Saved my first $5k at 26 pls clap 🥹

[u/k1ranell]

I also have some $820 in acorns and <$1500 in a rollover IRA I have yet to move to a ROTH but putting it off for tax/wuss reasons. However, I have $772 in CC debt. But a win is a win, I can pay it off with time 😁

Gonna try to save $10k next year

[u/PeaValue]

1) Are you still getting 4.25% on your savings? (If so, pls pm the name of bank, lol).

2) If you're paying more than 4.25% interest on your CC debt then you're losing money and you should pay off the CC with your savings like yesterday.

[u/joeythurston30 → u/PeaValue]

bank is wealthfront was 5% for me when i used it

[u/amethyst_dep → u/joeythurston30]

As interest rates have been cut this year, Wealthfront apy has been reduced twice. It currently sits at 4.25% and will likely see another reduction when the Fed cuts rates again.

[u/rainbowgirl6 → u/amethyst_dep]

They cut it down to 4.00% /:

[u/Pls_PmTitsOrFDAU_Thx → u/joeythurston30]

It's fallen a bit. Been using for a year and the 5% was awesome. K think now it's 4.25? Can't remember

I'd suggest CDs is you have some extra money you can lock away some funds for 3mo to a year

[u/freddie2ndplanet → u/PeaValue]

you’ll only get these rates with subpar internet banks that offer no services. not worth putting your money in there for 0.5% more esp with relatively small balances

[u/fredthefishlord → u/freddie2ndplanet]

Every % counts. As long as they don't screw with your money what would you want from a bank besides interest rates anyways?

[u/freddie2ndplanet → u/fredthefishlord]

solvency. liquidity, customer service, other financial services, trust, etc, etc, etc.

[u/Barbiedawl83 → u/PeaValue]

u/peavalue have the same account at Wealthfront and I’m getting 4.25% if you open it through a referral link you’ll get an extra 0.50% for 3 months. I can send you a link if you like

[u/PatchyCreations → u/PeaValue]

SoFi is at 4%

[u/Carbon_Deadlock → u/PeaValue]

I've been using Ally Bank for a few years and they started off with good interest rates, but my account is at 3.8% right now :(

[u/Necessary-Depth9158 → u/PeaValue]

The online companies all seem to be paying at least 4%. Nothing special.

[u/mild_resolve → u/PeaValue]

2) If you're paying more than 4.25% interest on your CC debt then you're losing money and you should pay off the CC with your savings like yesterday.

This is true if someone has a healthy emergency savings, but not if $5k is all they've got. Keep the $5k in an interest bearing account and whittle away at the debt.

[u/VanillaBearMD3 → u/PeaValue]

He is using Wealthfront High Yield Savings Account. I can send you a referral code if you want. Gives an extra 0.5% boost for 3 months. Or I'm sure op would be happy to send you one

[u/Nic406 → u/PeaValue]

It’s Wealthfront and make sure you use a referral link when signing up. I already used my friend’s but someone here could send their link.

[u/GGgreengreen → u/PeaValue]

Betterment is still 4.25% on cash

[u/Dreams589 → u/PeaValue]

I’n using the same bank she is. It’s called Wealthfront. Base is 4.25% but I used a referral link to sign up and got like 4.75% on the cash account (im using as savings). I’m happy to share a link for those that wants a referral.