Online Savings Account Vs Money Market

Money market accounts.

Online savings account vs money market. Money market accounts give a higher intrest yield than a savings account mma can be as high as 2 50 where as a savings is lucky to get 50 all the while while banks collect the difference in the market. According to the fdic fdic deposit insurance covers the depositors of a failed fdic insured depository institution dollar for dollar principal plus any interest accrued or due to the depositor through the date of default up to at least 250 000. Most banks both traditional brick and mortar and online institutions offer both savings accounts and money market accounts to their customers. This will depend on what a specific bank can offer though.

Money market accounts earn interest like a savings account although often at much higher rates than a savings account. It s important to note that federal law does limit certain types of withdrawals and transfers from money market accounts to a. Our homestreet bank money market accounts provide tiered rates for higher balances the ability to write checks use the account as overdraft protection for your personal checking account and allow you to manage your account 24 7 with free online and mobile banking. When you re thinking money market account vs.

While both usually offer excellent security and good liquidity comparing money market vs. In addition to earning interest money market accounts also usually include check writing abilities and an atm card. The biggest difference you ll find between money market accounts and savings accounts is the amount of access you can have to your money. Money market accounts and traditional savings accounts are quite similar but there are a few differences.

Savings account note that one of the unique features of a money market account is that you can access funds with a debit card as well as through an atm and checks just like you would with your checking account. Like savings accounts money market account funds are easily accessed and these accounts can be utilized for overdraft protection. Like money market accounts savings accounts are considered safe because the fdic insures them for up to 250 000. To figure out which type of account is the best option for you consider a combination of factors including available interest rates and your short medium and long term financial goals.

Savings account features may show which better fits your needs. They also allow account holders to write a limited number of checks.