Best CD rates thread

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aida2003
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Re: Best CD rates thread

Post by aida2003 » Sat Nov 02, 2019 6:58 pm

BTW, when looking at the PSECU fee schedule, it says "Stop Draft Payment Series or ACH Permanent Stop - $15"

So, once you're done with your monthly add-on, you're charged $15 to stop?

And then "Dormant Account - $2 a month". So, while you have add-on going on, it's all good and free, but once you stop, you pay $15 for stopping ACH plus $2 a month unless you make a habit of making a monthly call to PSECU or deposit/withdraw $ from the account. To avoid these charges, I'm guessing I can set up a monthly ACH to pull $2-3 to the share account until the 3-year CD expires.

Did others interpret the fee schedule and how to overcome those fees the same way? Maybe I'm reading too much in.

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Kevin M
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Re: Best CD rates thread

Post by Kevin M » Sat Nov 02, 2019 7:13 pm

aida2003 wrote:
Sat Nov 02, 2019 6:58 pm
BTW, when looking at the PSECU fee schedule, it says "Stop Draft Payment Series or ACH Permanent Stop - $15"

So, once you're done with your monthly add-on, you're charged $15 to stop?
I don't think so. The line in the fee schedule above the one you reference says:
Stop Draft Payment or ACH Stop (single check or ACH item)
So I interpret "draft payment" as a check. The monthly add-on is not a check or ACH payment, but an internal transfer.
aida2003 wrote:
Sat Nov 02, 2019 6:58 pm
And then "Dormant Account - $2 a month". So, while you have add-on going on, it's all good and free, but once you stop, you pay $15 for stopping ACH plus $2 a month unless you make a habit of making a monthly call to PSECU or deposit/withdraw $ from the account. To avoid these charges, I'm guessing I can set up a monthly ACH to pull $2-3 to the share account until the 3-year CD expires.

Did others interpret the fee schedule and how to overcome those fees the same way? Maybe I'm reading too much in.
If you actually read the fee schedule, you'll see:
Dormant Account - An account is considered dormant if there has been no financial activity or member-initiated correspondence for at least one year. PSECU will assess a $2 monthly fee to these accounts. If an account has $2 or less, the total amount remaining will be charged and the account closed. To avoid the fee, members can simply make a deposit/withdrawal or contact PSEC.
It is very common at credit unions to put an account into dormant status if there is are no deposits or withdrawals in a 12-month period. They usually send you a warning--I just got one from another credit union. So you just need to do a deposit or withdrawal once per year, or apparently a secure message might due if it counts as "correspondence".

So yeah, I think you're reading more into it than is really there.

I'll also note that they reversed an insufficient funds charge of $30 for me twice--once automatically, and once with a phone call. Many of us have testified to PSECU's excellent and friendly customer service.

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aida2003
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Re: Best CD rates thread

Post by aida2003 » Sat Nov 02, 2019 10:19 pm

TY, Kevin, for your answers. I wanted to make sure that I will not be hit by fees. My savings will not be very high at this CU, so fees would not be welcome for me than say for people who move hundreds of thousands.

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Ricchan
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Re: Best CD rates thread

Post by Ricchan » Sun Nov 03, 2019 6:26 am

Kevin M wrote:
Sat Nov 02, 2019 7:13 pm
aida2003 wrote:
Sat Nov 02, 2019 6:58 pm
And then "Dormant Account - $2 a month". So, while you have add-on going on, it's all good and free, but once you stop, you pay $15 for stopping ACH plus $2 a month unless you make a habit of making a monthly call to PSECU or deposit/withdraw $ from the account. To avoid these charges, I'm guessing I can set up a monthly ACH to pull $2-3 to the share account until the 3-year CD expires.

Did others interpret the fee schedule and how to overcome those fees the same way? Maybe I'm reading too much in.
If you actually read the fee schedule, you'll see:
Dormant Account - An account is considered dormant if there has been no financial activity or member-initiated correspondence for at least one year. PSECU will assess a $2 monthly fee to these accounts. If an account has $2 or less, the total amount remaining will be charged and the account closed. To avoid the fee, members can simply make a deposit/withdrawal or contact PSEC.
It is very common at credit unions to put an account into dormant status if there is are no deposits or withdrawals in a 12-month period. They usually send you a warning--I just got one from another credit union. So you just need to do a deposit or withdrawal once per year, or apparently a secure message might due if it counts as "correspondence".
FWIW, I called and asked PSECU about the dormant account fee a few weeks ago. The lady on the phone said they don't charge the dormant account fee on the normal share (savings) account if you also have a CD open. If this is an important issue for you, I'd suggest you call them and confirm yourself since there's always the chance I might've heard it wrong.

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Re: Best CD rates thread

Post by exoilman » Sun Nov 03, 2019 11:48 am

reference :sharebeer

aida2003
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Re: Best CD rates thread

Post by aida2003 » Sun Nov 03, 2019 5:30 pm

Ricchan wrote: FWIW, I called and asked PSECU about the dormant account fee a few weeks ago. The lady on the phone said they don't charge the dormant account fee on the normal share (savings) account if you also have a CD open. If this is an important issue for you, I'd suggest you call them and confirm yourself since there's always the chance I might've heard it wrong.
TY :beer I will not need it for a while. I need to open an account first.

aida2003
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Re: Best CD rates thread

Post by aida2003 » Sun Nov 03, 2019 7:07 pm

I stumbled on one hurdle in the process of the application.
It's asking to upload my DL but each time I try to upload it, I keep getting the same pop-up message "The file you're trying to upload is not of the approved format" or something like that. I tried PDF, JPG, and DOC. None goes through. I attempted to attach a gas bill in PDF but it failed as well.
Anyone know what's the problem? I might need to fax the doc in but I hope they can accept an Email. I don't know where I will find a fax to do this.

