Ditch Banks – Go with Money Market Funds and Treasuries

Re:Ditch Banks – Go with Money Market Funds and Treasuries by AlexCornila on Thursday August 15, 2024 @11:37PM (#41262938)

yeah but if I get a 4.25% FDIC insured I’ll prefer that and take the 0.75% loss. https://www.crisesnotes.com/i-got-the-fed-to-release-its-201...

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Re:Ditch Banks – Go with Money Market Funds and Treasuries by dawnerd on Thursday August 15, 2024 @11:40PM (#41262952)

You can get higher than that w/ fdic too. I use wealthfront and it's been great so far. Currently 5%

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Re:Ditch Banks – Go with Money Market Funds and Treasuries by fshbbdssbbgdd on Thursday August 15, 2024 @11:45PM (#41262976)

What’s the FDIC going to do for you when the treasuries it uses to hold its own funds are in default?

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Re:Ditch Banks – Go with Money Market Funds and Treasuries by AlexCornila on Thursday August 15, 2024 @11:53PM (#41263017)

FDIC is going to return my funds defaulted treasuries are not required to do so

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Re:Ditch Banks – Go with Money Market Funds and Treasuries by fshbbdssbbgdd on Friday August 16, 2024 @01:50AM (#41263513)

As far as I know, the US Treasury and FDIC are both under a legal obligation but either could be unable to fulfill its obligation if it lacks the funds. Under this scenario where the Treasury defaults, tons of banks will will be broken (since they keep money in the Treasury too), how will FDIC save them when its money is also tied up in treasuries?

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Re:Ditch Banks – Go with Money Market Funds and Treasuries by sam2426679 on Friday August 16, 2024 @03:24AM (#41263981)

Holding t-bills means you pay neither state nor local taxes, so the net difference is likely larger than 0.75% depending on where you live.

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Re:Ditch Banks – Go with Money Market Funds and Treasuries by ashconnor on Friday August 16, 2024 @01:11PM (#41268283)

Is it possible to buy t-bills whilst avoiding the Treasury Direct website?

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Re:Ditch Banks – Go with Money Market Funds and Treasuries by ashconnor on Friday August 23, 2024 @01:28AM (#41326405)

To answer my own questions. Yes.

https://thefinancebuff.com/treasury-bills-cd-money-market.ht...

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Re:Ditch Banks – Go with Money Market Funds and Treasuries by latchkey on Monday August 19, 2024 @08:54PM (#41295816)

5.3 FDIC

https://www.viobank.com/cornerstone-money-market-savings

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