Happy New Year’s

I promised a New Year’s eve post so here it is.? Not too many surprises for the month except for maybe the lack of the Christmas stock bounce.? 2008 looks to be a very tough year for housing.? Good if you are a buyer, not so good if you are a seller.? Probably some more rate cuts in the future.

Have a safe and Happy New Year’s eve.? My family will be watching movies and eating munchies.?

Thanks for the great year.? Let’s make 2008 even better.

cd :O)

Merry Christmas

Just wanted to wish all of our readers a Merry Christmas.? I’ll be out of the office after tomorrow, but back to make one last post to close out 2007.

Be safe and enjoy the time with your family and friends.? As I get older, I notice just how fast it all seems to go.

Here is a fun link to a video on YouTube.? C is for Christmas, by Go Fish.?

cd :O)

NewBank — CD Rates and Checking Account Special

Updated: 2/12/2008.? NewBank,? a division of PremierWest Bank (FDIC# 32975) has on-line specials for CDs, Savings Accounts?and Checking Accounts.

NewBank was formerly part of Stockmans Bank based in Elk Grove, CA.? Stockmans merged into PremierWest which is based in Medford, OR.?

The CD Rates are competitive if you are comparing banks.? 1-Year at 3.65% APY and 2-year at 3.50% APY.

The Savings Rate isn’t bad either for our current enviroment.? It stands at 3.50% APY.? There are some higher ones out there though.

The checking account has a bonus feature of $50 if you maintain a $2,500 balance for 90-Days.

Click here for all of the details.?

Feds First Auction

The first auction didn’t go quite as well as hoped.? The funding was given at 4.65% which was on the high-end of expectations.? The range was 4.17% – 4.70%.

In addition, of the $61BB put up for collateral, only $20BB was accepted.

Interesting to note that Goldman Sachs had a huge 4th quarter by hedging against the Subprime mess they helped create.

Best CD Rate – 12/17/07

Our best personal CD rate?is 5.71% APY (10Y Term; No Fee). We also have a 1Y at 5.05% APR / 5.15% APY and a 7Y at 5.31% APR / 5.45% APY.

Best Corporate rate is 5.05% APR for 1Y, the 10Y above, or a 5Y at 5.04% APR / 5.17% APY.
Updated 12/17/2007.

Visit our Current Interest Rates to get started with our process. We do have a fee for our service.

Linked from the Wall Street Journal

Wow.? A short article in the Wall Street Journal had a link back to our home page.? That is exciting news.? Now, I don’t want you to believe that they are endorsing our company, because the link is actually provided by a “Related Content” system that they use.? The content came from www.sphere.com?and somehow they picked up our blog (and I’m glad they did :O)? ).

Anyway here is a link to the Article, Yields Drop for Jumbo CDs.? Check it out.? Let me know what you think.? It is viewable for six more days by non-subscribers.

Was It Enough

Although my saving friends wouldn’t have liked it, I think a 50 Basis Point cut would have done more good to lift the economy.

2008 will actually have more Home loan problems.?? More loans are resetting in 2008 than they did in 2007.? The new gov’t Hope program only applies to a very small number of people and most of the ones it could help will probably just walk or be in the same spot years down the road anyway.

I bet if they had included people on the solution panel that didn’t have a financial stake or looking for a favorable poll rating, the solution would have?been better.? If they had only asked me.

I’m guessing more rate cuts are in the future.? I also believe when they start going back-up they could need to go above the last high we saw (5.25%).? But also remember what most banks did.? They offered their highest rates on the short-term CDs (1-year or less).? The question is when could rates turn around.? I don’t think it will happen until 2009.?

I’m not suggesting only buy 1-year CDs though.? Everyone that did in?mid-2006 through this year,?are now or will be facing much lower rates.? Ladder your CDs.? I say it all the time.? It is the best way to go.

Fed Cuts Rate — 25 Basis Points

The Federal Open Market Committee reduced the Fed Funds rate to 4.25%.? This was a 25 Basis point drop (0.25%).

Expect most CD Rates to drop below 5%.

Next Fed (FOMC) Meeting

I have added a feature on our Sidebar that will display the date of the next Fed meeting.

It will be next week, December 11, 2007.? At this point, odds are favoring a 25 Basis Point drop.? This will lower the Fed Funds to 4.25%.

Although, personally,? I wish they wouldn’t be lower them at all, I would prefer a 50 BPs drop to get it over with.