Should I open a Goldman sachs 1.6% savings account?

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knightrider
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Should I open a Goldman sachs 1.6% savings account?

Post by knightrider » Wed Apr 25, 2018 2:06 pm

I use American Express bank for my savings account. They pay barely 1% interest. Should I close it out and move all the funds ( ~70k ) to Goldman Sachs bank? Supposing Goldman Sachs drop the rate to 1% after a few months.. It's kind of a pain to open a new savings account since they ask a ton of questions..

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DaftInvestor
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by DaftInvestor » Wed Apr 25, 2018 2:10 pm

Goldman Sachs (and prior to this GE-Capital-Bank) has been in the top tier yield for many years (I moved to them from CapOne360 years ago when I noticed). I wouldn't think this would change overnight.
Their ACH transfers also complete within 24 hours (unlike Synchrony Bank that has the same rate but takes 3 days).

Jack FFR1846
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Jack FFR1846 » Wed Apr 25, 2018 2:12 pm

That's pretty low these days.

Redneck bank: 1.75% up to $35k
Ablebanking: 1.70% with no limit.

I use them both plus have a CD at Ally
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alfaspider
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by alfaspider » Wed Apr 25, 2018 2:12 pm

I've had an account with them since they took over from GE. No real complains from me. Transfers have always been timely. interest rates have consistently ticked up to keep them at or very near the highest-paying accounts. Their re-branding to "Marcus, by Goldman Sachs" was a bit silly though.

alfaspider
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by alfaspider » Wed Apr 25, 2018 2:14 pm

Jack FFR1846 wrote:
Wed Apr 25, 2018 2:12 pm
That's pretty low these days.

Redneck bank: 1.75% up to $35k
Ablebanking: 1.70% with no limit.

I use them both plus have a CD at Ally
I had no idea there a real bank called "Redneck Bank." They look hilarious.

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eye.surgeon
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by eye.surgeon » Wed Apr 25, 2018 2:30 pm

I've been happy with Goldman Sachs, although I just moved a bunch of cash from them into a Vanguard California municipal money market fund because it's tax free and with SEC returns of 1.47% recently, real returns have exceeded online savings accounts.
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Zero Alpha
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Zero Alpha » Wed Apr 25, 2018 2:51 pm

Vanguard's VMMXX Prime Money Market is paying 1.8% SEC yield and the Municipal Money Market fund is paying 1.55%.

I recently transferred most of my savings account at ALLY to money market funds with the recent increase in yields.

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ruralavalon
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by ruralavalon » Wed Apr 25, 2018 3:01 pm

Zero Alpha wrote:
Wed Apr 25, 2018 2:51 pm
Vanguard's VMMXX Prime Money Market is paying 1.8% SEC yield and the Municipal Money Market fund is paying 1.55%.

I recently transferred most of my savings account at ALLY to money market funds with the recent increase in yields.
I concur. Good money market funds are back in competition, and can give better yields than high interest bank accounts.
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MnD
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by MnD » Wed Apr 25, 2018 3:04 pm

I just closed my GS-Bank savings account and put the funds in my brokerage accounts municipal bond money market fund.
Effective taxable equivalent yield in my tax bracket 1.92% versus 1.60% at Marcus.

Most brokerages have Prime, agency, treasury and muni money market funds, no-fee t-bill auction purchases, brokered CD's etc.
I think I can find decent yield on my cash without chasing and opening separate "high yield" bank accounts.
I'm ditching the use of my brick and mortar bank as well although I'm keeping it open in a minimal state in case I need it for cash deposits, large amounts of cash out or if I need a big cashiers check. The last car we sold, the buyer paid $7K in cash.

BigMoneyNoWhammies
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by BigMoneyNoWhammies » Wed Apr 25, 2018 3:08 pm

alfaspider wrote:
Wed Apr 25, 2018 2:12 pm
I've had an account with them since they took over from GE. No real complains from me. Transfers have always been timely. interest rates have consistently ticked up to keep them at or very near the highest-paying accounts. Their re-branding to "Marcus, by Goldman Sachs" was a bit silly though.
+1 to above

knightrider
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by knightrider » Wed Apr 25, 2018 3:19 pm

MnD wrote:
Wed Apr 25, 2018 3:04 pm
I just closed my GS-Bank savings account and put the funds in my brokerage accounts municipal bond money market fund.
Effective taxable equivalent yield in my tax bracket 1.92% versus 1.60% at Marcus.

