank you.][/L]
Message edited by: CanisMajor on 2009-11-08 10:10:23 CST
I added Fidelity's new bank product. The interesting aspect it offers is the ability to buy Fidelity's money market mutual funds in the account. It will automatically sells shares to cover a withdrawal.
To whomever added the WAMU savings account, this thread is for liquid accounts, not accounts with a maximum number of monthly transactions and no check writing capabilities. There is another topic with savings accounts with high APYs. edit: looking at these, many of the links are for online savings accounts. Is this a thread for high yield checking accounts or savings accounts? to me, a 'liquid account' is one that allows more than 6 monthly transactions.
Message edited by: theman2 on 2007-11-21 01:33:42 CST
theman2 said:To whomever added the WAMU savings account, this thread is for liquid accounts, not accounts with a maximum number of monthly transactions and no check writing capabilities. There is another topic with savings accounts with high APYs.
All "savings" accounts are limited to 6 withdrawals/months (as in WAMU, FNBO Direct, Emgrant Direct, ING direct, and Apple Grand Yield all listed above). They are still considered "liquid" unlike say CD's which don't allow any withdrawals unless you break the CD and pay a penality or the term ends.
Ive always thought of a liquid account as ANY MM, checking, savings, liquid CD etc that allows deposits and WDs. They can cap the max # of transactions and still be liquid
SUCKISSTAPLES said:Ive always thought of a liquid account as ANY MM, checking, savings, liquid CD etc that allows deposits and WDs. They can cap the max # of transactions and still be liquidFair enough. I'm still enamored with the fidelity mycash account since I don't have to worry about exceeding my 6 monthly transactions or maintaining the balance in my checking account. If you have the time and energy to deal with a higher yield savings account and a linked checking account, more power to you.
scott1961 said:Patelco Treasury Income Account $25,000.00 5.19% 5.09% Could be included and noted as no FDIC/NCUA
That doesn't look very liquid. semi-liquid? FW disscution of Treasury Income Account here.
You must notify us six months in advance if you want to withdraw funds from this account or to close it, or the withdrawal or closure will be subject to penalty. You have ten days after the date you schedule for a withdrawal to make the withdrawal without penalty. If you do not withdraw your funds within 10 days of the scheduled withdrawal date, you must give us a new six-months’ notice. Only one notice can be in effect at a time. Withdrawals without notice will result in the following penalties: (a) if funds are withdrawn within six days after you open the account or add to it or make a withdrawal from it, the penalty will be seven days’ dividends on the entire balance; (b) if funds are withdrawn after more than six days but prior to any noticed withdrawal date, the penalty will equal the dividends earned, up to six months dividends, on the amount withdrawn. The stated APY assumes dividends will remain in the account for at least six months. Earlier withdrawal will reduce earnings. Early withdrawal penalties are waived in certain circumstances (see Early Withdrawal Penalties; 8 Waiver of Penalties above).
You can schedule authorized monthly payments out of this account to you, either in the form of a check payable to you and mailed to you or a transfer to your Tiered Savings Account. The monthly payment cannot equal more than 1/6 of the balance in the account. You can change the amount of the monthly payment only twice a year.
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