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Interesting blog post by a guy who works at stripe about credit card rewards: https://www.bitsaboutmoney.com/archive/anatomy-of-credit-card-rewards-programs/quote:This is as simple as it gets and we’re already necessarily handwaving away libraries worth of complexity. (For example, calculation of net purchases needs to be fairly robust against adversarial collaboration of users and merchants or the issuer gets turned into a money pump within a matter of days and will not likely be able to detect or reverse this condition for at least several weeks. This has happened many, many times. Credit card issuers, when they screw this up, lose millions of dollars and dry their tears on money.)
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# ? Apr 21, 2024 18:24 |
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# ? Jun 5, 2024 04:51 |
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Venmo offered me $200 on $1000 spend in 6 months. It has 3% back on your top category and 2% on the rest of these categories: Dining & Nightlife, Grocery, Travel, Bills & Utilities, Health & Beauty, Gas, Transportation, and Entertainment. I'm trying to look for a house/condo come late June/July.. is there a way to estimate how much of a hit this will give to my credit score / loan amount?
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# ? Apr 23, 2024 18:39 |
Whatever hit it might be, you're going to spend more over the life of that condo loan due to higher rate you'll be paying than the $200 you'd get from that deal. Wait to apply for that credit card until after. If the deal runs out then oh well.
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# ? Apr 23, 2024 19:49 |
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Generally, credit pulls are pretty low on the “hit” scale. For example - I had 3 hard checks in march. My score dipped from 780+ to 769 at the beginning of April. It is now back up to 785+. Granting that credit scores are stupidly opaque, generally, if you get a hard pull AND it results in a new line of credit, your score recovers quite quickly. So, if it were me, I would not worry unless your score is in the border between two “rate categories. Like if the score is gonna dip below 700, maybe don’t. But if your score is higher, it’s not likely to meaningfully shift lending rates. If you’re applying next week for a mortgage - don’t do it. But if it’s in 2 months, I wouldn’t think too hard about it. Usual caveats apply: I’m not a loan officer, my info is anecdotal, and our risk models are not the same.
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# ? Apr 23, 2024 20:49 |
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Question for the folks who travel lots - what cards do you have and why? I have an AMEX Plat and Gold that I've been using forever but I'm playing with the idea of getting a Delta SkyMiles card because my partner and I have tons of trips this year. I may drop the Plat for the Delta Reserve but I have had the Plat for forever and do enjoy the benefits a lot. We prefer to travel Delta and it would be nice to have some sort of flying status, double dipping on the AMEX points has been nice because we usually save them up to get our flights for super cheap when we do big trips, or to get a hefty discount on a luxury hotel.
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# ? Apr 23, 2024 21:23 |
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New credit cards can impact your score a few different ways. Applying causes a hard pull, which is a very minor mark against your score and generally you don't need to worry about these unless you're churning bonuses and have like 8+. The biggest impact is to your average age of accounts. If you only have 1 card, adding a 2nd will drop your average age in half. The more cards you have though, the less effect this has. Someone with 9 cards adding a 10th is only reducing their average by 10%. On a positive side, adding a new card will increase your available credit and therefore lower your utilization (assuming same level of spending), which can boost your score. Credit Karma has a credit score simulator, I think there are other similar tools available as well. I don't know how accurate they are.
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# ? Apr 23, 2024 22:05 |
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Triggs posted:Question for the folks who travel lots - what cards do you have and why? We have an Amex platinum, chase sapphire preferred and Citi AA executive. I fly a ton for work, so having a centurion or AA lounge available at We collect points mainly for international travel. Last year, we flew to Japan and back in business class and stayed in Conrad hotels while there at little to no cost. Next year, I’ve booked business class flights to an African safari at about $250 cost in fees, although we have to pay for the safari lodging, they don’t take hotel/airline/credit card points.
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# ? Apr 23, 2024 22:05 |
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My American Express card ditched the Priority Pass perk, which is pretty much the last feature I was using. It's a Hilton Honors Amex, and I used to travel for a living. Amex tried to talk me into applying for a platinum card, which is $695 a year!!! That can't be worth it, right? Plus, I can't upgrade, I have to keep the Hilton Amex separate, and apply anew for the Platinum card.
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# ? Apr 26, 2024 19:14 |
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Squashy Nipples posted:My American Express card ditched the Priority Pass perk, which is pretty much the last feature I was using. It's a Hilton Honors Amex, and I used to travel for a living. Ehhh, I think it used to be better, now the credits are all for stuff I mostly don't use. Except for the 200 in airline fee credit, that ones easy. I think you can even get a giftcard and get credit. But I can see some people might get value, if you already use some of this stuff $200 credit for uber $240 credit for disney+/hulu/espn/NYT/WSJ (meh) $155 credit for a walmart+ sub (weird, is this the amazon prime equivalent?) $189 for clear, if your airport has it - and denver it seems like the lines for clear are worse than precheck now $200 hotel (if you book through amex, gently caress that tho) Signing up for the miles is worth it though if you can get good value out of maybe one of these. To justify it on a recurring basis..... eh.
