Optimizing my cash (again)
We are pretty cash-heavy right now, with the idea that we will eventually be looking for a home. I did an analysis in January to compare some options to make it work just a little harder for us. Since that analysis, the rates at PenFed dropped a bit, and it looks like Ally Bank is the winner.
Comparing between the options, it looks like we should go with a 5 year CD if we think we’ll keep the money tucked away for at least a year. If we are going to keep it in there much less than a year, we may as well just leave it in our savings account at .75%.
I think we have about $100k that we’d be willing to “lock away”, but I’m wondering if I should do it in two batches, with hope that rates will improve over time. Or is this just unnecessary?
Are there any other cash options I’m missing?
Also, I kind of can’t believe it is taking me so long to do something like this with my cash. I’m forfeiting extra money each month!