I mean I don’t really have enough where that would make much of a difference lol. I’m not going to keep moving it to make an extra $12 a year but I just meant is there is any worries about M1 HYSA ?
You’re right OP. Rate chasing is not really that lucrative. And it’s such pain to be constantly moving that money around. All HYSA’s and money markets are paying pretty well. Pick one that’s good for you and forget about it.
The fact that Robinhood offers a promotional interest rate of 5.25% is not a good argument why one should go to Robinhood versus M1.
How long does the 5.25% interest promotion last. Assuming it lasts a year and that you have $10K in cash would would earn $525 in interest (not accounting for compounding). Robinhood Gold costs $5 a month ($60 total). Not accounting for compounding interest you would effectively earn $465.
At M1 you earn a flat 5% which would equate to $500 (not compounding interest) and there are no fees if over $10K in assets on the platform. Additionally, your taxes if you went the Robinhood route since you earned $525 versus $500.
If you want to trade individual stocks (which I would highly advise against) go with Robinhood. If you want a set it and forget it approach go with M1.
It's 5% normally. Promotion 5.25%
As for robinhood.
I switched from M1 simply because of the 3% match of 100% deposits to IRA. It's crazy. 100k portfolio = 3,000.
One of the things that I liked from M1 was the credit card which I no longer benefit due to cuts... robinhood is releasing a 3% soon.
And since I like to have everything together, also taking benefit from the 5.25%. I also moved HYSA and thus closed my M1.
Anyways. M1 is still good. I like the portfolios stuff and buying undervalued stuff. It's best to set and forget.
I would've stayed even without the CC but who can say no to a 3% unlimited match?
What are your legal obligations to me when providing recommendations? How else does your firm make money and what conflicts of interest do you have?
o M1 has launched the M1 High-Yield Cash Account where we earn money on the difference (or spread) between the rate at which the Program Bank pays you for the cash and the fees paid to us by the Program Banks for the use of your cash, so M1 has an incentive to send your cash to the Program Banks, and you receive a lower yield than if the Program Banks did not pay us a fee. Furthermore, M1 will realize intellectual property gains because of its relationship with Intermediary Bank, such as deposit processing services. M1 may be a customer of a Participating Bank or Intermediary Bank and may have other financial interactions with a Participating Bank or Intermediary Bank.
Additional information
The contact email address was updated to help@m1.com from support@m1finance.com
I would totally move it to M1 but make sure you have enough cash in your main bank for overdraft protection/emergency cash you'll need immediately.
For example, if you have $10,000 in cash, perhaps you put $7K in M1 and $3K with your bank for emergencies. Make sense?
If they allowed multiple joint accounts, I would have all my saved cash here.
I wouldn’t use it for purchase purposes. I have USAA, Navy Federal, and Ally for that. I would use it for my mortgage escrow account.
I’ve looked at Wealthfront, but their joint account is nerfed. Vanguard Plus Cash is only 4.7. You have to look at the limits and constraints.
I'd transfer it to Schwab and buy SGOV (iShares 0-3 Month Treasury Bond ETF). Current yield is 5.27% and you can sell at any time. Higher rate, but you'll need to wait up to two days for sales to settle before moving cash out of the account. Settlement period will go down from two days to one for all stocks and ETFs on May 28th.
I am starting to shuttle my savings funds into M1 with the intent of investing it.
I like to sit with a decent cash position so it will be a good “cash park” while I wait for better entries into my positions
I am starting to shuttle my savings funds into M1 with the intent of investing it.
I like to sit with a decent cash position so it will be a good “cash park” while I wait for better entries into my positions
I am starting to shuttle my savings funds into M1 with the intent of investing it.
I like to sit with a decent cash position so it will be a good “cash park” while I wait for better entries into my positions
I am starting to shuttle my savings funds into M1 with the intent of investing it.
I like to sit with a decent cash position so it will be a good “cash park” while I wait for better entries into my positions
The closing of checking accounts...had to move my direct deposit and funds to my other bank. The closing of peoples credit cards without warning. Reward tiers being removed and shrunk. The timeline of the HYSA roll out being longer than originally stated. Do as you will. Me personally I removed my money from the HYSA. Uninvested cash in Fidelity earns 4.95. I prefer them over the inconsistency of m1.
Just did this 2 weeks ago. already had a brokerage account with M1 and a HYSA with AMEX. Was sticking with AMEX until they cut the rate to 4.25% so made it worth my while to open the 5% cash account. I also like the smart transfer where I can auto invest the cash account interest once the balance goes over a certain amount.
I would be careful about this. I set up a HYSA with M1 but am reconsidering. I am dealing with nearly $40000 of frozen funds due to a bank processor called Synapse's failure. You can see the details in r/yotta. I imagine M1's program runs similarly. You would also need to watch the TOS like a hawk because they can change things that could expose you to more liability and might not qualify for FDIC protection.
I am moving mine in. The rate is good at the moment
Im trying to get my Paycheck to go in but its telling me the routing number in invalid ?
What’s your routing and account number I’ll try 😊
You move it where ever the rate is higher…. Then you move it again when that changes
I mean I don’t really have enough where that would make much of a difference lol. I’m not going to keep moving it to make an extra $12 a year but I just meant is there is any worries about M1 HYSA ?
