Help, I am earning 0.1% on my EF!

[KTP]

As most on here strive to do, I have established a 6 month EF of $30,000 and have it parked in my Wells Fargo checking account. It earns 0.1%

Fortunately, it hasn't been in there long, only a few months. What and where do you guys keep your EF? I have a 55,000 HELOC with 0 balance but would rather not use that over the EF. Should I just hit up wells fargo for a higher interest rate? Can you negotiate with a big bank for that type of thing?

[Broken Arrow]

It wouldn't hurt to ask, but I would just move your money elsewhere.

I'm fortunate in that my credit union is paying me 4.05% right now, so there's no reason to move around.

[Pitman]

It wouldn't hurt to ask, but I would just move your money elsewhere.

I agree. 0.1% is way too low interest rate to park your money. Its time to be movin out.

[DebbieL]

My savings account is down to 2% now, but even that is better than what you're getting. I'd say move it. You should be getting at least 2%. With that much money you could also try to find some good GIC rates, and just stagger them with different maturity dates (you say it is a 6 month emergency fund, so you could have each one mature 1 month apart, etc). You can cash them early if you want to (but just check on what the interest is if you cash them early). For example, I can get a 3 year GIC for 3.85%, but if you cash it early it goes to 2% (which is still better than what you're getting on yours in the bank).

[Ima saver]

I have 3 checking accounts earning 3.14 at my local bank. The rest I have tied up in c.d.'s earning 3.7 % and 4.%. You should move it somewhere else.

[Joan.of.the.Arch]

Credit Union, 5.01% for up to 25K.

[KTP]

when you say Credit Union 5.01%, do you mean the actual name of the credit union is "Credit Union"?

I am not seeing non-gimmick 5.01% rates anywhere...

BECU has a 6% teaser rate, but it is only for the first $500...after that the rate is 0.25%

[mommyof4]

Credit Union, 5.01% for up to 25K.

Wow I'm impressed!

[Joan.of.the.Arch]

Sorry, the capital U on "union" was a typo. My credit union is is largely for local residents or those who work in the area. It is called First Community Credit Union and is centered in St Louis, MO. They are a large CU, which probably helps as compared to one organized around a single profession or place of worship, or whatever.

Here are their rates. Look for "first rate checking" in the list to confirm the 5.01% https://www.firstcommunity.com/rates/dividend.html

This credit union was one of those formed during the Great Depression when so many people had lost confidence and money! in banks. My CU is fond of pointing out that it made no subprime loans and I think they keep all home loans in house. That of course means they are careful about making loans. No bundling and selling away the risk. Like the vast majority of CU's, mine also does not make business loans, so that limits their risk as well, compared to banks. "Profits" are paid to members in good interest rates as well as dividends on shares rather than to stock holders.

Someone recently posted about three banks that have rates over 6%. One was in Kansas City (KS? MO?).

[GREENBACK]

My EF is with ING. They reduced me to 1.6% recently. I've depleted it to about 8k in recent months so it would take a pretty decent rate increase to make a big difference. I'm sticking with them for now because they seem to provide good customer service and I'll take that over rate chasing for a few small points.

[SavingCash]

Credit Union, 5.01% for up to 25K.

Wow, very nice. I wish I could get those kinds of rates. My savings account has dropped to 2%.

[MonkeyMama]

GMAC is 2.5%, today anyway.

I'd keep my eye out for CDs. Though I wouldn't lock any in very long right now (unless great rates). I still have a 5.5% CD (Cal First) but bought it a while ago... I had 6% on another CD (local CU) most of 2007/2008.

Check out bankrate.com and keep an eye on things. Check with all your local CUs and banks. But I agree - definitely move it. My CU offers something like 0.1% on savings accounts. NEedless to say, I don't park my money there.

[noppenbd]

I use a high-yield checking acct through Southern Community Bank & Trust, earning 4.0% APY. Here are some others you can check out, although they all will require you to jump through a few hoops:
High Yield Checking Deals - Reward Checking: High Yield Reward Checking Accounts by State

[KTP]

So I talked to Wells Fargo today, just to see if there was something I was missing. The lady said, yes! we have a new premier savings account for people with balances between 25,000 and 50,000. It is paying 1.04% APY



So yay? If I keep 25k in my wells fargo savings account they will give me a rate that is less than half of GMAC?

I am going to open a GMAC account next week I think.

(I could not find a credit union that was paying 5%)