Wealthfront
I have 500k cash in my bank account for a house down payment. Planning to put in Wealthfront for 4% return while I search for a house. Any concern putting this amount in Wealthfront?
Split them into two accounts 250k each. Personal accounts are insured only for 250k
Go with Marcus they are offering 4.75% on CD for 18 months if you want safe investment and break anytime when u want only penlity will be last 3 months interest
Incorrect, it costs penalty of 270 days of simple interest. Don't spread false info @SquareTrade.
I mean I’d diversify. Maybe put some money like 50k-100k in Fundrise? Not liquid but you know that’ll give you dividends and payout and the rest in a HYSA I’m not sure about wealthfront but check how much money is insured by them otherwise stick with more known / reliable banks
Fundrise is a scam. Don’t. Their managing partners have this weird clause in the contract where they get paid a higher cut than all other investors . Also if the company was to go bankrupt they would first be made whole before paying other investors. Also, have you looked at their commissions for buying and selling property? Stay away
At the same time although yes they do get cuts and yes if something were to happen they decide if they will let you take the money or not. I don’t know if another low cost way to get into some sort of avenue in terms of getting into real estate and knowing how your money is being funded vs a regular reit but of course I guess if he doesn’t want to take risks the only thing would be a HYSA split into two
There is an old saying : don’t put all your eggs in the same basket
Ally bank 12 months CD more than 4%
They are insured more than 1 million so no issue
Citi has a no penalty CD for 4%. Just do 5 different ones of 100 large each and you’re good!
Better to buy t-bills maturing in 3 months at 4.75% using Schwab (personally find easy to buy/sell using their portal.)
Will be a pain. They don’t support wire transfers out. You can wire money in but not out.
Can you clarify? Taking out won’t be easy?
Yes sorry just edited my post. You can wire in not out. I had to open a different bank account since I use Wealthfront and moving that much cash with them is impossible.