Most brokerages have Prime, agency, treasury and muni money market funds, no-fee t-bill auction purchases, brokered CD's etc.
How liquid are these accounts? Any penalty for cashing them out?

stocknoob4111
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by stocknoob4111 » Wed Apr 25, 2018 3:43 pm

I have a GS Bank account @ 1.6% as well and was considering the Municipal MM or Prime MM. The SEC yields is after expense ratio correct?

Also for Municipal MM (VMSXX) I see a note 17.3% of this fund's holdings are subject to the AMT, does this affect the tax situation of the holder of the fund in any way? I have virtually no deductions so have never paid AMT (not even close) so I guess I don't have to worry about this.

tstyle2002
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by tstyle2002 » Wed Apr 25, 2018 3:49 pm

I opened one a few months ago. The only downside is Marcus / GS Bank doesn't communicate with Mint.

They recently acquired a Mint-like company called Clarity Money, which they'll be renaming Marcus by GS, so I presume that's the reason why.

Regarding fees - couldn't find it on the website, but I called and confirmed that they charge no fees for closeout. Minimum balance to stay open is $0.01 and you need at least $1 to accrue interest.

international001
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by international001 » Wed Apr 25, 2018 3:56 pm

If you don't have high limits, try coulee at 2.65%

https://www.couleebank.net/checking-sav ... sasa-cash/

SrGrumpy
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by SrGrumpy » Wed Apr 25, 2018 4:36 pm

BigMoneyNoWhammies wrote:
Wed Apr 25, 2018 3:08 pm
alfaspider wrote:
Wed Apr 25, 2018 2:12 pm
I've had an account with them since they took over from GE. No real complaints from me. Transfers have always been timely. interest rates have consistently ticked up to keep them at or very near the highest-paying accounts. Their re-branding to "Marcus, by Goldman Sachs" was a bit silly though.
+1 to above
+1. Also useful for triggering DD requirements when going for bank account sign-up bonuses. GS Bank, ahem, Marcus cannot be accessed from overseas.

Greatness
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Greatness » Wed Apr 25, 2018 4:40 pm

Popular Direct - 2% FDIC insured. Can't get better right now.

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Fudgie
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Fudgie » Wed Apr 25, 2018 4:52 pm

:oops:
Last edited by Fudgie on Fri Jun 08, 2018 6:16 pm, edited 1 time in total.

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Fudgie
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Fudgie » Wed Apr 25, 2018 4:55 pm

:oops:
Last edited by Fudgie on Fri Jun 08, 2018 6:15 pm, edited 1 time in total.

BogleMelon
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by BogleMelon » Wed Apr 25, 2018 5:01 pm

Fudgie wrote:
Wed Apr 25, 2018 4:55 pm
Greatness wrote:
Wed Apr 25, 2018 4:40 pm
Popular Direct - 2% FDIC insured. Can't get better right now.
Great rate, to be sure! $5K minimum, which is perfectly fair.
Be aware, they have fees:
https://www.populardirect.com/pdfs/513_ ... losure.pdf
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Fudgie
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Fudgie » Wed Apr 25, 2018 5:05 pm

:oops:
Last edited by Fudgie on Fri Jun 08, 2018 6:16 pm, edited 1 time in total.

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sperry8
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by sperry8 » Wed Apr 25, 2018 5:09 pm

Zero Alpha wrote:
Wed Apr 25, 2018 2:51 pm
Vanguard's VMMXX Prime Money Market is paying 1.8% SEC yield and the Municipal Money Market fund is paying 1.55%.

I recently transferred most of my savings account at ALLY to money market funds with the recent increase in yields.
+1 - this or Popular Direct @ 2% are the way to go. Either way you will yield 2% on your $70k.
BogleMelon wrote:
Wed Apr 25, 2018 5:01 pm
Fudgie wrote:
Wed Apr 25, 2018 4:55 pm
Greatness wrote:
Wed Apr 25, 2018 4:40 pm
Popular Direct - 2% FDIC insured. Can't get better right now.
Great rate, to be sure! $5K minimum, which is perfectly fair.
Be aware, they have fees:
https://www.populardirect.com/pdfs/513_ ... losure.pdf
As long as you keep $500 min in the acct, no monthly fee will be assessed. You need $5k to open, but can drop to $500 if need be. I've been with them since they started and they have consistently remained near the top. Worth a look if the OP doesn't want to go with the Municipal MM Vanguard fund which nets 2% (effective) for those in 22% bracket and above.
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steadyhand
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by steadyhand » Wed Apr 25, 2018 5:14 pm

I like GS bank’s cd rates too, much better than Ally or Capital One 360.

