Bonus offer from Chase Private Client - worth it?

[jeroly]

I got an offer to get $3,000 in a bonus from Chase Private Client if I invest $500,000 for 45 days.

What's to stop me from putting it into a 3 month Treasury bill or a bank CD, getting the bonus, then closing out the account?

(I want to have that much in FI anyway and it's available - currently in a MMF - in my brokerage account at the moment)

Obviously if there are fees involved or a long float period it would possibly not work well, but my first reading of the offer doesn't show glaring red flags.

Thanks for any and all thoughts!

[Dicey]

I got an offer to get $3,000 in a bonus from Chase Private Client if I invest $500,000 for 45 days.

What's to stop me from putting it into a 3 month Treasury bill or a bank CD, getting the bonus, then closing out the account?

(I want to have that much in FI anyway and it's available - currently in a MMF - in my brokerage account at the moment)

Obviously if there are fees involved or a long float period it would possibly not work well, but my first reading of the offer doesn't show glaring red flags.

Thanks for any and all thoughts!

PTF. We've received that offer before - we bank at Chase - however, we spent the money, so the offers finally stopped, lol.

[lhamo]

Probably nothing to stop you == read the fine print to be sure.

I did the smaller tier Chase reward thing a few years ago -- $300 for opening a savings account (couldn't get the extra checking bonus because I didn't have a source for direct deposit.  What it cost me was having to sit through a nearly 1 hour session while they set it all up where they asked about all my other assets.  They are trying to get you to be a permanent client who will pay for their investment "services" basically.

I'll probably do it again once I start drawing from my retirement -- you can qualify for the savings/checking bonuses once every 24 months now (used to be 12).  $500-600 is enough for a nice road trip, so worth it to me.

[Finances_With_Purpose]

It's probably not worth the time.  Easier to keep your $ where it's at and put it into a CD/whatever.  Those offers really aren't great when you consider the rate of return on that money in any normal instrument (I bond, CD, etc.) over a year or more.  You earn more just leaving it where it is if you've got it in anything decent. 

Though if you don't yet have it earning, and don't mind a switch, sure, go for it. 

[LightStache]

I considered a similar Chase offer and decided not to do it. You may have different Ts&Cs, but according to the Chase website it has to be a taxable brokerage account managed by a Chase advisor. You have to deposit funds within 45 days of enrollment and maintain it until 90 days after enrollment, so a net of 45 days minimum as you suggest.

If you go the brokerage route (versus just checking) I'd anticipate a few meetings with your advisor for investment strategy. Then they'll probably push back and delay processing the account closure on the back end. All that isn't worth 0.6% IMO.

If you just go with the checking account then it's really a wash with a 5% APR MM for 45 days.

$3,000 is a compelling amount of money, but not worth putting $500,000 on the hook.