I've used several online banks in the past, but not Discover. I've had no problem with any of them in terms of my money, but I was in when interest rates were dropping through the floor and kept switching to keep above 1/2 percent. Now, I have a money market with Merchants Bank of Indiana that makes 4.5% apy. I'm thinking about switching some money into their "flex CD" that moves with the interest rates from the fed that's currently paying 5.39% for either 12/24/36 months. but haven't pulled that particular trigger yet.Any of you guys use Discover bank system? I use their credit card but not the bank system. They are offering 200 bucks on a 25,000 deposit and 3.54% APR. Just wondering how safe this would be?
SO? With my own money invested in their bank they do overnight loans? This is a saving and checking account with Discover.Beware of accessibility. I’ve been there and done that. Admittedly $25k isn’t a lot of money unless you don’t have it. Small locally owned banks are worth much more than the bloated, fee driven banks who make return by originating overnight loans. (If you don’t know how overnight loans work or what they are you should look it up.)
Suit yourself but this capon isn’t in it for the frustration that comes with what you are considering.
yep….. that’s the game. The way it’s done, on 100mm say, an overnight note is issued to Japan as an example. They (Japan in this example) use the credit to cover options, audits or whatever, then return the money plus interest before your bank’s opening the next day. Actually it’s a little like a domestic sweep account.SO? With my own money invested in their bank they do overnight loans? This is a saving and checking account with Discover.
Thanks for the info! Screw thatyep….. that’s the game. The way it’s done, on 100mm say, an overnight note is issued to Japan as an example. They (Japan in this example) use the credit to cover options, audits or whatever, then return the money plus interest before your bank’s opening the next day. Actually it’s a little like a domestic sweep account.
Same thing applies to weekends. Think international date line and how long money could be kited. Btw as far as I’m concerned this is kiting money but what do I know.
Really wasn't the bonus it was the APR they are paying that caught my eye. Instead of doing this, I rolled over a lot of IRA money into CDs that are paying a bit over 5 percent. My real worry is I have over the FDIC amount insured in my Credit Union bank. and need to move a little money to stay safe.I wouldn't move 25k for a $200 bonus, unless you were already going that way.
That said, I did just open an additional account at fidelity and only had to deposit $50 to get $100.
That definitely makes sense to diversify.Really wasn't the bonus it was the APR they are paying that caught my eye. Instead of doing this, I rolled over a lot of IRA money into CDs that are paying a bit over 5 percent. My real worry is I have over the FDIC amount insured in my Credit Union bank. and need to move a little money to stay safe.
I do.Any of you guys use Discover bank system? I use their credit card but not the bank system. They are offering 200 bucks on a 25,000 deposit and 3.54% APR. Just wondering how safe this would be?
Yeah, that should be a real concern given the rapid collapse of banks like Silicon Bank.Really wasn't the bonus it was the APR they are paying that caught my eye. Instead of doing this, I rolled over a lot of IRA money into CDs that are paying a bit over 5 percent. My real worry is I have over the FDIC amount insured in my Credit Union bank. and need to move a little money to stay safe.