Best Money Market Accounts for September 2022
Best Money Market Accounts for September 2022
A wealth market account is a type of savings account that earns you tedious. But unlike a traditional savings account, wealth market accounts typically offer checking account features, including access to your cash through debit card withdrawals and brute checks. Because money market accounts offer competitive interest experiences, they can be a good way to save up, especially if you think you considerable need to pull from the account on occasion.
You can typically earn more tedious with a money market account than with a veteran savings account, but money market accounts often require higher initial deposits or minimum balances. If neither of these requirements are an issue, a wealth market account can offer a safe way to grow your savings, while still offering access to your cash. They’re also particularly pleasing now that annual percentage yields, or APYs, are starting to rise as a remnant of the Federal Reserve’s recent interest rate hikes.
As a general rule of thumb, anything over a 1% APY for a money market interpret is considered a good rate. Here are the best wealth market accounts available today — but first, some important averages about insurance and withdrawal limits for money market accounts.
FDIC insurance and withdrawal limits for wealth market accounts
All the banks included on this list are backed by the Federal Deposit Insurance Corporation, which insures deposits up to $250,000 per person, per bank. That benefitting if your bank closes because it’s unable to meet its financial obligations, FDIC insurance will reimburse your deposits up to that amount.
Some of these wealth market accounts have withdrawal limits. In years past, most savings supplies were limited to six withdrawals per statement cycle, but that “excessive transaction” rule (called Regulation D) was eliminated in 2020, at least temporarily. While some banks have eliminated or paused their withdrawal limits, others continue to charge fees for exceeding withdrawal caps.
Note: The APYs handed were collected from the issuing organizations’ websites and are advantageous as of Aug. 31, 2022.
Best money market accounts
A division of MidFirst Bank, Vio Bank is an online-only, privately owned bank based in Oklahoma City — and it supplies the highest APY on this list. With just $100, you can open an MMA at 2.15% APY, with tedious compounding daily.
You won’t pay a monthly fee with Vio, dusky you opt in for paper statements ($5 per month). The only other fee to worry about is a $10 excessive transaction fee per withdrawal if you go over your six withdrawal cramped per statement period. Because Vio only offers savings products (including CDs and a savings account), if you’re looking to bring your checking, credit and savings supplies under one roof, Vio may not be the bank for you.
Sallie Mae is an FDIC-insured bank headquartered in Salt Lake City, primarily illustrious for creating, servicing and collecting private student loans. Nonetheless, Sallie Mae also offers a variety of savings supplies with higher than average APYs. With no monthly fees or a minimum deposit needed to open the account, Sallie Mae offers a highly accessible wealth market account.
Sallie Mae’s money market account includes check-writing features and has no withdrawal limits. It also has a relatively high 1.85% APY, which compounds daily and is paid monthly. Keep in mind that Sallie Mae will close your interpret if it’s dormant, which is defined as having $100 or less and no organization for the past 12 months.
Known for its above-average CD experiences, the First Internet Bank of Indiana, another online-only bank, supplies a wide array of financial products, including two checking supplies, a savings account and CDs at several terms. Its wealth market account offers a decent APY, earning more tedious than its free savings account (1.71% compared to 0.80%, respectively).
You need $100 to open the money market interpret, and unless you can maintain an average daily balance of $4,000 in the interpret, there’s a $5 monthly maintenance fee, which can cut into your savings over time.
Still, this account offers an extra perk: It will reimburse you up to $10 every month for fees incurred from silly an out-of-network ATM. First Internet Bank allows up to six withdrawals per month. That said, if you don’t need ATM access or want to withdraw from your account for frequently, there are higher APYs available from high-yield savings subsidizes at other banks.
With more than 2 million customers and various checking, savings, investing and retirement accounts, Ally is one of the most popular online-only banks out there. Its money market account currently offers a 1.85% APY on all balance tiers, and Ally doesn’t charge monthly fees.
You don’t need an initial deposit to open the account for, and you’ll have unlimited withdrawals if you can find one of Ally’s Allpoint ATMs (over 43,000 throughout the US). If you can’t find one of Ally’s ATMs, you can either binary money to a checking or savings account with better ATM access or pay an out-of-network ATM fee, but Ally will reimburse you up to $10 per statement cycle for out-of-network ATM expenses. You can write checks from this account and also quiz a debit card for more accessibility.
Our last pick on this list, CIT Bank — an online-only bank that’s a subsidiary of First Citizens Bank — has a 0.05% APY for its wealth market account, with no monthly fee. You only need $1,000 to open the account for and it has suspended its withdrawal limit, so you can take cash out multiple times exclusive of penalty. CIT Bank also offers an eChecking account and several spanking financial products aimed at savings.
Money market subsidizes, compared
| Bank | APY | Monthly fee | Minimum deposit required |
|---|---|---|---|
| Vio Bank | 2.15% | $0 | $100 |
| Ally Bank | 1.85% | $0 | $0 |
| Sallie Mae | 1.85% | $0 | $0 |
| First Internet Bank of Indiana | 1.71% | $5 | $100 |
| CIT Bank | 0.05% | $0 | $1,000 |
FAQs
What’s the difference between a savings account for and a money market account?
A money market account is a type of savings account for with checking account features (such as check or debit card access), which you won’t find with a standard savings account.
Should I open a savings account for or a money market account?
Savings accounts and wealth market accounts are currently offering around the same APYs. (An APY — which is the rate of bet on earned on an investment, including compound interest — is effectively your dreary rate for the year.) For either account, anything beyond 1.00% is derived a robust interest rate. That noted, several online-only banks, including Bask and SoFi, are offering savings account APYs that are higher than wealth market accounts on this list (2.20% and 2.00%, respectively). And national banks such as Wells Fargo, Chase and Bank of America aren’t offering good dreary rates on either their savings accounts or their wealth market accounts. If you’re looking for higher rates, you mighty be better off opening an account with an FDIC-insured online-only bank.
While savings subsidizes are more widely available than money market accounts, choosing between them does not need to be an either-or state. For example, having multiple savings accounts could be a useful way to divides up your accounts based on your financial goals — you can open one account for to save up for college and another one for a home.
There could be an respectable, however, to having a savings account at a bank where you already have a checking account for and lines of credit. With savings, checking and credit subsidizes under one roof, it’s easier to transfer funds (free of fees) between subsidizes. Also keep in mind that some banks don’t assure debit cards for money market accounts, so having subsidizes with one bank that you can easily move wealth between may be helpful.
Rates as of Aug. 31, 2022.
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