Also, I had two fields saying the same thing...I will get a savings account which is a regular share account, and the minimum I had to deposit in each was $15. Why? I thought it would have been only one regular share account, not two. I hope I'm not paying for two memberships at the PA park.
I will call PSECU tomorrow at 8 am, but the file upload failure stumped me.

Am I OK to lock my credit history now? I don't think the application processor will run another check on me.

Thank you.

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Re: Best CD rates thread

Post by Katietsu » Sun Nov 03, 2019 7:20 pm

aida2003 wrote:
Sun Nov 03, 2019 7:07 pm
I stumbled on one hurdle in the process of the application.
It's asking to upload my DL but each time I try to upload it, I keep getting the same pop-up message "The file you're trying to upload is not of the approved format" or something like that. I tried PDF, JPG, and DOC. None goes through. I attempted to attach a gas bill in PDF but it failed as well.
Anyone know what's the problem? I might need to fax the doc in but I hope they can accept an Email. I don't know where I will find a fax to do this.

Also, I had two fields saying the same thing...I will get a savings account which is a regular share account, and the minimum I had to deposit in each was $15. Why? I thought it would have been only one regular share account, not two. I hope I'm not paying for two memberships at the PA park.
I will call PSECU tomorrow at 8 am, but the file upload failure stumped me.

Am I OK to lock my credit history now? I don't think the application processor will run another check on me.

Thank you.
I uploaded both a pdf and a jpg. It sounds like you are having a unique problem. Have you tried a different browser? That may also be the cause of the second problem you are having.

Personally, I would not lock my credit history until after the application was approved. You are probably right though that you could lock it and be fine.

aida2003
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Re: Best CD rates thread

Post by aida2003 » Sun Nov 03, 2019 8:55 pm

TY, Katie.
Neither Chrome nor Firefox worked in uploading the docs. I'll see what I'm told tomorrow.

Loon11
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Re: Best CD rates thread

Post by Loon11 » Sun Nov 03, 2019 11:15 pm

tried opening an account this weekend and did fine. My DH wanted one too so I put in his info, then he decided to wait. So I clicked back and then it logged me out, so I started the process again. then I saw that I had two pending file #s. Not wanting two, I called and was transferred to new account service, waited 18 min, put down the phone for less than one min, they came on and hung up. Called back and was told that the one I didnt pay the fee on will eventually get deleted. Hopefully, the account will be approved soon. Had no trouble uploading a jpg of my license via Firefox. I wanted to put 50K in a CD but I can only wire that much - will do it from Ally later in the month. The CU won't take an ACH for new members for 30 days. the CSR said the rates would be until Nov. 30 for sure. I also did a 15 month at NASA for 2.5% but too late to reverse that deposit.

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Re: Best CD rates thread

Post by Loon11 » Sun Nov 03, 2019 11:18 pm

aida203 - you must've added another account (for your spouse) which triggered the request for two $15 deposits. I backed out and restarted the process for just myself (spouse can join later without the P&R membership) - which caused two pending applications.

Loon11
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Re: Best CD rates thread

Post by Loon11 » Sun Nov 03, 2019 11:51 pm

Kevin,
I'm a bit confused about ACH transfers. I was told by CSR that there was a $25K limit for new customers. If I linked the new account to Vanguard or other bank and initiated the transfer to PSECU, would they take the funds? Maybe the CSR was referring to an ach on their end.
also, you mention the Vanguard fed MM wiring - I have funds in prime and treasury MM, can they also be wired? I am trying to also link my Marcus to either vanguard or PSECU but if pSECU won't take but $25K, will need to fund by wire or check.

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Re: Best CD rates thread

Post by Mitchell777 » Mon Nov 04, 2019 5:47 am

Why does a local CU like PSECU want a lot of money from outside their area or state? IN PA I'm used to seeing CU's that limit money to their counties of operation. They know most of that money will leave in two or three years unless they offer another rate well above the norm. I understand it with national CU's like Navy Federal and others who offer high rates on a somewhat regular basis. This is the first time I've seen PSECU offer a rate this much above other CU's or banks.

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Re: Best CD rates thread

Post by Neil H » Mon Nov 04, 2019 7:51 am

aida2003, I had the same problem with DL using Chrome and Safari. Filed application anyway and next day PSECU called to ask me to email the DL. Account opened same day. Their process is a bit clunky, but for 3.25% well worth the trouble to me.

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Re: Best CD rates thread

Post by 2Birds1Stone » Mon Nov 04, 2019 8:33 am

Hey, so I dumped about 2 years of expenses in the 3 year CD. I have 6 months expenses that freed up from another CD maturing today......torn between the 2 and 5 year option at 3%.

Any downside to the 5 year over the 2 year?

Don't foresee myself needing these funds any time soon......

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Re: Best CD rates thread

Post by Scooter57 » Mon Nov 04, 2019 10:39 am

PSECU posted its rates today and the are, as promised, the same for the 2, 3, and 5 yr CDs.

Julieta7
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Re: Best CD rates thread

Post by Julieta7 » Mon Nov 04, 2019 11:39 am

Neil H wrote:
Mon Nov 04, 2019 7:51 am
aida2003, I had the same problem with DL using Chrome and Safari. Filed application anyway and next day PSECU called to ask me to email the DL. Account opened same day. Their process is a bit clunky, but for 3.25% well worth the trouble to me.
Same glitch here, I emailed it and called to assure they received it. They did! All is well.

