Interest bearing escrow

by a searcher from University of California, Berkeley - Haas School of Business

1 year ago

Is anyone aware of/have experience with an escrow service that provides any sort of yield? For a sizeable escrow ($1M+) it would be great to be able to store that in something safe/liquid like a Savings/MM/CD with a target return of 4-5% (currently). If there were claims against that escrow, the interest yielded could help offset. Would be curious who'd pay taxes on that income too?

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professional from University of Minnesota - Twin Cities Campus

There's a bank up here in Minnesota that does escrow accounts - For a $1,500 fee, they they have rates of 3.04% APY for amounts over $250k last I inquired. If you're doing $1m, they might do better rates. Ping me if you want an intro.

1 year ago | like reply | 0 likes

searcher from Babson College - F.W. Olin Graduate School

The three banks we looked at provided an interest bearing solution. JPM was the only national bank of the three.

1 year ago | like reply | 1 like

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