NO penalty CDs, Marcu, Sallie Mae, Ally bank??

C

Crunchyknees60

HI all

I was wondering if any of you guys have experience with Marcus by Goldman Sachs or Sallie Mae no penalty cds?? I currently have money at Ally Bank at 4.55%. Marcus no penalty cd s pay 4.70% and Sallie Mae 4.75%. The ratings for Ally is pretty bad its rated BBB-. However they have terrific customer service. I believe the rating for Sallie Mae is BB. I cant figure out Marcus. Its owned by goldman sachs and its hard to get rating on that bank. Marcus i believe guarantee same day transfers. I dont suppose any day trading outfits pay over 4.5% on cash balances?? Any other ways to get over 4% on cash balances with ez liquidity?

Lets not bring up the FDIC. Everyone knows they dont have enough money to back all the money in the system.
 
Crunchyknees60 said:
I dont suppose any day trading outfits pay over 4.5% on cash balances?? Any other ways to get over 4% on cash balances with ez liquidity?
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Fidelity auto-rolls free cash into SPAXX which yields 5%.

Avi Gilburt regularly writes articles about some of the large banks.
https://www.saferbankingresearch.com/articles/sa
https://seekingalpha.com/article/4652541-are-you-preparing-for-another-banking-crisis-you-should-be

He has a paid service where he lists his *safest* banks. I haven't seen the list.
https://www.saferbankingresearch.com/methodology-banks/sa
 
1 month treasuries are about 5.5%.
Why accept less? Plus that interest is tax advantaged.

I don't get why people accept a higher risk for less return.
 
CET said:
Check out ETFs SGOV and BIL. Get short term rates and can enter and exit with ease.
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Good point.
sgov is about 4.8%.

How is it that these bank are able to sell their CDs so cheaply? In a sane world that BBB- bank should be paying over 6%.
 
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