Looking to make something resembling interest but keep my money liquid for emergencies.

Grandson (who is pretty sharp with money) recommends public.com

Any feedback appreciated.

Public is just one of the newer app-based online investment brokerages aimed at a younger clientele, much like Robinhood, Acorns, et al.

It sounds like their 4.1% cash management account is what you're interested in. However, you can get the same or similar return on a cash management account or money market fund with another brokerage, so it's not an option that's exclusive to just Public.

Or if you'd rather stick with a bank, there are banks offering the same/similar rates in High Yield Savings Accounts.

For example, I get 4.25% currently in my HYSA at Bask Bank, but there are also a number of other banks with around the same interest rate.


It's a bad time to have emergency fund money just sitting around collecting dust instead of putting in some work for you, as options for safe and fully liquid/accessible 4+% returns abound. (And as recently as last year it was 5+%.)

Compared to years past, where stuffing the mattress or filling the cookie jar with cash was only costing you a small fraction of a percent in interest compared to putting it in a safe account making pitiful returns.

NFCU is offering 4.30% CD's

https://www.navyfederal.org/ch...rtificate-rates.html

12 month CDs are not fully liquid/accessible, which is what the OP wants.

There's zero reason to tie up your emergency fund in a CD for an entire year for a mere 0.05% extra interest over a completely liquid HYSA or similar.

Liquid meaning you can access it without penalty?

Correct.

If you stick your emergency fund in a 1 year CD and in the intervening weeks/months your car engine goes out or your roof needs replacement, you can't access that CD's funds for the remainder of that year without paying a penalty.

Whereas you can withdraw your money from a cash management account, money market fund, or HYSA at any time without penalty. (Provided you don't go over the monthly withdrawal limits on some of these accounts, typically capped at 6 per month, but you wouldn't be doing that with your emergency fund anyway...)

Since the rates are basically the same, there's no reason not to go with the more readily accessible options versus a CD.

quote:

Originally posted by BigSwede:
Liquid meaning you can access it without penalty?

Or delay.

Goldman Sachs pays a decent interest rate (now about 3.8% APR) on their Apple/Mastercard linked savings account. The cash "rewards" from card purchases can be automatically swept into this account. Over time, this can grow to a surprisingly decent balance.

I'm sure that this isn't the "best deal" out there, and I am not claiming so, but it is very convenient and free of associated hassles. Besides, the physical Apple card they issue is a metal (titanium) card, not plastic, very cool.

Discovers online saving account is 4 is or so. Easy to transfer to a discover checking account, and get 1% cash back on tapping with it.

There are any number of real banks offering that interest rate or thereabouts. I have one with American Express myself. It started out at 4.25 but is now 3.8. No minimum deposit, can be taken out if needed, and the interest is paid every month.