Why Interest Rates are so low
This week I heard an explanation for why the interest rates earned on a large amount of HOA Reserves are so low. Could it possibly be correct? The reason given me was that CAMS has told the HOA's Board of Directors which bank or banks it wants our money in. A s of February 28, 2023, t he HOA has $424,295 sitting in Operating Account 3355. And $170,588 sitting in Operating Account 9113. And $245,692 in Operating Account 9621. No interest earnings are disclosed for those three Operating Accounts, two of which are at CIT (whatever that is) and the third is at NSB (whatever that is). Then there are the Reserves. $232,048 at 0.01%. $104,728 at 0.55%. $109,069 at 0.35%. $238,585 at 0.75%. And other amounts are somewhat higher rates of interest. Is this malfeasance on the part of the Board of Directors? These are HOA dollars, not CAMS dollars. Is CAMS really controlling where the HOA puts its money? Should most of the members of the Board of Directors be removed for this fiscal irrespons