On 12/27/2012 10:30 AM, James Salsman wrote: Reviewing the log from those office hours, it appears Garfield did not "accept and speak highly of the suggestion", he merely said he would look into the possibility. I'm also rather skeptical of the underlying claim about the superiority of credit union CDs in this context, and as an audit committee member would want to see a much clearer and better documented case for undertaking such an effort. It appears that your generic information about interest rates was based on either the highest rates available, which also require the longest terms, or on promotional rates that I doubt would fit with the Wikimedia Foundation's circumstances. In practice, investment of cash reserves must balance the return on investment with the need to maintain liquidity, which is after all the primary reason to keep "cash" on hand. That means shorter-term investment vehicles, and from what I know the rates for CDs of this type do not diverge significantly between banks and credit unions. In the current interest rate environment, basically the rates are pathetically low either way, and even if there is some difference the return would be relatively trivial and unlikely to be worth the effort of switching. Again, the point is not absolute maximization of the possible return, it's more to avoid a return of nothing at all while ensuring the funds can be available if needed. None of this is meant as a statement on the relative merits of banks versus credit unions generally. On a personal level, I transitioned from a bank to a credit union as my primary financial institution long ago. But the logic that may apply for a typical consumer doesn't necessarily translate over to something like institutional management of cash reserves. --Michael Snow