Thanks, good info.

I have a direct deposit with WFargo and got this email from them yesterday, advertising their special intro CDs and rates. What caught my eye was the interest rate at the bottom of the ad below to which the CD reverts if you allow it to roll over on its own.

4 month Special Fixed Rate CD1

3.49% APY
Relationship APY2 may be higher
Special Interest Rate
3.43%
Annual Percentage Yield (APY)
3.49%
Relationship Interest Rate
3.68%
Relationship APY2
3.75%
Term
4 months
Renewal Term
3 months
Current Renewal APY
0.50%


The current renewal APY is only 0.50%?

Bit of a hijack but this thread got me thinking. Let's say I have a year of expenses for my emergency fund. We'll call it $120k for discussion purposes. Right now, it's all in a HYSA. I'm thinking I need to do some things discussed in this thread regarding CDs or muni bonds.

That being said what split would y'all recommend? Also, I don't really put much in my after tax brokerage currently since I've been building up my emergency fund. Would y'all advise additional savings into the after tax brokerage and/or putting some of the emergency fund in as well?

The Collective said:

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They offered a new money rate for the CD. It's a pretty common marketing tactic, because many people don't pay attention and it just renews at the typical CD rate.

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Well, after my aforementioned CD matured and I questioned the roll over rate, they granted me a 3.5% rate so you nailed it. Up almost a full percentage point.
In checking around, I stumbled upon Verabank which is offering a 3 or 4 month CD rate of 3.85% APY. And if you are an old, there is a checking account available which allows the holder to withdraw penalty-free from a CD once per term.

I'd stash it at Pibank savings acct, their rate is 4.4%
but then again, for your situation, that's only about $160 difference over the course of a year.

I don't think rates are going down any time soon, so no need for a CD right now.