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What is a money market savings account?

A money market savings account is a safe, highly liquid investment for your money. Also known as a money market account (MMA) or money market deposit account, this kind of account is ideal for conservative or balanced savers who want to get the better interest rates than savings rates for their cash.

A money market savings account, offered by banks and credit unions, is a type of savings account with some of the same features as a checking account. You may add money to your money market account at any time--something you can't do with a certificate of deposit.

Additionally, you may withdraw money from or write checks against your money market savings account. Oftentimes there are limitations to the number of transactions you can perform in a month--for instance, perhaps you can make six transactions per month in all, three of which may be in the form of written checks.

Money market savings accounts usually have a minimum balance requirement. But because money market accounts aren't really the place for day-to-day expense money anyway, this minimum balance will curb your temptation to withdraw too much of your funds and use them frivolously.

Money market savings account key features and benefits

As with savings accounts, balances in a money market savings account earn interest. With money market savings accounts, the interest rates tend to be higher on average than savings rates. Typically, interest is compounded daily and paid monthly, though you can check on the terms with the particular bank you choose. Sometimes, depending upon the financial institution, money market accounts with balances of $100,000 or higher (also known as "jumbo" deposits) earn higher money market rates.

Money market savings accounts, like other deposit accounts, are federally insured--by the Federal Deposit Insurance Corporation if the account is at a member bank or the National Credit Union Administration if it's at a member credit union. This is a great reassuring benefit because if the banking institution fails, you don't lose your money up to predetermined limits.

When a money market account is best

A money market account is ideal for large lump sums in savings that can meet many banks' minimum balance requirements and that you don't need to access every day. Consider money market accounts for funds that you:

  • have earmarked for upcoming investments (or have received from the sale of recent investments)
  • are saving up for a home downpayment
  • tap for occasional home repairs or renovation
  • maintain as the conservative cash portion of your retirement portfolio
  • keep around for emergency expenses

With so many uses for money market savings accounts, these lesser-known variants of traditional savings accounts deserve a look. Compare money market account rates to see how much you may be able to yield from your cash savings.

Money Market Rates

1.29%
Rate
1.30%
APY
$1
Min to earn APY

Advertiser Comments

  • Great Rates + Safety = Peace of Mind
  • Member FDIC
1.29%
Rate
1.30%
APY
$0
Min to earn APY

Advertiser Comments

  • 100% U.S. Based Customer Service
  • No monthly minimum balance, no monthly fees
  • Open in Minutes
1.24%
Rate
1.25%
APY
$0
Min to earn APY

Advertiser Comments

  • Consistently Competitive Rates
  • 24/7 Customer Care
  • Ally Bank, Member FDIC
Ultima Bank
Minimum to earn APY $0
2.02% APY
Rates as of 2017-12-10
Advertiser Comments
SMART Savings Account - for young adults 18 yrs or younger, withdrawals prior to 18th See morebirthday may result in a penalty

Type: Savings

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Dollar Savings Direct
Minimum to earn APY $0
1.50% APY
Rates as of 2017-12-15
Advertiser Comments
Dollar Savings Account - apply online- must have a personal checking account in a US See morebank.

Type: Savings

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Salem Five Direct
Minimum to earn APY $0
1.50% APY
Rates as of 2017-12-10
Advertiser Comments
eOne Savings - APY on balances of 0.01- $1,000,000. Companion account to eOne Checking, no See moreminimum balance, no monthly fees, free ATM card, Online applicants only, who do not have existing deposit accounts with Salem Five

Type: Savings

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UFB Direct
Minimum to earn APY $0
1.41% APY
Rates as of 2017-12-10
Advertiser Comments
UFB Direct Money Market Savings Account - No monthly maintenance fee with a minimum $5,000 See moreaverage daily collected balance; otherwise, the fee is $10.00 per month - Apply online

Type: MMA

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Popular Direct
Minimum to earn APY $0
1.40% APY
Rates as of 2017-12-10
Advertiser Comments
Popular Direct Plus Savings - $4 monthly fee waived with $500 minimum daily balance

Type: Savings

Learn More
Nationwide Bank
Minimum to earn APY $10,000
1.40% APY
Rates as of 2017-12-12
Advertiser Comments
Tiered Money Market - tier $10,000 - $24,999 - apply online

Type: MMA

Learn More
Nationwide Bank
Minimum to earn APY $25,000
1.40% APY
Rates as of 2017-12-12
Advertiser Comments
Tiered Money Market - tier $25,000 - $49,999 - apply online

