Wednesday, August 05, 2009

Searching for Higher Interest Rates?

Check out this link from My Money Blog. Jonathan gives some great ideas on where to park your cash in order to earn somewhat less than abysmal interest rates!

I've been meaning to do some investigations on this front myself. I've built up a fair amount of cash again and so far, I've just been moving it into my FNBO Direct account, which is earning 1.5%. But I still have smaller amounts that are earning .02%-.06%, which is just appalling. It's less appalling than having lost 20% in the stock market, though!

5 comments:

Sherri L said...

This is a HUGE deal to me right now.
BUT I'm nervous to put my money in institutions I've never heard of.

For example... Jonathan's first example.. "easygrowchecking.com" I clicked on their site and it's DOWN. Nada.No site. I don't want to put my money somewhere if I can't access it, you know?

Too much of a nervous Nelly.
I'd consider FNBO direct though.

Melissa said...

I'm about to celebrate 3 years with FNBO. It's treated me well. The nice thing about FNBO for the cautious individuals, is that it is a subsidiary of the brick & mortar First National Bank of Omaha, where the rest of my accounts are housed. Highly recommend them.

Gord said...

I don't envy the position of the American cash investor. Damn scary! Our banks in Canada have been very good all through this. The savings rates, of course, are awful. But here we have plenty of good dividend paying companies (including banks),

We also have preferred shares from banks, and "income trusts" which are being phased out and converted into dividend payers. I know of one trust that pays a 9% distribution now; it's a great business with a big govt contract. I would favor that risk level to an American bank anyday. We are blessed here, with plenty of good choices.

bugbear said...

Smartypig.com is still offering the highest cash deposit rates out there at 2.75%, or maybe dead even with inflation.

Who knows how long it will last but they will continue to do so as long as they are able to and it is necessary for their marketing and for building their business.

bugbear said...

FYI, Smartypig deposits are actually banked at West Bank, N.A.