Comments on: SmartyPig Should Be Compared With CDs, Not Savings Accounts http://www.consumerismcommentary.com/smartypig-should-be-compared-with-cds-not-savings-accounts/ A premier personal finance blog, established 2003. Within, Flexo discusses his own experiences with money, and he and other authors comment on a wide range of personal finance topics. Mon, 13 Feb 2012 04:45:42 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Scott http://www.consumerismcommentary.com/smartypig-should-be-compared-with-cds-not-savings-accounts/comment-page-1/#comment-198938 Scott Mon, 05 Oct 2009 14:05:31 +0000 http://www.consumerismcommentary.com/?p=7080#comment-198938 There is another aspect to SmartyPig, too. Unlike so many banks, they are approachable people (both online and off) and make SmartyPig just plain fun to use. Banking... fun? What? For example, right now they are running a "Dream Big" video contest. Here is our entry, we had a blast making it. http://www.youtube.com/watch?v=rzh_3RquXW0 There is another aspect to SmartyPig, too. Unlike so many banks, they are approachable people (both online and off) and make SmartyPig just plain fun to use. Banking… fun? What? For example, right now they are running a “Dream Big” video contest. Here is our entry, we had a blast making it.

http://www.youtube.com/watch?v=rzh_3RquXW0

]]> By: ctreit http://www.consumerismcommentary.com/smartypig-should-be-compared-with-cds-not-savings-accounts/comment-page-1/#comment-195545 ctreit Tue, 07 Jul 2009 09:45:37 +0000 http://www.consumerismcommentary.com/?p=7080#comment-195545 I like the way SmartyPig links financial goals with a savings account. This is yet another way to make saving more appealing to people and will probably work very well for a pretty large segment of the population. I am sure that the adage "different strokes for different folks" also applies to savings behavior and all other things "financial". I like the way SmartyPig links financial goals with a savings account. This is yet another way to make saving more appealing to people and will probably work very well for a pretty large segment of the population. I am sure that the adage “different strokes for different folks” also applies to savings behavior and all other things “financial”.

]]> By: Donny Gamble http://www.consumerismcommentary.com/smartypig-should-be-compared-with-cds-not-savings-accounts/comment-page-1/#comment-195542 Donny Gamble Tue, 07 Jul 2009 02:25:22 +0000 http://www.consumerismcommentary.com/?p=7080#comment-195542 I haven't yet had the chance to try Smarty Pig yet because I have been stuck on ING Direct CD's. I have been hearing all this buzz about it. I definitely plan to give it a second look whenever I get the chance to. I haven’t yet had the chance to try Smarty Pig yet because I have been stuck on ING Direct CD’s. I have been hearing all this buzz about it. I definitely plan to give it a second look whenever I get the chance to.

]]> By: Flexo http://www.consumerismcommentary.com/smartypig-should-be-compared-with-cds-not-savings-accounts/comment-page-1/#comment-195540 Flexo Tue, 07 Jul 2009 00:36:03 +0000 http://www.consumerismcommentary.com/?p=7080#comment-195540 That's a great point, Sean. A saver should ask himself whether he wants complete, unfettered access to their money. If so, SmartyPig with its unique requirements might not be the best choice. On the other hand, if the saver is mostly confident that the money can be set aside for a certain period of time, he should find the best interest rate offered whether in a savings account or CD. SmartyPig falls somewhere in between. That’s a great point, Sean. A saver should ask himself whether he wants complete, unfettered access to their money. If so, SmartyPig with its unique requirements might not be the best choice. On the other hand, if the saver is mostly confident that the money can be set aside for a certain period of time, he should find the best interest rate offered whether in a savings account or CD. SmartyPig falls somewhere in between.

]]> By: Sean http://www.consumerismcommentary.com/smartypig-should-be-compared-with-cds-not-savings-accounts/comment-page-1/#comment-195539 Sean Mon, 06 Jul 2009 18:38:34 +0000 http://www.consumerismcommentary.com/?p=7080#comment-195539 I think another important difference between SmartyPig and a traditional CD is that with a SmartyPig account you can withdraw your money at any time with no penalty and the interest rate is variable. Granted, lately that variable rate has been a bad thing, but if at some point in the next 48 months the interest rates go up then you will benefit. In the example you gave of the Ally Bank CD, your money is locked in for 48 months and if rates go up or you need the money for an emergency you could end up losing money to a penalty or lost interest. However, given the trending of rates, maybe the rate going up is unlikely. I just like knowing that I can get my money at any point without paying a fee. By the way, keep up the good work with the podcast, it has been really interesting to hear more about some of these online services. I think another important difference between SmartyPig and a traditional CD is that with a SmartyPig account you can withdraw your money at any time with no penalty and the interest rate is variable. Granted, lately that variable rate has been a bad thing, but if at some point in the next 48 months the interest rates go up then you will benefit.

In the example you gave of the Ally Bank CD, your money is locked in for 48 months and if rates go up or you need the money for an emergency you could end up losing money to a penalty or lost interest. However, given the trending of rates, maybe the rate going up is unlikely. I just like knowing that I can get my money at any point without paying a fee.

By the way, keep up the good work with the podcast, it has been really interesting to hear more about some of these online services.

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