Where do I go to get the best interest rate for a Roth IRA?
I am looking for a place to check out, so I can get the highest interest rate possible on a Roth IRA account. Please advise me on where I can start. Thanks
Consider the Vanguard Prime Money Market Fund with a current compound yield of ~4.7% APR. https://flagship.vanguard.com/VGApp/hnw/FundsSnapshot?FundId=0030&FundIntExt=INT
Sometimes other institutions will have a higher teaser rate, but Vanguard tends to have the highest yields I’ve found over the long run. (Vanguard money markets are not FDIC insured, however.)
Article on teaser rates:
http://www.marketwatch.com/news/story/banks-advertised-rates-dont-always/story.aspx?guid=%7B0A13B6E2-FFB2-4E2B-BD42-E2D1E01C52E5%7D
ING and HSBC often have rates close to Vanguard, and most of their products are FDIC insured. Bankrate.com provides links to CD’s with high interest rates. You can check these at the following links:
http://home.ingdirect.com/
http://www.us.hsbc.com/1/2/3/personal/savings?code=husa
http://www.bankrate.com/
(If you are investing for a long period of time and are willing to accept some volatility, you should consider putting some money into no-load low-expense mutual funds. Vanguard.com has many good funds. These are not guaranteed, but over the long run produce much higher returns.)
Retirement Plans & Investments : Where Can I Find the Best Roth IRA Rates?