The Frugal Duchess hosted this week’s Carnival of Personal Finance, and highlighted one of my posts! Check it out. It’s been a while since I’ve submitted to a Carnival of any sort, so it’s great to be a part of this one.
So this week, the Fed cut rates again. Honestly, I think I’m becoming a bit immune to it. When it first started, I found the dropping interest rates on my savings accounts incredibly frustrating. Now I just sort of shrug. As I’m writing this, my rate at ING Direct hasn’t yet dropped, though their CD rates have dropped. Seeing as the 6 month CD is at 2.5% and the savings account is at 2.75%, I’d say that savings account interest rate is very likely to drop soon. Otherwise, what would the incentive be to put money into a CD at all?
I have a CD that will come due in January and just got a message about that from ING Direct. In previous months, they had been offering a .1% bump in the interest rate if you rolled the CD into a new CD. That offer was not made this go around.
Like I said, in previous months, this would be frustrating me, but instead I just sort of shrug my shoulders and keep saving. Earning any interest is better than no interest at all.
oh man, yeah that’s stinky
i’m actually in the other end of the boat here since it decreases my HELOC interest every time the fed drops the rates.
but there are def. other things i shrug on for sure
def. out of our hands though…
Personally, with interest rates this low I prefer to buy big blue chip stocks with high “safe” dividends. You can find dividends out there over 3% with the potential of some capital appreciation.