<mikepier[at]optonline.net> wrote
- quote -

The yield curve has inverted. See the second chart from the
top, on the left, at http://www.investinginbonds.com/ to
monitor it. This is an unusual situation for interest rates,
so we will not see "business as usual" among those offering
short term instruments. Rates on offerings will be erratic
(or more erratic than in the recent past). In the past my
local banks' CD offerings have been notoriously poor. Now at
least one is offering 3-to-six month CDs (minimum a mere
$1000) that rank second nationwide (for the 3-month) and in
the top six or so for the 6-month as far as interest rates,
according to www.bankrate.com . Of course, this offer is
only good at the local bank for about another week or so. In
two weeks things may change quite a bit. The interactive
graphic at
http://www.smartmoney.com/onebond/in...ory=yieldcurve
is a great resource for getting a handle on the yield curve
and what it has done since about 1977.

There are several online banks out there that have savings rates that
are more attractive than CD's right now, like
http://www.dimedirect.com/ offering a 6% money market for 3 months.
Theres also e-loan with a 5.5% savings rate (Min $5,000 balance)
https://www.eloan.com/savings?user=bkr&mcode=bkrkwskhr

Or http://www.amboydirect.com/premiumsavings/ has a 5.30% savings rate,
no minimums.

I don't know why ING is not being competetive. They used to be, not
anymore.

Bucky wrote:
- quote -

cash to EmigrantDirect (5.15% currently), which has been offering great
rates for a few years now. They also have an interesting (= strange) CD
offer with the same rate regardless of term.

There are many alternatives:
http://www.parchayi.com/2006/08/15/s...rate-shootout/

Shhhh wrote:
- quote -

High yield online savings are ultra-competitive these days. ING
apparently has decided not to try to offer the highest yield, but
rather to spend money on referral bonuses and massive advertising (even
on TV). Which honestly, is probably the better strategy from the bank's
point of view.

- quote -

There's no minimum, so it's not necessary to close the account. I'd
leave a few dollars with ING in case things change in the future.

"joetaxpayer" <joetaxpayer[at]nospam.com> wrote
- quote -

Pretty nice. The offerings at Fidelity for the same maturity
CDs are quite a bit lower right now. This surprise me,
because Fidelity in the recent past has been pretty
competitive with its brokered CD offerings. Perhaps the
yield curve inversion has thrown things into a bit of a
tizzy?

joetaxpayer wrote:
- quote -

I too use Schwab. No transaction fee for buying CD. And I have a list
of about 20 to choose from for each different maturity dates.

Shhhh wrote:

- quote -

I'll offer one warning. On $10,000, the .6 is $60 delta.
When staying with the same bank (or using a broker who has CDs as an
option) you save the 'dead time' where the money will sit earning
nothing (or just checking interest). If that time is 2 weeks, that's
nearly .2 of the .6 lost.
I use Charles Schwab, where 3 mo CDs are 5.3, and 6 mo are 5.26.
You get a warning email when they come due, and decide on the next one
to buy, nothing automatic. Just my thought.
JOE

Is it me or is ING no longer a good deal for someone looking for a good
online savings account? HSBCdirect online offers 5.05%, citi bank is
offering around 5%, and then there's ING which is offering only 4.40% What
gives? why are they so far behind these other online banks? any thoughts? is
it worth closing my ING account and moving money to one of these options for
that 0.6% difference?


Thanks,
Shhhh