Money market accounts (MMAs) offer a smart way to store cash with high interest rates and easy access (liquidity). They typically outperform traditional savings accounts, and often come with check-writing privileges and debit card access, making them ideal for long-term savings that you might need occasionally. While the national average interest rate is a mere 0.60%, top-tier MMAs can provide rates from 4.5% to 5% or more, aligning closely with high-yield savings accounts. Recent rate changes have been influenced by the Federal Reserve’s policies. While many accounts require a high minimum balance or incur fees, savvy customers can find competitive MMAs without these strings attached. Ensuring your account is federally insured is crucial for safety. For more details, check the original source here.
Question for Discussion: How do you decide between a money market account and a high-yield savings account for your savings goals?