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Kevin M
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Re: Best CD rates thread

Post by Kevin M » Mon Nov 04, 2019 2:59 pm

Loon11 wrote:
Sun Nov 03, 2019 11:51 pm
Kevin,
I'm a bit confused about ACH transfers. I was told by CSR that there was a $25K limit for new customers. If I linked the new account to Vanguard or other bank and initiated the transfer to PSECU, would they take the funds? Maybe the CSR was referring to an ach on their end.
also, you mention the Vanguard fed MM wiring - I have funds in prime and treasury MM, can they also be wired? I am trying to also link my Marcus to either vanguard or PSECU but if pSECU won't take but $25K, will need to fund by wire or check.
I did not personally do a large ACH transfer, so I can't speak from experience--I've used wires for all large transfers so far--but I've never heard of a receiving bank/CU refusing an ACH initiated from an external bank/CU/brokerage regardless of amount. I'm pretty sure others have done ACH transfers larger than $25K to fund a CD with a new account, so hopefully someone else will chime in on this.

Regarding ACH and wire transfers, I should clarify that I'm using a brokerage account. If you have a brokerage account, you will have Fed MM as the settlement fund, and ACH transfers from this seem to go one day faster than transfers from a non-settlement fund, such as Prime MM--at least that's what I've seen so far. If you have an old-platform mutual fund account, you won't have a settlement fund, and you won't be able to take advantage of the faster transfers from the settlement fund.

Yes, I can do wires online from Vanguard Fed MM and Treasury MM; Prime MM should be no different than Treasury MM, as they are both non-settlement-fund MM funds. I initiated my test wires from Vanguard today, about $1,000 each (the minimum to do online wire at Vanguard) from Fed MM and Treasury MM, and will post the results when the transfers are complete.

In the online sell screen, after entering the amount to sell and selecting PSECU as "where's the money going", you should see a radio button to change the transfer method to Wire, as long as the amount is $1,000 or more. At least this is what I see.

You can also call Vanguard to do a wire, as others have posted. I believe if you do it with a phone call, you don't have to wait the 10 days or so for Vanguard to allow outgoing transfers to a newly linked bank/CU. I haven't done it this way.

Vanguard charges an outgoing wire fee of $10 unless you are Flagship (I think that's the minimum status to get free wires); I am Flagship, so there is no wire fee for me. Unless the wire from Fed MM gets there same day, I would just use ACH transfer from Fed MM, since it gets there next day.

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aida2003
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Re: Best CD rates thread

Post by aida2003 » Mon Nov 04, 2019 3:11 pm

Julieta7 wrote:
Mon Nov 04, 2019 11:39 am
Neil H wrote:
Mon Nov 04, 2019 7:51 am
aida2003, I had the same problem with DL using Chrome and Safari. Filed application anyway and next day PSECU called to ask me to email the DL. Account opened same day. Their process is a bit clunky, but for 3.25% well worth the trouble to me.
Same glitch here, I emailed it and called to assure they received it. They did! All is well.
Thank you both for responding. I'll be calling after work and request to email instead of faxing.

I'll also ask to delete a duplicate account. I don't know how I managed to request two but whatever. I'll do some jumping through the hoops to secure the 3.25% rate :mrgreen:

I hope $15 suffices or should I have paid $20? I saw other people depositing $20 instead of $15 for some reason. I'll ask the rep to make sure they don't delete my account if I was $5 short.

HeelaMonster
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Re: Best CD rates thread

Post by HeelaMonster » Mon Nov 04, 2019 4:04 pm

aida2003 wrote:
Mon Nov 04, 2019 3:11 pm
I hope $15 suffices or should I have paid $20? I saw other people depositing $20 instead of $15 for some reason. I'll ask the rep to make sure they don't delete my account if I was $5 short.
The "application deposit" business is a bit of a mystery (to me), so I can only say how it worked for me...

When I opened the account (the day my application was accepted), I already had $10 waiting there for me. I added $20 of my own money to that, by credit card. I then wired $X for the CD, so had a total of $X+30 in my account. I purchased the CD, which left $30 in my share account. After 4-5 days they automatically deducted $20 (labeled on my statement as "ACH Origination Withdrawal: Payment to Routing Number XXXXX." This left me with $10 balance in my share account, which I apparently get to keep.

If that same math holds for you, you should be left with $5 balance in your share account?
Last edited by HeelaMonster on Tue Nov 05, 2019 9:16 am, edited 1 time in total.

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Ricchan
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Re: Best CD rates thread

Post by Ricchan » Mon Nov 04, 2019 5:11 pm

$15 initial deposit into the share account should be fine. They initially deposit an additional $10 into your account because they pay $10 of your $20 Pennsylvania Recreation and Park Society Membership fee. So, after a few days, they will withdrawal $20 from your account to pay for the membership fee, and you should be left with $5, which is their minimum balance requirement.

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Kevin M
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Re: Best CD rates thread

Post by Kevin M » Mon Nov 04, 2019 5:21 pm

aida2003 wrote:
Mon Nov 04, 2019 3:11 pm
I'll also ask to delete a duplicate account. I don't know how I managed to request two but whatever.
Somehow I ended up with a couple of duplicate applications too--I think at least one of them was due to a failed attempt to open a checking account with a negative balance in my share account. A phone call took care of that.
aida2003 wrote:
Mon Nov 04, 2019 3:11 pm
I hope $15 suffices or should I have paid $20? I saw other people depositing $20 instead of $15 for some reason. I'll ask the rep to make sure they don't delete my account if I was $5 short.
I deposited $100, because that's the max, and because I earned $2 in credit card rewards cash back. If they allowed a larger initial deposit by credit card, I would have deposited more.