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# ? Apr 26, 2024 19:33 |
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Squashy Nipples posted:My American Express card ditched the Priority Pass perk, which is pretty much the last feature I was using. It's a Hilton Honors Amex, and I used to travel for a living. https://thepointsguy.com/credit-cards/american-express/maximizing-amex-platinum/ The card has a lot of perks. Up to you to decide if the perks outweigh the $700. Personally I'd 100% make use of the $200 Uber credit and $240 streaming credit. If I traveled more the $100-$189 credit for Global Entry / TSA PreCheck / Clear and $200 in airline fee credit would be enough for me.
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# ? Apr 26, 2024 19:34 |
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Baddog posted:Signing up for the miles is worth it though if you can get good value out of maybe one of these. To justify it on a recurring basis..... eh. A lot of things I use, but there is always small print. Part of the problem with bonus miles is that I fly JetBlue pretty much exclusively, and have their card with a lot of miles on it. Baddog posted:$200 hotel (if you book through amex, gently caress that tho) Never used it for a hotel, but I used to use it quite a bit for cars and trains when I did business travel.
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# ? Apr 26, 2024 19:47 |
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Baddog posted:Ehhh, I think it used to be better, now the credits are all for stuff I mostly don't use. Except for the 200 in airline fee credit, that ones easy. I think you can even get a giftcard and get credit. We use all of these plus a lot of the centurion lounges for frequent (weekly) travel. The plat still retains the priority pass lounges, I believe. The Walmart+ sub also gives you paramount+ streaming service free. The $200 hotel credit booking through Amex is nice for the fine hotels and resorts program with all the benefits it provides (~$100 resort credit, free breakfasts for every day you stay, upgrades, early check in/late check out). For the past few years we’ve used it for 4+ night stays at Conrad hotels where they give you the 4th night free.
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# ? Apr 26, 2024 21:09 |
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How do co-signers affect the success% of an application? I make ~70k, only $3k debt, but a score in the low-mid 600s. The other individual has a score of 799, but is retired. I wanted to apply for the Citi Custom Cash. Is the Citi Double Cash now just beaten by the Venmo card?
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# ? Apr 27, 2024 00:40 |
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I was going to close my Citi Premier since I really only got it for the churn, but they let me product change it into a second Custom Cash. I though I read they discontinued doing that, so maybe it will go away in a bit.quote:5% eligible categories: Restaurants, gas stations, grocery stores, select travel, select transit, select streaming services, drugstores, home improvement stores, fitness clubs, live entertainment. Looking at the categories though, nothing really jumps out as being useful other than a 2nd grocery (We usually spend about 600) a month.
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# ? May 4, 2024 03:44 |
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Partner and I are looking for a joint credit card to start sharing expenses easier, so I have a few questions about which way to go. 1. If partner and I want a joint card, should we apply as a couple or just one of us and add the other as an authorized user? Is there any pro or con to doing either way? 2. Which reward points card has the best redemption interface? I remember some cards back in the day made it real hard to use points. 3. Do you generally get more for your money redeeming the points for flights vs just getting a cash back card? While we like the idea of booking an international trip using miles as it “feels” free, if cash back is more rewarding I’d rather just do that and pay cash for tickets when we want to travel.
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# ? May 5, 2024 14:59 |
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dexter6 posted:3. Do you generally get more for your money redeeming the points for flights vs just getting a cash back card? While we like the idea of booking an international trip using miles as it “feels” free, if cash back is more rewarding I’d rather just do that and pay cash for tickets when we want to travel. Its hard to value miles/points vs cash, because the former can wildly fluctuate in value. For example, you are almost always going to get a better value from miles by redeeming them for business/first class flights than for economy fares. If you would actually pay the cash price for the higher class service, there is potential value there. If not, cash might be better. Personally, I use cashback cards for everything. Its not too hard to get 3-5% cash back on most things, and cash can be spent on anything. Cash rewards are also paid out regularly and can earn interest once redeemed.
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# ? May 5, 2024 17:30 |
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This might be a stupid question, but I started churning and signed up for a Chase Ink card. 4k in spend gets me 35k points ($350 cash) and I noticed the letter stated 0% interest for 12 months. Assuming I don't muck up paying the balance in full before the 12 months are up, what's the downside here? It seems too good to be true to get $350 for 4k spend (9.x% cash back) but also be able to dump the cash I have to pay it back into a 10 month CD and profit off that too.
