Ally Bank No Penalty CD

Discussion of the Cash portion of the Permanent Portfolio

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jhogue
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Re: Ally Bank No Penalty CD

Post by jhogue » Wed May 22, 2019 5:04 pm

One thing is certain: Goldman Sachs will be "playing with your money."

That is who they are. That is what they do.
“Groucho Marx wrote:
A stock trader asked him, "Groucho, where do you put all your money?" Groucho was said to have replied, "In Treasury bonds", and the trader said, "You can't make much money on those." Groucho said, "You can if you have enough of them!"
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pugchief
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Re: Ally Bank No Penalty CD

Post by pugchief » Wed May 22, 2019 7:05 pm

jhogue wrote:
Wed May 22, 2019 5:04 pm
One thing is certain: Goldman Sachs will be "playing with your money."

That is who they are. That is what they do.
Who cares? FDIC insured.
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Re: Ally Bank No Penalty CD

Post by jhogue » Thu May 23, 2019 9:13 am

See Craig Rowland's comments in Cash FAQ:

"Q: Why a Treasury Money Market Fund and not something else with better yield?

A: Because you are not looking to take risk with your cash. Treasury Money Market Funds that are properly run are one of the most liquid investments you can own. There are no FDIC limits to worry about, no bank credit worthiness to worry about, and you will always be paid barring some extremely catastrophic event in the country. Chasing yield with your cash means you are taking on more risk and those risks can show up when you least expect (or want) them to. "
“Groucho Marx wrote:
A stock trader asked him, "Groucho, where do you put all your money?" Groucho was said to have replied, "In Treasury bonds", and the trader said, "You can't make much money on those." Groucho said, "You can if you have enough of them!"
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ochotona
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Re: Ally Bank No Penalty CD

Post by ochotona » Tue Jun 18, 2019 8:48 pm

Ally CD rates are declining now... :(
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Re: Ally Bank No Penalty CD

Post by dualstow » Wed Jun 19, 2019 7:27 am

ochotona wrote:
Tue Jun 18, 2019 8:48 pm
Ally CD rates are declining now... :(
It won’t last, but Vanguard’s treasury money market (fund #11) is still paying over 2.3%.
I would expect gold prices to remain strong from here —- Mohamed el Arian, 7:35 a.m.
BLM looters in Chicago have broken into a Tesla dealership — Andy Ngo
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Re: Ally Bank No Penalty CD

Post by ochotona » Wed Nov 20, 2019 9:05 pm

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Re: Ally Bank No Penalty CD

Post by dualstow » Thu Nov 21, 2019 4:46 am

ochotona wrote:
Wed Nov 20, 2019 9:05 pm
Ally "buckets" sound useful

https://www.ally.com/go/bank/savingstoo ... L400001540
Cool. Seems like a fun way to allocate the right amount for bills and emergencies and see what’s left.
I would expect gold prices to remain strong from here —- Mohamed el Arian, 7:35 a.m.
BLM looters in Chicago have broken into a Tesla dealership — Andy Ngo
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Re: Ally Bank No Penalty CD

Post by ochotona » Fri Dec 20, 2019 6:21 am

Ally online savings down to 1.60% now...
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Re: Ally Bank No Penalty CD

Post by dualstow » Fri Dec 20, 2019 7:13 am

ochotona wrote:
Fri Dec 20, 2019 6:21 am
Ally online savings down to 1.60% now...
One point higher than VUSXX/ Vanguard treasury money mkt
I would expect gold prices to remain strong from here —- Mohamed el Arian, 7:35 a.m.
BLM looters in Chicago have broken into a Tesla dealership — Andy Ngo
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Re: Ally Bank No Penalty CD

Post by dualstow » Wed Mar 04, 2020 12:42 pm

Original post in the thread, 2017
sophie wrote:
Thu Jun 22, 2017 7:23 am
It's a CD...no, it's a savings account...or is it a floor wax!

https://www.ally.com/bank/no-penalty-cd/

Cliff Notes version: For a minimum balance of $25,000, you can now open a new savings-ish account with Ally yielding 1.50%. It is technically an 11 month CD with autorollover and with no early withdrawal fees. Your money is locked into the account for 6 days.
...
(2nd post is ochotona's memory of a 13% CD which made me weep)

If you're willing to lock up your money for a year, you can get a 2% CD rate (source: bankrate dot com).
Is anyone doing that?
I haven't. I have treasuries, some of it laddered. but I'm curious.
I would expect gold prices to remain strong from here —- Mohamed el Arian, 7:35 a.m.
BLM looters in Chicago have broken into a Tesla dealership — Andy Ngo
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sophie
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Re: Ally Bank No Penalty CD

Post by sophie » Thu Mar 05, 2020 9:30 am

Nah. I got out of Ally and now use Fidelity for online banking instead. My "savings account" is FDLXX, and my "checking" is actually the same account's core fund which is either SPAXX or FZFXX depending on what mood I'm in. A much simpler way to accomplish the same thing.
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Re: Ally Bank No Penalty CD

Post by dualstow » Thu Mar 05, 2020 9:38 am

I do wonder if anyone's chasing that 2% while it lasts, though. I know someone -- not a pp'er -- who is buying 5-year-CDs in anticipation of years of low rates.
I would expect gold prices to remain strong from here —- Mohamed el Arian, 7:35 a.m.
BLM looters in Chicago have broken into a Tesla dealership — Andy Ngo
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