You can always apply it toward the CD, which is what I did. Just be sure to leave enough in for the $20 withdrawal for parks and recreation membership, if that's how you qualified for PSECU membership; I didn't do that, and ended up with overdrafts, negative balance, and overdraft fees (but as I've mentioned, those were reversed).

I think $15 will be fine, as $10 of it will go to the parks and recreation membership, leaving the minimum of $5 in the account.

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Re: Best CD rates thread

Post by indexfundfan » Mon Nov 04, 2019 5:53 pm

Kevin M wrote:
Mon Nov 04, 2019 2:59 pm
Yes, I can do wires online from Vanguard Fed MM and Treasury MM; Prime MM should be no different than Treasury MM, as they are both non-settlement-fund MM funds. I initiated my test wires from Vanguard today, about $1,000 each (the minimum to do online wire at Vanguard) from Fed MM and Treasury MM, and will post the results when the transfers are complete.
I would be interested to see your results. My prediction

Wire from Fed MM : receive on T+1 before 12pm ET
Wire from Prime MM : receive on T+1 before 12pm ET

An ACH from Fed MM would be received on T+1 before 8am ET.

I think an one-time Fed MM redemption using phone call / authentication for wire request should reach on the same day T+0 (if requested early enough).
My signature has been deleted.

nalor511
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Re: Best CD rates thread

Post by nalor511 » Mon Nov 04, 2019 6:01 pm

Boy do I miss 4% CDs.

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Kevin M
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Re: Best CD rates thread

Post by Kevin M » Mon Nov 04, 2019 6:44 pm

nalor511 wrote:
Mon Nov 04, 2019 6:01 pm
Boy do I miss 4% CDs.
From when, where, and what's the point?

The only CD I've purchased at a 4.X% rate since I started regularly buying direct CDs in October 2010 was a 4.20% APY 5-year IRA CD at Achieva Credit Union bought in May 2018. That one was nice, because they let me do penalty-free withdrawals from two IRA CDs at 2.71% to invest in the higher yielding one. They allow full, penalty free withdrawals from IRA CDs if age 59 1/2 or older. But we digress.

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Re: Best CD rates thread

Post by deanmoriarty » Mon Nov 04, 2019 10:22 pm

Question: I got taken away by the exuberance of the thread and opened an account, which has just been approved. I was planning to park $50k in a 36 months CD there, but then realized that with my current tax situation of 35% federal (could go to 37% by the end of the year) and 10.3% state, that might be sub-optimal.

$50k represents the portion of my fixed income allocated to cash-like instruments (~2-3% of my portfolio). The remaining portion of my fixed income is in total bond market (in tax advantages accounts) and intermediate muni bond fund (in taxable).

I am 33 and my allocation is currently 70/30 (has been like that since when I started investing).

Do you think I should look elsewhere?

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Re: Best CD rates thread

Post by BlackcatCA » Tue Nov 05, 2019 10:07 am

I want to thank this forum for sharing their experience with PSECU. 2 questions for the group:

1) I am not completely seeing the benefit of the add on feature. Seems to me the only usage is to allow future deposit on a monthly basis. It doesn’t really help if one has a good amounts coming up periodically, say in 6, or 12 months. For example, many here has the Marcus bonus amount being freed up soon. If that amount is available before Nov 30, would it make more sense to just open a new CD, rather than scheduling a monthly deposit over several months? Do I miss seeing some cleaver use of this add on feature?

2) seems that monthly interests are added to the CD. Would there be a 1099 yearly (and taxes due), or do we pay tax only at the end of term?

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Re: Best CD rates thread

Post by lazyday » Tue Nov 05, 2019 10:40 am

BlackcatCA wrote:
Tue Nov 05, 2019 10:07 am
2) seems that monthly interests are added to the CD. Would there be a 1099 yearly (and taxes due), or do we pay tax only at the end of term?
You'll pay tax every year, unless you use an IRA or Roth IRA.

Savings bonds do give you tax deferral so you only pay when you redeem the bond, but CDs don't work that way.

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Re: Best CD rates thread

Post by dollarsaver » Tue Nov 05, 2019 11:15 am

My $500 bonus from Marcus posted this morning. Called Marcus to close account and wire money to PSECU. Called PSECU to change the auto transfer date to Nov 7 for this month.
I'll check in the morning to make sure the Marcus money is in PSECU.

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Re: Best CD rates thread

Post by goaties » Tue Nov 05, 2019 12:39 pm

BlackcatCA wrote:
Tue Nov 05, 2019 10:07 am
1) I am not completely seeing the benefit of the add on feature. Seems to me the only usage is to allow future deposit on a monthly basis. It doesn’t really help if one has a good amounts coming up periodically, say in 6, or 12 months.
I set up the add-on feature just in case the 3.25% deal does not last until Nov 30. If it does, I will open a fresh CD (with a complete three-year term) with the next chunk of change coming in later this month. If it does not, I've insured that I can at least put that next chunk into the existing CD for 2 years, 11 months.

I do believe you can cancel the monthly add-on at any time, including before you've made even ONE add-on. I'm sure someone will pipe up if I am wrong.

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Re: Best CD rates thread

Post by Kevin M » Tue Nov 05, 2019 1:11 pm

deanmoriarty wrote:
Mon Nov 04, 2019 10:22 pm
Question: I got taken away by the exuberance of the thread and opened an account, which has just been approved. I was planning to park $50k in a 36 months CD there, but then realized that with my current tax situation of 35% federal (could go to 37% by the end of the year) and 10.3% state, that might be sub-optimal.

$50k represents the portion of my fixed income allocated to cash-like instruments (~2-3% of my portfolio). The remaining portion of my fixed income is in total bond market (in tax advantages accounts) and intermediate muni bond fund (in taxable).

