The Best Money Market Accounts
Good money market accounts (MMAs) can be an awesome low-risk investment. With MMAs, you get more favorable interest rates that you would not get with a personal savings account. At the same time, they are more liquid than CDs (certificates of deposit). BBVA Compass Clearchoice Money Market Account
This account combines customer-pleasing perks and high interest rates. It has one of the best money market rates you can find (2.40% APY, which applies to all balances). You only need $25+ to open your BBVA account so it is favorable to newbies. You will have to pay a $15 service fee per month. Nonetheless, the fee is waived for a minimum account of $10,000. You can also transfer $25+ to get this waiver.
Upsides
- 24/7 online access
- Check writing
- Unlimited ATM withdrawals
- Open account with only $25
- Competitive interest rate
Downside
- Failure to transfer or meet minimum balance requirement attracts a monthly service fee
Sallie Mae Money Market Account
They are popular for student loans, but they have an online bank through which you can access high-yield savings options, that includes a money market account. They have a 2.30% APY interest rate. Even better, you will neither have to pay monthly fees or maintain a minimum deposit.
Upsides
- 24/7 online access
- Check writing
- Mobile check deposit
- No maintenance fee or minimum deposit
- Competitive interest rate
Downside
- No ATM withdrawals
TIAA Bank Yield Pledge Money Market Account
It was originally known as EverBank. New customers get a promotional interest rate of 2.15% APY for a year. More benefits include mobile check deposit, check writing and $0 fees on positive balances. The main disadvantage is that a minimum balance of $5000 is required for you to open an account. The yield pledge is impressive and so is the promotional APY. However, their ongoing balance-based APY is not that attractive.
Upsides
- 24/7 online access
- ATM withdrawals
- Mobile check deposit
- Check writing
- No monthly fees on positive balances
- Interest-rate pledge
Downsides
- Unimpressive non-promotional interest rate
- Required minimum deposit of $5000
Other Great Money Market Accounts
- ableBanking Money Market Savings
- Synchrony Bank’s Money Market Account
- Discover Bank’s Money Market Account
How to Choose the Best Money Market Account for You
Money market accounts are preferred over savings accounts due to high interest rates. If you are looking for the highest money market rates, you will mostly have to look to online banks. If face-to-face relationships are important to you, consider local banks as well.
Here are factors you should consider in your search:
- Low or no minimum deposit: online banks’ MMAs are easily accessible because of this.
- High APY: here, online banks are the winners.
- Low or no maintenance fees: with some banks, you will have to pay a maintenance fee, some do not charge this fee while others waive it if you maintain a set minimum balance.
- Other fees: check other fees like wire transfers and overdrafts.
- Miscellaneous other perks: these are features that make your life easier.