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# ? May 16, 2024 06:53 |
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Sign up bonuses are nothing new, there is no secret downside. The credit card companies are hoping that the lifetime value of new cardholders is much higher than the cost to acquire them via bonuses and other promotions. Re: 0% APR, its a good deal too, just remember you still have to make the minimum payments every month.
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# ? May 16, 2024 07:18 |
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Also there is probably a balance transfer fee
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# ? May 16, 2024 13:06 |
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Bank posted:This might be a stupid question, but I started churning and signed up for a Chase Ink card. 4k in spend gets me 35k points ($350 cash) and I noticed the letter stated 0% interest for 12 months. FYI, there's a churning thread, which gets a lot less attention but might get more specific answers. For this one, no, you're right. Like drk said, as long as you're paying the minimum every month, you can pay off the balance the last eligible day with no downsides. Everyone who makes that plan and ends up unable to do it subsidizes the 0% APR period for everyone else. Can I ask which Ink card that is, though? I didn't think there was one with less than a 75,000 point SUB. Valicious posted:Is the Citi Double Cash now just beaten by the Venmo card? This is weeks old now, but I'm curious what your use case is, because in every use case that immediately comes to mind, my response is "no, of course it's not."
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# ? May 16, 2024 13:51 |
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Do you need a legitimate business case to get a business card? Can the Chase points be transferred into a personal account? I've never opened a business card before.
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# ? May 16, 2024 14:03 |
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I think different issuers have different standards for "business". I definitely got brow beat a bit by Barclays, even though I have an actual business that has been in existence for decades, I pay taxes on, etc. I dunno how people supposedly get through by just saying "I sell poo poo on eBay".
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# ? May 16, 2024 14:24 |
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Baddog posted:I think different issuers have different standards for "business". I definitely got brow beat a bit by Barclays, even though I have an actual business that has been in existence for decades, I pay taxes on, etc. I dunno how people supposedly get through by just saying "I sell poo poo on eBay". Barclays is harder, yeah. For the most part, AmEx and Chase don't really care; you can get a business card from either just by calling yourself a sole proprietor and providing no further proof, though I've heard more stories of Chase being "all right, that's enough" to people churning business cards than of AmEx.
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# ? May 16, 2024 14:44 |
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disaster pastor posted:
No, you're right. It's the chase Ink cash which is 75k with 6k spend. There are apparently two levels to the bonus, a 35k for 3k spend then another 40k bonus for an additional 3k spend (6k spend total).
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# ? May 16, 2024 15:10 |
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Boris Galerkin posted:Do you need a legitimate business case to get a business card? Can the Chase points be transferred into a personal account? I've had no issue opening a few Chase Business cards as a "sole proprietor". Your EIN is just your SSN and your Business Name is just your Name. This was a few years ago, so I'm not sure if it's any different now, but I did have to make a new Chase Business-specific log-in account, and then I added my personal CCs to that log-in. After that, I was able to transfer points between all the cards, personal and business, no problem.
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# ? May 16, 2024 19:12 |
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Rules for sole proprietor can vary by state. In NY I was able to do it without any actual business paperwork if the business name matched your full legal name and you used your SSN for EIN, but it's not the same everywhere.
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# ? May 16, 2024 19:17 |
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I hear Chase is lenient, but yeah, sort of why I held up on getting the biz card. We actually have biz income now so I felt comfortable applying for it in case someone decided to pry the account. When I got my docs there was a very clear "this card is intended for business transactions" note. That said, I think it's because biz cards are simply treated differently for things like consumer protection and bankruptcy. It's a much smaller credit line than my personal cards.
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# ? May 16, 2024 19:47 |
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Do business cards count against Chase's 5/24 rule or whatever? Do they pull your personal credit history or is it a business credit history?
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# ? May 16, 2024 20:34 |
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From what I read, you have to be 4/24 for approval. If you're 5/24 they reject. If you're 4/24 and get the card, it doesn't count, so you stay at 4/24. They definitely pulled my personal credit history to get the card.
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# ? May 16, 2024 20:37 |
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Bank posted:From what I read, you have to be 4/24 for approval. If you're 5/24 they reject. If you're 4/24 and get the card, it doesn't count, so you stay at 4/24. This is correct.
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# ? May 16, 2024 21:15 |
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I, too have opened several business cards for no other purpose than churning the rewards points. I’ve not had any issues getting them and I don’t actually have a business. Barclays never gave me a problem, but it’s also been a while since I’ve tried opening one of theirs, so things may have changed since.
