Paypal money market rate under 4%!!

[Shazz]

I just noticed this logging in, wow has that dropped
Currently: 3.99%

Input?

[hav0c]

Blame the Feds. I've noticed the same in my PayPal account just a few days back. My HSBC savings accounts dropped to 3.80% from a nice 4.75% in a short few months.

[Stax_Daniel]

i was just looking at that yesterday...they need to get a better money market manager...a company of their size should easily be able to maintain a 10% rate if you ask me :D

[Shazz]

Blame the Feds. I've noticed the same in my PayPal account just a few days back. My HSBC savings accounts dropped to 3.80% from a nice 4.75% in a short few months.

More rate cuts comming next month :o

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Stax, yea 10% :rolleyes:

[jestep]

i was just looking at that yesterday...they need to get a better money market manager...a company of their size should easily be able to maintain a 10% rate if you ask me

Money market accounts rarely go over 5%. Paypal's which was normally around 5.5% was an excellent account, but the current stock market turmoil is definitely going to keep it down for a little while. Unlike stocks which are often driven by low interest rates, and consumer spending. Money market funds get better when interest rates go up.

Money market accounts are essentially banks lending to banks. When the Fed lowers interest rates it reduces the interest collected for borrowing, which especially impacts money market funds. As long as they keep lowering interest rates, MM returns will go down.

[Shazz]

With more rates cut comming next month, I decided to just drop out of the money market and moved everything to a bank account even though it dosen't do anything there either. But keeping it online with paypal does nothing now.

[dbullet007]

The money market is just for US-based paypal accounts, right? I would like to know how it works

[Shazz]

The money market is just for US-based paypal accounts, right? I would like to know how it works

Yup: https://www.paypal.com/us/cgi-bin/webscr?cmd=_upgrade-interest-marcom

[kush86]

I think any % under 125% sucks. Yeah, you read that right. Real Estate Investing brings big returns.

USA members only!, pm me if you want to learn how to do so...

[Shazz]

I think any % under 125% sucks. Yeah, you read that right. Real Estate Investing brings big returns.

USA members only!, pm me if you want to learn how to do so...

Im ok with 5% and your talking 125% LOL

[hav0c]

Looks like the rate has been lowered again. Now it's down to 3.76%.

[Shazz]

Looks like the rate has been lowered again. Now it's down to 3.76%.

Its going lower :(

[buffalo]

Paypal money market paid me a dividend on the 1st and then another one again on the 7th! :eek: Did anyone else get that?

[hav0c]

Paypal money market paid me a dividend on the 1st and then another one again on the 7th! :eek: Did anyone else get that?
I've heard that there was a minor mistake recently and the second payment may have been the remaining balance of what they owed you from the first one.

[Shazz]

Paypal money market paid me a dividend on the 1st and then another one again on the 7th! :eek: Did anyone else get that?

I missed that one :mad:

[kush86]

Im ok with 5% and your talking 125% LOL

Well good for you, but 5% isn't good for me. Everybody is different.