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Joined Oct 2015
L2: Beginner
> bubble2 44 Posts
26 Reputation
Original Poster
sfeshaw
04-22-2024 at 09:50 PM.
04-22-2024 at 09:50 PM.
This is my first post. Please let me know what I could have done better. I liked the deal since I opened their savings account back in December for the bonus, which just got paid in April . so rolled original deposit into this CD It seems like a decent rate
1
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Joined Sep 2012
Convexity
> bubble2 315 Posts
BondTrader
04-23-2024 at 07:35 AM.
04-23-2024 at 07:35 AM.
Rate is inline with Bills 10-months out.

But, then again, you can just buy bills and have the ability to sell anytime with advantageous tax treatment.
Reply
Joined Aug 2005
Cyberpunk
> bubble2 6,771 Posts
1,311 Reputation
amax
04-23-2024 at 08:56 AM.
04-23-2024 at 08:56 AM.
Eh. Lately, it's looking like the totally fluid 5% rate we're getting at places like CIT Bank, will hold for the year. PASS.
Reply
Joined Nov 2018
L3: Novice
> bubble2 235 Posts
34 Reputation
OrangeStag2904
04-23-2024 at 10:23 AM.
04-23-2024 at 10:23 AM.
10 months is perfect, just in time to be available to pay taxes if needed.
1
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Joined Oct 2020
New User
> bubble2 4 Posts
10 Reputation
star7rulz
04-23-2024 at 12:05 PM.
04-23-2024 at 12:05 PM.
Quote from BondTrader :
Rate is inline with Bills 10-months out.

But, then again, you can just buy bills and have the ability to sell anytime with advantageous tax treatment.
whats the tax treatment? subject to federal but no state and local income tax?
Reply
Joined Sep 2012
Convexity
> bubble2 315 Posts
BondTrader
04-23-2024 at 12:36 PM.
04-23-2024 at 12:36 PM.
Quote from star7rulz :
whats the tax treatment? subject to federal but no state and local income tax?
Correct.

That, combined with liquidity in the secondary market and high yields. Just stick with the bill.
Reply
Joined Dec 2006
L5: Journeyman
> bubble2 588 Posts
318 Reputation
vulches
04-23-2024 at 01:09 PM.
04-23-2024 at 01:09 PM.
Quote from BondTrader :
Correct.

That, combined with liquidity in the secondary market and high yields. Just stick with the bill.
Probably a dumb question, but where's the easiest place to buy/sell?
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Joined Sep 2012
Convexity
> bubble2 315 Posts
BondTrader
04-23-2024 at 01:15 PM.
04-23-2024 at 01:15 PM.
Quote from vulches :
Probably a dumb question, but where's the easiest place to buy/sell?
Any full service brokerage, Schwab, Interactive Brokers, Fidelity, E-Trade.

You'd get the best pricing on Interactive brokers since they use trade web and market axess on the backend, Schwab has good pricing on treasuries, other bonds not so much. Fidelity has good pricing on treasuries, and will screw you heavily on other bonds.

By good pricing, I mean the closest price to the actual price the security trades at.

Basically, if you're buying and selling treasuries, any of the guys above will work well. If you want to venture into other bonds, you have a much tougher choice.
Reply
Joined Oct 2015
L3: Novice
> bubble2 172 Posts
26 Reputation
NunyaBidniz
04-23-2024 at 01:18 PM.
04-23-2024 at 01:18 PM.
Cap1 are buffoons: they've blacklisted me for a card they canceled due to their *own repeated error.* So I've blacklisted them in return. Save yourself the aggravation of dealing with those knuckleheads!
9
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Joined May 2013
L2: Beginner
> bubble2 59 Posts
14 Reputation
druiddation
04-23-2024 at 03:41 PM.
04-23-2024 at 03:41 PM.
Can you fund with a credit card?
Reply
Joined Jan 2015
L2: Beginner
> bubble2 68 Posts
14 Reputation
Karbunkster
04-23-2024 at 07:11 PM.
04-23-2024 at 07:11 PM.
Quote from BondTrader :
Any full service brokerage, Schwab, Interactive Brokers, Fidelity, E-Trade.

You'd get the best pricing on Interactive brokers since they use trade web and market axess on the backend, Schwab has good pricing on treasuries, other bonds not so much. Fidelity has good pricing on treasuries, and will screw you heavily on other bonds.

By good pricing, I mean the closest price to the actual price the security trades at.

Basically, if you're buying and selling treasuries, any of the guys above will work well. If you want to venture into other bonds, you have a much tougher choice.
Or you can also open the account with Treasury directly https://www.treasurydirect.gov/
Reply
Joined Sep 2012
Convexity
> bubble2 315 Posts
BondTrader
04-24-2024 at 08:42 AM.
04-24-2024 at 08:42 AM.
Quote from Karbunkster :
Or you can also open the account with Treasury directly https://www.treasurydirect.gov/
Sure, but you'll have significant limitations and be limited to new issues.

Otherwise, brokerage is by far the best options. Buy and sell new issue and secondary, and of course invest in other bonds. Easier, and you can see gains and losses in real time.
2
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Joined Sep 2012
Convexity
> bubble2 315 Posts
BondTrader
04-24-2024 at 08:46 AM.
04-24-2024 at 08:46 AM.
Quote from druiddation :
Can you fund with a credit card?
Of course you can.

0% Balance transfer with a fee of 3% - 5% into a checking account, earn 5.1%, make the minimum payments on the card until your CD matures. Pay off balance on maturity, and make the difference from the financing rate and return on the CD. Interest rate arbitrage.
1
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Joined Oct 2004
L6: Expert
> bubble2 1,694 Posts
148 Reputation
Phegotgame
04-24-2024 at 11:31 AM.
04-24-2024 at 11:31 AM.
Do this in a year
Reply
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