There’s a reason Money Market Accounts (MMAs) are becoming a popular way to save. Actually, there are a few reasons. In case you’re new to this type of account, we’ll bring you up to speed. A Money Market Account is an interest-bearing account that allows you to:
- Withdraw money or make deposits up to six times each month by check, debit card, draft, or electronic transfer.
- Make additional withdrawals or payments that don’t count against your six-transaction limit via ATM, in person, by mail, messenger, or telephone check.
Here are three key advantages of a Money Market Account:
- Access to funds in the short term. With a Certificate of Deposit, funds have to stay in an account for a set period of time. With a Money Market Account, you have access to the funds whenever you need them.
- Great rate of return: not only do you have access to the funds, but you’ll also earn competitive interest.
- Security. MMAs are FDIC-insured, so you know your deposits and the interest you accrue are both protected, just like a savings account.