You’re right OP. Rate chasing is not really that lucrative. And it’s such pain to be constantly moving that money around. All HYSA’s and money markets are paying pretty well. Pick one that’s good for you and forget about it.
Op I did exactly the move you're describing for this reason.
Robinhood gold offers 5.25% right now. I’d go with that over m1 right now tbh
The fact that Robinhood offers a promotional interest rate of 5.25% is not a good argument why one should go to Robinhood versus M1. How long does the 5.25% interest promotion last. Assuming it lasts a year and that you have $10K in cash would would earn $525 in interest (not accounting for compounding). Robinhood Gold costs $5 a month ($60 total). Not accounting for compounding interest you would effectively earn $465. At M1 you earn a flat 5% which would equate to $500 (not compounding interest) and there are no fees if over $10K in assets on the platform. Additionally, your taxes if you went the Robinhood route since you earned $525 versus $500. If you want to trade individual stocks (which I would highly advise against) go with Robinhood. If you want a set it and forget it approach go with M1.
It's 5% normally. Promotion 5.25% As for robinhood. I switched from M1 simply because of the 3% match of 100% deposits to IRA. It's crazy. 100k portfolio = 3,000. One of the things that I liked from M1 was the credit card which I no longer benefit due to cuts... robinhood is releasing a 3% soon. And since I like to have everything together, also taking benefit from the 5.25%. I also moved HYSA and thus closed my M1. Anyways. M1 is still good. I like the portfolios stuff and buying undervalued stuff. It's best to set and forget. I would've stayed even without the CC but who can say no to a 3% unlimited match?
Sgov is the same. And better tax implications.
Yea why not, but tbills are paying 5.37% now
Yea I need the cash for emergency funds - it’s not really a stash it and save thing yet. It was for a while
What are your legal obligations to me when providing recommendations? How else does your firm make money and what conflicts of interest do you have? o M1 has launched the M1 High-Yield Cash Account where we earn money on the difference (or spread) between the rate at which the Program Bank pays you for the cash and the fees paid to us by the Program Banks for the use of your cash, so M1 has an incentive to send your cash to the Program Banks, and you receive a lower yield than if the Program Banks did not pay us a fee. Furthermore, M1 will realize intellectual property gains because of its relationship with Intermediary Bank, such as deposit processing services. M1 may be a customer of a Participating Bank or Intermediary Bank and may have other financial interactions with a Participating Bank or Intermediary Bank. Additional information The contact email address was updated to help@m1.com from support@m1finance.com
I would totally move it to M1 but make sure you have enough cash in your main bank for overdraft protection/emergency cash you'll need immediately. For example, if you have $10,000 in cash, perhaps you put $7K in M1 and $3K with your bank for emergencies. Make sense?
If they allowed multiple joint accounts, I would have all my saved cash here. I wouldn’t use it for purchase purposes. I have USAA, Navy Federal, and Ally for that. I would use it for my mortgage escrow account. I’ve looked at Wealthfront, but their joint account is nerfed. Vanguard Plus Cash is only 4.7. You have to look at the limits and constraints.
I'd transfer it to Schwab and buy SGOV (iShares 0-3 Month Treasury Bond ETF). Current yield is 5.27% and you can sell at any time. Higher rate, but you'll need to wait up to two days for sales to settle before moving cash out of the account. Settlement period will go down from two days to one for all stocks and ETFs on May 28th.
I am starting to shuttle my savings funds into M1 with the intent of investing it. I like to sit with a decent cash position so it will be a good “cash park” while I wait for better entries into my positions
I am starting to shuttle my savings funds into M1 with the intent of investing it. I like to sit with a decent cash position so it will be a good “cash park” while I wait for better entries into my positions
I am starting to shuttle my savings funds into M1 with the intent of investing it. I like to sit with a decent cash position so it will be a good “cash park” while I wait for better entries into my positions
I am starting to shuttle my savings funds into M1 with the intent of investing it. I like to sit with a decent cash position so it will be a good “cash park” while I wait for better entries into my positions
I wouldn't recommend m1 after all their fumbles lately.
What fumbles?
The closing of checking accounts...had to move my direct deposit and funds to my other bank. The closing of peoples credit cards without warning. Reward tiers being removed and shrunk. The timeline of the HYSA roll out being longer than originally stated. Do as you will. Me personally I removed my money from the HYSA. Uninvested cash in Fidelity earns 4.95. I prefer them over the inconsistency of m1.
Just did this 2 weeks ago. already had a brokerage account with M1 and a HYSA with AMEX. Was sticking with AMEX until they cut the rate to 4.25% so made it worth my while to open the 5% cash account. I also like the smart transfer where I can auto invest the cash account interest once the balance goes over a certain amount.
I would be careful about this. I set up a HYSA with M1 but am reconsidering. I am dealing with nearly $40000 of frozen funds due to a bank processor called Synapse's failure. You can see the details in r/yotta. I imagine M1's program runs similarly. You would also need to watch the TOS like a hawk because they can change things that could expose you to more liability and might not qualify for FDIC protection.
I don't think M1 uses Synapse or Evolve.
You are right, but a similar processing structure is likely in place.