Type: MMA

Learn More
Nationwide Bank
Minimum to earn APY $50,000
1.40% APY
Rates as of 2017-12-12
Advertiser Comments
Tiered Money Market - tier $50,000 - $99,999.99 - apply online

Type: MMA

Learn More
Nationwide Bank
Minimum to earn APY $100,000
1.40% APY
Rates as of 2017-12-12
Advertiser Comments
Tiered Money Market - tier $100,000 - apply online

Type: MMA

Learn More
CIT Bank
Minimum to earn APY $0
1.35% APY
Rates as of 2017-12-13
Advertiser Comments
CIT Bank Savings - Premier High Yield - Tier $0 - $250,000 - Apply online

Type: Savings

Learn More
SFGI Direct
Minimum to earn APY $1
1.31% APY
Rates as of 2017-12-10

Type: Savings

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EverBank
Minimum to earn APY $0
1.31% APY
Rates as of 2017-12-10
Advertiser Comments
Yield Pledge Money Market - APY for all balances

Type: MMA

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EverBank
Minimum to earn APY $0
1.31% APY
Rates as of 2017-12-10
Advertiser Comments
Yield Pledge Money Market - This is a 1 Year Introductory APY for balances between See more$0 - $250,000 - Must be first time money market customers with new money deposit

Type: MMA

Learn More
Radius Bank
Minimum to earn APY $2,500
1.30% APY
Rates as of 2017-12-10
Advertiser Comments
Radius High-Yield Savings - APY for balances $2,500 and above - apply online

Type: Savings

Learn More
ableBanking
Minimum to earn APY $0
1.30% APY
Rates as of 2017-12-13
Advertiser Comments
Money Market Savings - APY for all balances - Up to 6 withdrawals are permitted See moreper month - apply online - a division of Northeast Bank based in Maine

Type: MMA

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UFB Direct
Minimum to earn APY $25,000
1.30% APY
Rates as of 2017-12-10
Advertiser Comments
UFB Premium Savings offers a rate of 1.30% APY with interest compounded daily - APY See morefor balances $25,000 and above - Must be new funds to receive stated rate

Type: Savings

Learn More
Sallie Mae Bank
Minimum to earn APY $0
1.30% APY
Rates as of 2017-12-10
Advertiser Comments
Nationwide - Apply online

Type: MMA

Learn More
Capital One 360
Minimum to earn APY $10,000
1.30% APY
Rates as of 2017-12-13
Advertiser Comments
360 Money Market - Tier $10,000 or more

Type: MMA

Learn More
Nationwide Bank
Minimum to earn APY $0
1.30% APY
Rates as of 2017-12-12
Advertiser Comments
Regular Savings - APY for all balances - Online savings account

Type: Savings

Learn More
Barclays
Minimum to earn APY $0
1.30% APY
Rates as of 2017-12-13
Advertiser Comments
Online Savings - APY for all balances

Type: Savings

Learn More
American Express
Minimum to earn APY $0
1.25% APY
Rates as of 2017-12-13
Advertiser Comments
High Yield Savings - APY for all balances - Apply online

Type: Savings

Learn More
FNBO Direct
Minimum to earn APY $0
1.15% APY
Rates as of 2017-12-11
Advertiser Comments
Online Savings - Rated Kiplinger's Best Online Savings Account - No minimums, no monthly fees, See moremanage account securely online

Type: Savings

Learn More
SmartyPig
Minimum to earn APY $10,000
1.15% APY
Rates as of 2017-12-10
Advertiser Comments
SmartyPig Savings - Tier $10,000.01 - $50,000

Type: Savings

Learn More
Nationwide Bank
Minimum to earn APY $0
1.15% APY
Rates as of 2017-12-12
Advertiser Comments
Tiered Money Market - APY for balances between $0-$999.99

Type: MMA

Learn More
Nationwide Bank
Minimum to earn APY $1,000
1.15% APY
Rates as of 2017-12-12
Advertiser Comments
Tiered Money Market - tier $1,000 - $9,999.99 - apply online

Type: MMA

Learn More
Bank of Internet
Minimum to earn APY $1
1.05% APY
Rates as of 2017-12-13
Advertiser Comments
Money Market Savings Account - No monthly maintenance fees - No minimum monthly balance requirements

Type: MMA

Learn More
SmartyPig
Minimum to earn APY $0
1.05% APY
Rates as of 2017-12-10
Advertiser Comments
SmartyPig Savings - Tier $0.01 - $2,500

Type: Savings

Learn More
Bank of Internet
Minimum to earn APY $0
1.05% APY
Rates as of 2017-12-13
Advertiser Comments
Smart Savings - No monthly maintenance fees - No minimum monthly balance requirements