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# ? May 16, 2024 22:11 |
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Cacafuego posted:I, too have opened several business cards for no other purpose than churning the rewards points. I’ve not had any issues getting them and I don’t actually have a business. Lying to a bank in exchange for monetary gains is textbook fraud, which is why some people are hesitant to do this.
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# ? May 16, 2024 23:50 |
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I need a credit card(s) recommendation for someone (not me) who's looking into going beyond a no-frills, basically-no-benefits credit union visa card for the first time in forever. Person is middle class, infrequent but long-distance travel, not a big spender. Doesn't have the time or interest to micromanage category point chasing across 3+ cards or churn cards. JPMChase or Citi cards would be a plus for them because of the physical branches (they may do some other business with the bank). I honestly don't know if they spend enough to justify an annual fee card. They would want to use the card during some foreign travel (mostly Europe) without any hassle/fees. What's the go-to for this situation? Chase Freedom Unlimited (1.5% plus some category stuff) Chase Sapphire Preferred (no foreign transaction fee, small annual fee, various categories) Citi Custom Cash Citi Double Cash Citi Strata Premier (no foreign transaction fee, small annual fee, various categories but mostly travel) any particular complaints about any of those cards or obviously better alternatives?
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# ? May 19, 2024 17:02 |
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pmchem posted:I need a credit card(s) recommendation for someone (not me) who's looking into going beyond a no-frills, basically-no-benefits credit union visa card for the first time in forever. Fidelity 2% has no AF and no FTF.
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# ? May 19, 2024 17:21 |
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pmchem posted:I need a credit card(s) recommendation for someone (not me) who's looking into going beyond a no-frills, basically-no-benefits credit union visa card for the first time in forever. $0 AF + 0% FTF options are Capital One Quicksilver (1.5%), Ally (2%, but I don't think you can just apply), SoFi (2%, but it requires jumping through some hoops iirc just having a free checking account with them), Bread by Amex (2%, but it's Amex so YMMV in Europe). Your friend might also check some credit unions like SDFCU (2%). E: Or yeah, the Fidelity 2% is good too. Comedy option is the new Robinhood card which is 3% and 0% FTF and "no annual fee" (just ignore the fact that you need to pay a $60/year membership fee). Boris Galerkin fucked around with this message at 17:28 on May 19, 2024 |
# ? May 19, 2024 17:24 |
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Chase's Amazon Visa has no foreign transaction fee, it's a good enough card to use as a general use if Amazon is a big part of their spending. Or if they can deal with two cards, they can use the Amazon visa just for Amazon and when they travel internationally, and whatever other general card they want to carry around in their wallet day to day like the Citi doublecash.
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# ? May 19, 2024 18:21 |
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THF13 posted:Chase's Amazon Visa has no foreign transaction fee, it's a good enough card to use as a general use if Amazon is a big part of their spending. yeah I forgot to list the amazon one, will check with them on their amazon spend. how weird that ally only does it by invitation and that you can't just apply (their cards look decent too)! fidelity is legit but I doubt they'd open an account there just for the card (they don't use fidelity as a broker). thanks for the replies, all.
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# ? May 19, 2024 18:33 |
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pmchem posted:yeah I forgot to list the amazon one, will check with them on their amazon spend. how weird that ally only does it by invitation and that you can't just apply (their cards look decent too)! fidelity is legit but I doubt they'd open an account there just for the card (they don't use fidelity as a broker). They don't have to open a brokerage account, just a cash management account. The downside to Fidelity is the minimum redemption amount of $25, but if you're ok with that, you can easily dump the rewards into the cash management account then ach it anywhere.
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# ? May 19, 2024 23:00 |
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saintonan posted:They don't have to open a brokerage account, just a cash management account. The downside to Fidelity is the minimum redemption amount of $25, but if you're ok with that, you can easily dump the rewards into the cash management account then ach it anywhere. noted, thanks. in other news, that chase amazon prime card, geez. if you order a lot from amazon and live near a whole foods -- I could see someone living their life using just that one card. we have one but we only ever use it for amazon orders. i wonder if maybe they added new category benefits since we got ours? 2% gas, 2% restaurants, 2% transit, up to 5% on travel (via chase), 5% prime/fresh/whole-foods (of course, AMZN products). 1% all other purchases. no annual fee, no FTF. i'm honestly impressed. it's like the perfect starter card if you just had one.
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# ? May 19, 2024 23:06 |
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# ? Jun 5, 2024 04:51 |
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the fidelity cash management account is actually a pretty great checking account. it has the base things you'd expect (no fees, free paper checks, ATM fee reimbursement) but also lets you put the money in fidelity money market funds and will auto-sell to cover debits. i have my cash in their t-bill money market fund so i get ~5% state-tax-exempt interest on it
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# ? May 19, 2024 23:08 |