I am 33 and my allocation is currently 70/30 (has been like that since when I started investing).

Do you think I should look elsewhere?
Even at those tax rates, 3.25% for a 3-year fixed-income security is a great deal. Intermediate-term Tax-exempt (VWIUX) with SEC yield of 1.59% is taxable-equivalent yield (TEY) of 2.71% at your tax rates, so lower yield and higher risk (duration = 4.7 years, some credit risk).

In an IRA, the CD also handily beats total bond with SEC yield of 2.20% and duration of 6.2 years. I did an IRA transfer from Vanguard to PSECU in about one week (FAXed the transfer form to PSECU, who FAXed it to Vanguard the same day).

Just keep in mind that CDs are not great for rebalancing, so you might want to keep something in bond funds for that.

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Re: Best CD rates thread

Post by Kevin M » Tue Nov 05, 2019 1:31 pm

BlackcatCA wrote:
Tue Nov 05, 2019 10:07 am
1) I am not completely seeing the benefit of the add on feature. Seems to me the only usage is to allow future deposit on a monthly basis. It doesn’t really help if one has a good amounts coming up periodically, say in 6, or 12 months. For example, many here has the Marcus bonus amount being freed up soon. If that amount is available before Nov 30, would it make more sense to just open a new CD, rather than scheduling a monthly deposit over several months? Do I miss seeing some cleaver use of this add on feature?
My sense from the posts is that most people are using this as a way to get money in over a few months after they open the CD, but yeah, you've got to have the money for the first auto-transfer within 30 days of opening the CD, and then every month after that as long as you want to do auto-transfers.

This feature is perfect for me, as I have individual bonds maturing monthly over the next 2-3 years, and it will be great to be able to reinvest those at 3.00% for two years and 3.25% for three years, unless something better comes along.

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Re: Best CD rates thread

Post by Kevin M » Tue Nov 05, 2019 1:44 pm

indexfundfan wrote:
Mon Nov 04, 2019 5:53 pm
Kevin M wrote:
Mon Nov 04, 2019 2:59 pm
Yes, I can do wires online from Vanguard Fed MM and Treasury MM; Prime MM should be no different than Treasury MM, as they are both non-settlement-fund MM funds. I initiated my test wires from Vanguard today, about $1,000 each (the minimum to do online wire at Vanguard) from Fed MM and Treasury MM, and will post the results when the transfers are complete.
I would be interested to see your results. My prediction

Wire from Fed MM : receive on T+1 before 12pm ET
Wire from Prime MM : receive on T+1 before 12pm ET

An ACH from Fed MM would be received on T+1 before 8am ET.

I think an one-time Fed MM redemption using phone call / authentication for wire request should reach on the same day T+0 (if requested early enough).
  • ACH from Fed MM received in regular share account before 5:25am PT on T+1.
  • Wire from Fed MM received in regular checking account before 9:45am PT on T+1.
  • Wire from Treasury MM received regular checking account before 9:45am PT on T+1.
  • ACH from Treasury MM not received on T+1 so far, and I don't expect it to be received until T+2, based on previous experience.
As predicted, the ACH transfer from Fed MM arrived before the wire transfers. ACH from non-settlement fund expected to arrive on T+2.

Also as predicted, the online wire from the non-settlement fund arrived on T+1 at about the same time as the wire from the settlement fund. This is good, since I kind of lost track of the days, and must get money from Treasury MM to PSECU by tomorrow for my auto transfers. I don't have the money in Fed MM.

Kevin
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Kevin M
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PSECU auto-transfers

Post by Kevin M » Tue Nov 05, 2019 1:56 pm

Kevin M wrote:
Tue Nov 05, 2019 1:31 pm
BlackcatCA wrote:
Tue Nov 05, 2019 10:07 am
1) I am not completely seeing the benefit of the add on feature. Seems to me the only usage is to allow future deposit on a monthly basis. It doesn’t really help if one has a good amounts coming up periodically, say in 6, or 12 months. For example, many here has the Marcus bonus amount being freed up soon. If that amount is available before Nov 30, would it make more sense to just open a new CD, rather than scheduling a monthly deposit over several months? Do I miss seeing some cleaver use of this add on feature?
My sense from the posts is that most people are using this as a way to get money in over a few months after they open the CD, but yeah, you've got to have the money for the first auto-transfer within 30 days of opening the CD, and then every month after that as long as you want to do auto-transfers.

This feature is perfect for me, as I have individual bonds maturing monthly over the next 2-3 years, and it will be great to be able to reinvest those at 3.00% for two years and 3.25% for three years, unless something better comes along.

Kevin
People have been told different things, but I just got off the phone with the PSECU CD department, and the nice lady told me that if all of money is not in the specified PSECU account when they attempt the transfer, even if you are only $0.01 short, nothing will get transferred into the CD(s), and the transfers will be attempted again the following months. She said there is no limit to the number of failed transfers; they will not cancel the auto transfers unless you ask them to.

If this is true, it's great for folks who have money becoming available in more than a month from opening the CD, as the auto-transfer would work in say three months, even if you don't have the money at PSECU for months one and two. I believe reps at PSECU have told others something different, but the rep I spoke with seemed certain about this.

The reason I called was to change my auto-transfer source from savings to checking, as that's where wired funds go, and I will be setting up ACH from all external banks/brokerages to checking. Note that the interest rate on checking is 0.10% and on savings it's 0.15%, so essentially the same, and too low to even count.

I also asked what would happen if there was enough for one CD but not both, and she said it would go into the one with the lower suffix; e.g., S002 before S003. Unfortunately for me, S002 is the 2-year, and if anything, I'd rather additional deposits go into the 3-year. If I had known, I would have opened the 3-year first.