Type: Savings

Learn More
SmartyPig
Minimum to earn APY $2,500
1.05% APY
Rates as of 2017-12-10
Advertiser Comments
SmartyPig Savings - Tier $2500.01 - $10,000

Type: Savings

Learn More
AloStar Bank of Commerce
Minimum to earn APY $0
1.05% APY
Rates as of 2017-12-13
Advertiser Comments
Limit of six transactions per month - APY for all balances - apply online

Type: Savings

Learn More
Ultima Bank
Minimum to earn APY $1,000
1.01% APY
Rates as of 2017-12-10
Advertiser Comments
UBM Direct Savings Account

Type: Savings

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TIAA Direct
Minimum to earn APY $0
1.01% APY
Rates as of 2017-12-10
Advertiser Comments
Money Market - Tier 0-$2,499.99

Type: MMA

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TIAA Direct
Minimum to earn APY $2,500
1.01% APY
Rates as of 2017-12-10
Advertiser Comments
Money Market - Tier $2,500 - $24,999.99

Type: MMA

Learn More
TIAA Direct
Minimum to earn APY $25,000
1.01% APY
Rates as of 2017-12-10
Advertiser Comments
Money Market - Tier $25,000 - $49,999.99

Type: MMA

Learn More
TIAA Direct
Minimum to earn APY $50,000
1.01% APY
Rates as of 2017-12-10
Advertiser Comments
Money Market -Tier $50,000 -$99,999.99

Type: MMA

Learn More
First Internet Bank
Minimum to earn APY $0
1.00% APY
Rates as of 2017-12-11
Advertiser Comments
Money Market Savings - Rate earned on balances from $0 to $250,000 - Transaction limitations See more- apply online

Type: MMA

Learn More
iGOBanking
Minimum to earn APY $0
1.00% APY
Rates as of 2017-12-12
Advertiser Comments
iGO Online Savings

Type: Savings

Learn More
Amboy Direct
Minimum to earn APY $3,000
1.00% APY
Rates as of 2017-12-13
Advertiser Comments
eSavings - Tier $3,000 - $10,000 - Apply online or by mail, offer not available See moreat branches.

Type: Savings

Learn More
Biscayne Bank
Minimum to earn APY $0
1.00% APY
Rates as of 2017-12-13
Advertiser Comments
Regular Savings - APY for balances of $.01 and over

Type: Savings

Learn More
Colorado Federal Savings Bank
Minimum to earn APY $2,500
1.00% APY
Rates as of 2017-12-13
Advertiser Comments
High Yield Savings - You may access your funds only through ACH (ACH fee applies)

Type: Savings

Learn More
Main Street Bank
Minimum to earn APY $0
1.00% APY
Rates as of 2017-12-12
Advertiser Comments
Kasasa Saver - Must be linked to a free Kasasa Cash or Kasasa Cash Back See morechecking account - 1.00% APY on balances up to $50,000 - No minimum balances - No monthly service fee

Type: Savings

Learn More
Sallie Mae Bank
Minimum to earn APY $0
1.00% APY
Rates as of 2017-12-10
Advertiser Comments
High-Yield Savings - No minimum balance and no monthly service fees - Nationwide - Apply See moreonline

Type: Savings

Learn More
Mutual of Omaha Bank
Minimum to earn APY $1,000
1.00% APY
Rates as of 2017-12-12
Advertiser Comments
Online Money Market - Rate/APY for balances from $1,000 - $1,000,000

Type: MMA

Learn More
MySavingsDirect
Minimum to earn APY $0
1.00% APY
Rates as of 2017-12-12
Advertiser Comments
MySavings Account

Type: Savings

Learn More
Capital One 360
Minimum to earn APY $0
1.00% APY
Rates as of 2017-12-13
Advertiser Comments
360 Savings Account - APY for all balances - No fees - No minimum balance See more- Online account

Type: Savings

Learn More
UFB Direct
Minimum to earn APY $20,000
1.00% APY
Rates as of 2017-12-10
Advertiser Comments
UFB Savings - Tier $20,000 and above - No monthly maintenance fee

Type: Savings

Learn More
CIBC
Minimum to earn APY $0
0.90% APY
Rates as of 2017-12-10
Advertiser Comments
CIBC Palladian Savings - Currently there is a promotional interest rate for CIBC Palladian Savings See moreAccount which is fixed at 1.30% for the first six months. After the promotional interest rate ends, the interest rate will be the non-promotional variable interest rate that is offered for Palladian Savings Account at that time (currently 0.90%). There is a minimum initial deposit of $1,000 and maximum initial deposit of $100,000.

Type: Savings

Learn More