[reducesuffering]

> Rising interest rates helped lift quarterly net interest revenue to $128 million, more than doubling from the same period a year ago. Chief Financial Officer Jason Warnick said the company has about $17 billion in assets that generate interest revenue.

While Robinhood used to pay a competitive interest rate for cash in the account, it is now 1.5% while Fed risk-free rate is now 3.75%+. You need to pay for Gold subscription to access the decent interest rate.

Square/Block/Cash App also just announced a huge boost in profitability.

While it wasn't feasible in the last years of zero interest, now, digital wallets are profiting off the difference of giving you 0 - 1.5% interest of your sitting cash while they pocket 3.75%+.

[loeg]

The current I-bond composite rate is 6.9%: https://treasurydirect.gov/savings-bonds/i-bonds/i-bonds-int... . (Usual one-year lockup for I bonds, plus a 3 month interest penalty for redemptions before 5 years, and there's a relatively low limit per person per year. Still.)

[philco]

I might be wrong, but most of these programs have partner banks, which take part of the revenue for themselves. I think it's more likely they make Fed Funds minus some take rate from the bank, so maybe Fed Funds - 0.50bps. Point still stands, but I don't think they're making 3.75-4%. Wealthfront is passing through 3.30%, so likely only making 0.25bps on that cash.

[pcurve]

It wasn't long ago when I felt 1.2% was a good CD rate. Now I'm canceling all of them to move to online savings account paying 2-2.5x that amount.

[throwaway12245]

https://www.schwab.com/cd-rates-test

1-3 month CDs are 3.9%

[artificialLimbs]

Yep. My local credit union is offering 4.5% on an 18 month > $1,000 CD.

[throwaway12245]

U.S. Inflation is 8.2%, though. :(

[acchow]

That's backwards looking tho. We don't know if inflation between Nov 2022 to Nov 2023 will be 8.2%.

[grogenaut]

would you rather have -8.2% roi or ~-4%roi?