Kevin
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mpnret
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Re: Best CD rates thread

Post by mpnret » Tue Nov 05, 2019 2:33 pm

Kevin M wrote:
Tue Nov 05, 2019 1:31 pm
BlackcatCA wrote:
Tue Nov 05, 2019 10:07 am
1) I am not completely seeing the benefit of the add on feature. Seems to me the only usage is to allow future deposit on a monthly basis. It doesn’t really help if one has a good amounts coming up periodically, say in 6, or 12 months. For example, many here has the Marcus bonus amount being freed up soon. If that amount is available before Nov 30, would it make more sense to just open a new CD, rather than scheduling a monthly deposit over several months? Do I miss seeing some cleaver use of this add on feature?
My sense from the posts is that most people are using this as a way to get money in over a few months after they open the CD, but yeah, you've got to have the money for the first auto-transfer within 30 days of opening the CD, and then every month after that as long as you want to do auto-transfers.

This feature is perfect for me, as I have individual bonds maturing monthly over the next 2-3 years, and it will be great to be able to reinvest those at 3.00% for two years and 3.25% for three years, unless something better comes along.

Kevin
I was under the impression you have 30 days from CD opening to set up first auto-transfer which can occur up to 30 days from the date you set it up. So you wouldn't need to have the money until 60 days after CD opening date. Or do I have this wrong?

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Re: Best CD rates thread

Post by Kevin M » Tue Nov 05, 2019 2:40 pm

mpnret wrote:
Tue Nov 05, 2019 2:33 pm
Kevin M wrote:
Tue Nov 05, 2019 1:31 pm
BlackcatCA wrote:
Tue Nov 05, 2019 10:07 am
1) I am not completely seeing the benefit of the add on feature. Seems to me the only usage is to allow future deposit on a monthly basis. It doesn’t really help if one has a good amounts coming up periodically, say in 6, or 12 months. For example, many here has the Marcus bonus amount being freed up soon. If that amount is available before Nov 30, would it make more sense to just open a new CD, rather than scheduling a monthly deposit over several months? Do I miss seeing some cleaver use of this add on feature?
My sense from the posts is that most people are using this as a way to get money in over a few months after they open the CD, but yeah, you've got to have the money for the first auto-transfer within 30 days of opening the CD, and then every month after that as long as you want to do auto-transfers.

This feature is perfect for me, as I have individual bonds maturing monthly over the next 2-3 years, and it will be great to be able to reinvest those at 3.00% for two years and 3.25% for three years, unless something better comes along.

Kevin
I was under the impression you have 30 days from CD opening to set up first auto-transfer which can occur up to 30 days from the date you set it up. So you wouldn't need to have the money until 60 days after CD opening date. Or do I have this wrong?
Sorry, you are correct.

Based on what the CD rep told me, you could set it up for 30 days from CD opening, and if the money wasn't in the account then, it would still attempt the auto-transfer the following month. So either 30 days or 60 days from opening would be about the same in this case.

Kevin
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MikeG62
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Re: Best CD rates thread

Post by MikeG62 » Tue Nov 05, 2019 2:42 pm

mpnret wrote:
Tue Nov 05, 2019 2:33 pm
Kevin M wrote:
Tue Nov 05, 2019 1:31 pm
BlackcatCA wrote:
Tue Nov 05, 2019 10:07 am
1) I am not completely seeing the benefit of the add on feature. Seems to me the only usage is to allow future deposit on a monthly basis. It doesn’t really help if one has a good amounts coming up periodically, say in 6, or 12 months. For example, many here has the Marcus bonus amount being freed up soon. If that amount is available before Nov 30, would it make more sense to just open a new CD, rather than scheduling a monthly deposit over several months? Do I miss seeing some cleaver use of this add on feature?
My sense from the posts is that most people are using this as a way to get money in over a few months after they open the CD, but yeah, you've got to have the money for the first auto-transfer within 30 days of opening the CD, and then every month after that as long as you want to do auto-transfers.

This feature is perfect for me, as I have individual bonds maturing monthly over the next 2-3 years, and it will be great to be able to reinvest those at 3.00% for two years and 3.25% for three years, unless something better comes along.

Kevin
I was under the impression you have 30 days from CD opening to set up first auto-transfer which can occur up to 30 days from the date you set it up. So you wouldn't need to have the money until 60 days after CD opening date. Or do I have this wrong?
You are correct.
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vkolli
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Re: Best CD rates thread

Post by vkolli » Tue Nov 05, 2019 9:23 pm

I ran into an interesting situation opening account at PECU. They wanted a copy of my social security card, which I don't have. I am traveling and I don't have time to go and get a duplicate in person. They wouldn't accept any substitutes like my W2 etc. which has my social security number. Did anyone run into this situation.

EvelynTroy
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Re: Best CD rates thread

Post by EvelynTroy » Wed Nov 06, 2019 8:44 am

vkolli wrote:
Tue Nov 05, 2019 9:23 pm
I ran into an interesting situation opening account at PECU. They wanted a copy of my social security card, which I don't have. I am traveling and I don't have time to go and get a duplicate in person. They wouldn't accept any substitutes like my W2 etc. which has my social security number. Did anyone run into this situation.
No, I wasn't asked for a copy of my SS card when I opened my PECU savings acct. or CD.
You can get a replacement SS card online if you meet few basic requirements - it is free:

https://faq.ssa.gov/en-us/Topic/article/KA-02017

Evelyn
PS - As an aside. I set up the add-on feature with it scheduled to beginning on Nov. 1 with continuing deposits the 1st of each month. It happened without any glitches, flawlessly on Nov. 1

international001
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Re: Best CD rates thread

Post by international001 » Thu Nov 07, 2019 2:29 pm

Kevin M wrote:
Tue Nov 05, 2019 2:40 pm
I was under the impression you have 30 days from CD opening to set up first auto-transfer which can occur up to 30 days from the date you set it up. So you wouldn't need to have the money until 60 days after CD opening date. Or do I have this wrong?
[/quote]
Sorry, you are correct.

