Author Topic: Anyone using Schwab bank?  (Read 2083 times)

muscleman

  • Hero Member
  • *****
  • Posts: 3221
Anyone using Schwab bank?
« on: September 02, 2019, 02:10:32 PM »
Itís checking account is one of the best I can find, but itís savings sucks. I wonder if anyone is using their brokerage account to park the cash for their rainy day funds, and somehow has a yield similar to a decent savings account? For example, invest in some money market mutual funds that they offer with close to no risk? Right now some good banks like CIT or citibank offer 2.3 APY. But Schwabís SNSXX (short term treasury money market fund) yield is only 1.7%.
« Last Edit: September 02, 2019, 02:12:09 PM by muscleman »
I am muslceman. I have more muscle than brain!


fareastwarriors

  • Hero Member
  • *****
  • Posts: 3550
Re: Anyone using Schwab bank?
« Reply #1 on: September 02, 2019, 06:32:59 PM »
Why can't you use both Schwab bank and some other internet bank?

Use Schwab for checking and regular expenses and internet bank with higher interest rate  for savings/emergency fund.


muscleman

  • Hero Member
  • *****
  • Posts: 3221
Re: Anyone using Schwab bank?
« Reply #2 on: September 02, 2019, 06:39:04 PM »
Why can't you use both Schwab bank and some other internet bank?

Use Schwab for checking and regular expenses and internet bank with higher interest rate  for savings/emergency fund.


i want to have the least number of accounts as possible. But I guess if I have to do that, it probably makes sense to do what you said.

I currently use Ally bankís checking and saving accounts, which have been pretty good until recently when they lowered their savings APY.
I am muslceman. I have more muscle than brain!

Saluki

  • Full Member
  • ***
  • Posts: 178
Re: Anyone using Schwab bank?
« Reply #3 on: September 03, 2019, 06:12:32 AM »
I have Schwab but only have about US$3k parked there.  My GF and I both use it when we travel because they reimburse you ATM fees (even international) so it's like getting no-fee ATMs anywhere.  We used it with no problem in Canada, Ireland and France, but in Chile some bank's ATMs accepted it and some did not, so I had to try it a few times.
If it's important, do it every day. If it's not important, don't do it at all.  -Dan Gable

dcollon

  • Lifetime Member
  • Hero Member
  • *****
  • Posts: 1296
Re: Anyone using Schwab bank?
« Reply #4 on: September 03, 2019, 07:04:37 AM »
Muscleman,

I have found that it's easiest to use Schwab for most of what I do, but then again I'm likely lazy.  I move money back and forth between my brokerage account and checking account.  I move any excess cash to my brokerage account and buy short-term higher yielding securities.  It allows me to pick-up about 100-200 bps on excess cash.


bookie71

  • Lifetime Member
  • Hero Member
  • *****
  • Posts: 955
Re: Anyone using Schwab bank?
« Reply #5 on: September 03, 2019, 09:16:15 AM »
You can buy cd's from other banks on Schwab.  They are insured up to 250,000 per bank, per account.
Always remember, Pigs get fat and hogs get slaughtered.

muscleman

  • Hero Member
  • *****
  • Posts: 3221
Re: Anyone using Schwab bank?
« Reply #6 on: September 03, 2019, 04:33:47 PM »
You can buy cd's from other banks on Schwab.  They are insured up to 250,000 per bank, per account.

Interesting! I'll check it out.
Well.... I took a quick glance and the yields are worse than some of the best online banks.
https://www.schwab.com/public/schwab/investing/accounts_products/investment/bonds/certificates_of_deposit
Maturity Ranges ( 9/3/2019 )   Rates up to
1-3 Month CDs   1.964 %APY
4-6 Month CDs   1.909 %APY
7-9 Month CDs   1.804 %APY
10-18 Month CDs   1.9 %APY
1.5-2.5 year CDs   1.9 %APY
I am muslceman. I have more muscle than brain!