Only issue I have is that it seems to take a while for money in online savings available to move to a cd. It’s been 7 days since I moved money into savings and it still says available balance is 0. Current balance does show that the money is in there, just that it seems to be not available to move it yet.

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Re: Should I open a Goldman sachs 1.6% savings account?

Post by brokendirtdart » Wed Apr 25, 2018 8:14 pm

Zero Alpha wrote:
Wed Apr 25, 2018 2:51 pm
Vanguard's VMMXX Prime Money Market is paying 1.8% SEC yield and the Municipal Money Market fund is paying 1.55%.

I recently transferred most of my savings account at ALLY to money market funds with the recent increase in yields.
This is what I am doing with my Barclay's 1.5% savings account next week. Barclays has been good to me, but the higher yield with Prime Money Market and the chance to add more money to my Vanguard account makes it an easy choice for me.

Rob1Sanchez
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Rob1Sanchez » Wed Apr 25, 2018 11:06 pm

knightrider wrote:
Wed Apr 25, 2018 2:06 pm
I use American Express bank for my savings account. They pay barely 1% interest. Should I close it out and move all the funds ( ~70k ) to Goldman Sachs bank? Supposing Goldman Sachs drop the rate to 1% after a few months.. It's kind of a pain to open a new savings account since they ask a ton of questions..
That's weird....my american express savings rate is 1.55%

Barefootgirl
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Barefootgirl » Fri Jul 06, 2018 12:43 pm

Looks like Marcus is up to 1.8% now.
How many retired people does it take to screw in a lightbulb? Only one, but he takes all day.

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mattyfu1
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by mattyfu1 » Fri Jul 06, 2018 1:24 pm

Have one and love it

Daedalus
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Daedalus » Sat Jul 07, 2018 11:01 pm

I've been using Ally for savings account, they are paying 1.75% currently. I'm happy with that!

MSO4PRN
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by MSO4PRN » Sat Jul 07, 2018 11:10 pm

brokendirtdart wrote:
Wed Apr 25, 2018 8:14 pm
Zero Alpha wrote:
Wed Apr 25, 2018 2:51 pm
Vanguard's VMMXX Prime Money Market is paying 1.8% SEC yield and the Municipal Money Market fund is paying 1.55%.

I recently transferred most of my savings account at ALLY to money market funds with the recent increase in yields.
This is what I am doing with my Barclay's 1.5% savings account next week. Barclays has been good to me, but the higher yield with Prime Money Market and the chance to add more money to my Vanguard account makes it an easy choice for me.
my barclays is 1.75% now FYI, they upped it...

123
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by 123 » Sun Jul 08, 2018 12:58 am

Though recently I've moved most of our funds out of American Express Bank and Ally Bank because I felt Treasuries provided a better yield I intentionally did NOT close the American Express and Ally accounts. I left around $1K in each account. The reason I left funds in each is in case I decide to move money back over to the banking side of things because of more attractive rates, etc. By having an open account I can easily transfer funds should I want to. Normally I detest having accounts around with small amounts in them but in this case I've decided that the potential future convenience was worth the headache. It's always a hassle to open new accounts, you never know what issues might delay things, so I figure I'll keep these accounts open just in case we need them.
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Momus
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Momus » Sun Jul 08, 2018 1:16 am

Vanguard Prime Money Market fund is a lot of people favorite nowadays, it pays 2.06%. I put moved all my savings account there.

Barefootgirl
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by Barefootgirl » Sun Jul 08, 2018 7:04 am

The only difference is lack of insurance, no? low default risk, however
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ruralavalon
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Re: Should I open a Goldman sachs 1.6% savings account?

Post by ruralavalon » Sun Jul 08, 2018 8:56 am

MSO4PRN wrote:
Sat Jul 07, 2018 11:10 pm
brokendirtdart wrote:
Wed Apr 25, 2018 8:14 pm
Zero Alpha wrote:
Wed Apr 25, 2018 2:51 pm
Vanguard's VMMXX Prime Money Market is paying 1.8% SEC yield and the Municipal Money Market fund is paying 1.55%.

I recently transferred most of my savings account at ALLY to money market funds with the recent increase in yields.
This is what I am doing with my Barclay's 1.5% savings account next week. Barclays has been good to me, but the higher yield with Prime Money Market and the chance to add more money to my Vanguard account makes it an easy choice for me.
my barclays is 1.75% now FYI, they upped it...
Vanguard Prime Money Market Fund (VMMXX) currently has an SEC Yield = 2.04%.
"Everything should be as simple as it is, but not simpler." - Albert Einstein | Wiki article link:Getting Started

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