Based on what the CD rep told me, you could set it up for 30 days from CD opening, and if the money wasn't in the account then, it would still attempt the auto-transfer the following month. So either 30 days or 60 days from opening would be about the same in this case.

Kevin
[/quote]

I didn't consider autotransfer. Does it mean you got a 5 yr CD, you can add any amount to the CD at the promotional rates for these 5 years?

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Re: Best CD rates thread

Post by Kevin M » Thu Nov 07, 2019 2:49 pm

international001 wrote:
Thu Nov 07, 2019 2:29 pm
I didn't consider autotransfer. Does it mean you got a 5 yr CD, you can add any amount to the CD at the promotional rates for these 5 years?
Not quite.

You specify an amount, a PSECU funding account (e.g., savings or checking), and a day of the month (DOM) to do the auto-transfer into the CD. On the specified DOM, PSECU attempts to transfer the specified amount from the specified funding account to the CD. If the specified amount is not in the funding account, no transfer occurs, and the transfer is attempted again the following month, and so on.

So you have to be sure you want the money in your PSECU funding account if you want the auto-transfer to occur.

You can decrease the specified amount, but you cannot increase it. You can cancel the auto-transfer, but then you cannot restart it.

Unless you cancel it, the auto-transfer continues until the CD matures, so five years only for a 5-year CD.

My auto-transfers of $10K each into my 2-year and 3-year CD occurred this morning (Thursday). I already had about $2K in my PSECU checking account from testing wire transfers from Vanguard, so I wired $18K from Vanguard Treasury MM to PSECU checking on Tuesday, and the money arrived in my PSECU checking account at 9:18am on Wednesday (I set up text alerts for deposits, and this is what the alert showed).

Kevin
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deanmoriarty
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Re: Best CD rates thread

Post by deanmoriarty » Thu Nov 07, 2019 11:12 pm

Does anyone know how easy it is to transfer money out from the PSECU savings account to another institution?

I have my account open and on the website there is no obvious way to add an external account to initiate an ACH transfer out. Will they easily allow me to do a pull initiated from Marcus, or would they block/contact me every time?

I am asking because I would like to take dividends in cash so that I can reinvest them appropriately into other assets every month, but if they are too complicated to transfer out I might as well just keep them in the CD for 3 years.

Thanks!

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Ricchan
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Re: Best CD rates thread

Post by Ricchan » Thu Nov 07, 2019 11:50 pm

deanmoriarty wrote:
Thu Nov 07, 2019 11:12 pm
Does anyone know how easy it is to transfer money out from the PSECU savings account to another institution?

I have my account open and on the website there is no obvious way to add an external account to initiate an ACH transfer out. Will they easily allow me to do a pull initiated from Marcus, or would they block/contact me every time?

I am asking because I would like to take dividends in cash so that I can reinvest them appropriately into other assets every month, but if they are too complicated to transfer out I might as well just keep them in the CD for 3 years.

Thanks!
They don't allow new accounts to link external banks. I'm not sure how long the probation period is. You should be able to pull from an external bank, though.

Sconie
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Re: Best CD rates thread

Post by Sconie » Fri Nov 08, 2019 5:29 am

aida2003 wrote:
Sun Nov 03, 2019 7:07 pm
I stumbled on one hurdle in the process of the application.
It's asking to upload my DL but each time I try to upload it, I keep getting the same pop-up message "The file you're trying to upload is not of the approved format" or something like that. I tried PDF, JPG, and DOC. None goes through. I attempted to attach a gas bill in PDF but it failed as well.
Anyone know what's the problem? I might need to fax the doc in but I hope they can accept an Email. I don't know where I will find a fax to do this.

Also, I had two fields saying the same thing...I will get a savings account which is a regular share account, and the minimum I had to deposit in each was $15. Why? I thought it would have been only one regular share account, not two. I hope I'm not paying for two memberships at the PA park.
I will call PSECU tomorrow at 8 am, but the file upload failure stumped me.

Am I OK to lock my credit history now? I don't think the application processor will run another check on me.

Thank you.
I had the exact same problem. Finally gave up and mailed the copy of my/our DLs into PSECU.
I know you think you understand what you thought I said but I'm not sure you realize that what you heard is not what I meant. - Alan Greenspan

MikeG62
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Re: Best CD rates thread

Post by MikeG62 » Fri Nov 08, 2019 7:36 am

Ricchan wrote:
Thu Nov 07, 2019 11:50 pm
deanmoriarty wrote:
Thu Nov 07, 2019 11:12 pm
Does anyone know how easy it is to transfer money out from the PSECU savings account to another institution?

I have my account open and on the website there is no obvious way to add an external account to initiate an ACH transfer out. Will they easily allow me to do a pull initiated from Marcus, or would they block/contact me every time?

I am asking because I would like to take dividends in cash so that I can reinvest them appropriately into other assets every month, but if they are too complicated to transfer out I might as well just keep them in the CD for 3 years.

