Joined Nov 2006
L3: Novice
Forum Thread
Best CDs?
May 14, 2022 at
05:02 AM
in
Finance
(4)
Thread Details
I recently got schooled in CDs when on a whim I bought a bunch of CDs through Marcus. Then I immediately got buyers remorse and wanted to say "never mind", but to close an account is a penalty of a huge amount of interest on the principal, no matter when the CD was created (this part of the post is just a PSA!). I'd thought it was just loss of interest and a small fee or something like that.
So rates at Marcus seem good, 1.3% for 1-year, 1.65% for 1.5-year, and 2% for 2-year.
However, looking at my Fidelity app afterwards (which shows comparison of other CD rates from other banks), I saw rates of 2% for 1-year, 2.5% for 1.5-year, and 2.9% for 2-year. One of the banks listed with these better rates was Goldman Sachs, who runs Marcus, so WHAAAAT????
This is quite a big difference! For some reason, a google search comparing rates didn't show these better rates, and actually showed the Marcus rates as being among the highest, which is odd - never trust a quick early morning google search?
Anyway, thoughts on CD rates in general (especially with such a high inflation environment), or why the spread might be so big between Marcus (online banking for Goldman) and the CDs through Goldman itself?
So rates at Marcus seem good, 1.3% for 1-year, 1.65% for 1.5-year, and 2% for 2-year.
However, looking at my Fidelity app afterwards (which shows comparison of other CD rates from other banks), I saw rates of 2% for 1-year, 2.5% for 1.5-year, and 2.9% for 2-year. One of the banks listed with these better rates was Goldman Sachs, who runs Marcus, so WHAAAAT????
This is quite a big difference! For some reason, a google search comparing rates didn't show these better rates, and actually showed the Marcus rates as being among the highest, which is odd - never trust a quick early morning google search?
Anyway, thoughts on CD rates in general (especially with such a high inflation environment), or why the spread might be so big between Marcus (online banking for Goldman) and the CDs through Goldman itself?
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but even CPI numbers are fake it's really 20-25%.
also marcus by goldman is trash keep as little money in bank accounts as you can. only what you need and a small buffer. say 10-20k
a lot for most USA households.
then invest the rest in other things. pay off your debt as well if it is high interest