Take a step into your metropolitan “downtown” district. Take notice of the largest buildings in that district. Whose names are on those buildings? Shocking that they usually are names of very large banking institutions! Interesting how banks who seem to have very large physical presences, have some of the highest fees for banking. Below is a chart of the 16 banks with the most U.S. deposits, and how much they made in fees on these deposit accounts during 2008. The right-most column is a … [Read more...]
How to Earn High Yields with Brokered CDs and Avoid Pitfalls
You could’ve bought a 12 month brokered Ally CD, on March 11, 2011 at ZionsDirect with a yield of 1.44%. That is 0.19% APY higher than buying the same term CD directly from Ally. Definition: A brokered CD is a CD that is purchased by a broker (usually with a large sum) and then split up into smaller CDs and then offered to investors at above-average-rates. You must have a broker that offers brokered CDs to purchase one. However, even though almost all brokered CDs are FDIC insured, they … [Read more...]