Thanks!
They don't allow new accounts to link external banks. I'm not sure how long the probation period is. You should be able to pull from an external bank, though.
Do this^.
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Carl53
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Re: Best CD rates thread

Post by Carl53 » Fri Nov 08, 2019 10:55 am

Kevin M wrote:
Wed Oct 23, 2019 3:33 pm
I'm putting $227K into a 3-year IRA CD as soon as the check from Vanguard arrives.
My rant. Maybe I should have tried asking for a check, but am wore down and giving up. After 12 days (including a week to get the Chexsystems freeze lifted as I never received a PIN) and a few calls and an hour or so on hold, my PSECU savings account is finally set up. Today, I have had several more calls, another hour plus on hold or talking to PSECU to get around glitches that popped up in the online application process and a couple of calls to Vanguard I am giving up on hoping to set up a similar TIRA CD with Vanguard funds. At this point, PSECU says they don't know if it could all happen (there are three holidays yet this month). Kevin, it sounds like you were doing a rollover and actually taking possession of the check. I was hoping to do a direct transfer. Vanguard did not particularly help with the second Flagship rep telling me they would not accept faxed paperwork contrary to what others reported.

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Re: Best CD rates thread

Post by Kevin M » Fri Nov 08, 2019 12:47 pm

Carl53 wrote:
Fri Nov 08, 2019 10:55 am
Kevin M wrote:
Wed Oct 23, 2019 3:33 pm
I'm putting $227K into a 3-year IRA CD as soon as the check from Vanguard arrives.
My rant. Maybe I should have tried asking for a check, but am wore down and giving up. After 12 days (including a week to get the Chexsystems freeze lifted as I never received a PIN) and a few calls and an hour or so on hold, my PSECU savings account is finally set up. Today, I have had several more calls, another hour plus on hold or talking to PSECU to get around glitches that popped up in the online application process and a couple of calls to Vanguard I am giving up on hoping to set up a similar TIRA CD with Vanguard funds. At this point, PSECU says they don't know if it could all happen (there are three holidays yet this month). Kevin, it sounds like you were doing a rollover and actually taking possession of the check. I was hoping to do a direct transfer. Vanguard did not particularly help with the second Flagship rep telling me they would not accept faxed paperwork contrary to what others reported.
I did a custodian to custodian transfer. Vanguard sent the check to PSECU, which is typical for an IRA transfer. What I meant was when the check arrives at PSECU.

If you FAX the transfer form to PSECU and they FAX it to Vanguard, it should only take about a week to complete the transfer--that's how long it took for me and at least one other poster. Seems to me that there is plenty of time left in the month to get it done.

Here is the Vanguard FAX number I used: 484-582-4544. I wrote "FAX to Vanguard at ..." on the transfer form. Here is the PSECU FAX number: 717-720-1114. If FAXing worked for me, I don't see why it wouldn't work for you.

Kevin
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dollarsaver
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Re: Best CD rates thread

Post by dollarsaver » Fri Nov 08, 2019 2:13 pm

Kevin M wrote:
Fri Nov 08, 2019 12:47 pm
Carl53 wrote:
Fri Nov 08, 2019 10:55 am
Kevin M wrote:
Wed Oct 23, 2019 3:33 pm
I'm putting $227K into a 3-year IRA CD as soon as the check from Vanguard arrives.
My rant. Maybe I should have tried asking for a check, but am wore down and giving up. After 12 days (including a week to get the Chexsystems freeze lifted as I never received a PIN) and a few calls and an hour or so on hold, my PSECU savings account is finally set up. Today, I have had several more calls, another hour plus on hold or talking to PSECU to get around glitches that popped up in the online application process and a couple of calls to Vanguard I am giving up on hoping to set up a similar TIRA CD with Vanguard funds. At this point, PSECU says they don't know if it could all happen (there are three holidays yet this month). Kevin, it sounds like you were doing a rollover and actually taking possession of the check. I was hoping to do a direct transfer. Vanguard did not particularly help with the second Flagship rep telling me they would not accept faxed paperwork contrary to what others reported.
I did a custodian to custodian transfer. Vanguard sent the check to PSECU, which is typical for an IRA transfer. What I meant was when the check arrives at PSECU.

If you FAX the transfer form to PSECU and they FAX it to Vanguard, it should only take about a week to complete the transfer--that's how long it took for me and at least one other poster. Seems to me that there is plenty of time left in the month to get it done.

Here is the Vanguard FAX number I used: 484-582-4544. I wrote "FAX to Vanguard at ..." on the transfer form. Here is the PSECU FAX number: 717-720-1114. If FAXing worked for me, I don't see why it wouldn't work for you.

Kevin
+1 Six days for me using the above fax # for Vanguard and above fax # for PSECU

travlinman561
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Re: Best CD rates thread

Post by travlinman561 » Fri Nov 08, 2019 7:27 pm

I mailed in an ira application a week and a half ago to psecu to transfer funds from vanguard. From vanguard's website, they mailed psecu a check November 5. As of now psecu hasn't received it. According to depositaccounts, the 2 and 3 year rates are only good until tomorrow, not the end of november. I guess I am SOL

deanmoriarty
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Re: Best CD rates thread

Post by deanmoriarty » Fri Nov 08, 2019 7:35 pm

travlinman561 wrote:
Fri Nov 08, 2019 7:27 pm
I mailed in an ira application a week and a half ago to psecu to transfer funds from vanguard. From vanguard's website, they mailed psecu a check November 5. As of now psecu hasn't received it. According to depositaccounts, the 2 and 3 year rates are only good until tomorrow, not the end of november. I guess I am SOL
What a shame... I was finally able to confirm the Marcus trial deposits this morning and send the $50k ACH. It took 2 days for the trial deposits to show up so I am assuming the money will arrive on Monday, which is one business day after the end of the advertised rate. A massive waste of time, worthless $10 donation, lost a few days of interest and got a hard pull on my credit for nothing!

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