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FBaggins

(28,447 posts)

8. Because savings rates can't go below zero

Reply to maxrandb (Original post)

Tue Nov 1, 2022, 12:36 PM

Nov 2022

The Fed funds rate fell to the point where bank savings rates hit effectively zero years ago... and then fed rates fell substantially more but savings rates couldn't go any lower (though Europe tried it for a few years).

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With the Fed raising interest by 4 points in the past 9 months [View all] maxrandb Nov 2022 OP

You should check CD rates vs the regular accounts... Historic NY Nov 2022 #1

Bank rates should change. I have an account with... brush Nov 2022 #2

CD rates are up, which is nice. ananda Nov 2022 #3

my credit union has CDs listed at 3% MissB Nov 2022 #4

+1 CountAllVotes Nov 2022 #9

So you must keep for a year, ideally over 5 and I assume keep indefinitely after that? themaguffin Nov 2022 #13

You could keep it up to 30 MissB Nov 2022 #14

Because the interest they pay would would increase their cost of funds for the loans they issue Amishman Nov 2022 #5

I remember when banks paid 5% for a standard savings account Fiendish Thingy Nov 2022 #6

My credit union is paying 1.7% CountAllVotes Nov 2022 #7

Because savings rates can't go below zero FBaggins Nov 2022 #8

Thanks for all the good info maxrandb Nov 2022 #10

GO to a professional Johnny2X2X Nov 2022 #11

Thanks maxrandb Nov 2022 #12

Why is YOUR bank paying you 0.01% on savings account? brooklynite Nov 2022 #15

It smells like Bank of America! CountAllVotes Nov 2022 #16