Anybody in the US look into I bonds for their cash? It keeps up with inflation, so the return at the moment is very good although it adjusts twice a year. You’re limited to only buying $10,000 a year electronically, but it’s worth doing that every year instead of having it sit in a high yield savings account making a little over 1%. The current I bond rate is 9.72%. You can’t take it out for a year, so I wouldn’t put money in there that you plan on using. If you take it out before 5 years, they penalize you by a couple months of interest but even that’s a lot better than a savings account. I have plenty in equities and always keep an emergency cash account but figured it would be smart to move $10K over to it every year. I only wouldn’t do this if you might need the cash immediately.
https://www.treasurydirect.gov/indiv/research/indepth/ibonds/res_ibonds_iratesandterms.htm
Yes, I have been maxing out I bonds because of their very high yield in the current environment.
Things I don't like about them you mentioned above: Limited to only $10,000 per person per year, with an additional $5,000 per household if you get a tax refund for at least that amount and you use it to buy an I Bond for that much. It could be less than $5,000 if you choose.
I don't like that the money is locked away for 12 months. I don't mind the early withdrawal penalty if you pull the money out between years 1 and 5.
I don't like the clunky, 90s era, TreasuryDirect website, the only place where you can buy I Bonds.
Other than that, they are a good place to park cash for a while, at least for now.