4 Best Cash Management Accounts
Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money.
The best cash management accounts pay interest and typically come with low or no fees. They're usually offered by brokerage firms and combine services and features similar to those of checking, savings and/or investment accounts, all in one product.
Why trust NerdWallet: Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our coverage to help you choose the financial accounts that work best for you. See our criteria for evaluating banks and credit unions.
Though APYs have seen some big cuts over the past year, the interest rates for some cash management accounts remain higher than the national average savings account APY, currently just 0.37%.
Cash management accounts are cash accounts offered by nonbank financial service providers, such as brokerages. These hybrid accounts combine services and features similar to those of checking, savings and/or investment accounts, all in one product. To provide federal insurance, cash management account providers typically work with partner banks. CMA providers sweep customer deposits into partner bank accounts, where the funds benefit from the bank’s Federal Deposit Insurance Corp. insurance.
These brokerage savings accounts can offer an alternative to traditional savings accounts. They could be a good option for people seeking higher-than-average interest rates and some robust features. Here’s our look at the top cash management accounts.
» Want to learn more about the basics of cash management accounts? Check out NerdWallet’s guide to this banking product.
The best cash management accounts pay interest and typically come with low or no fees. They're usually offered by brokerage firms and combine services and features similar to those of checking, savings and/or investment accounts, all in one product.
Why trust NerdWallet: Our writers and editors follow strict editorial guidelines to ensure fairness and accuracy in our coverage to help you choose the financial accounts that work best for you. See our criteria for evaluating banks and credit unions.
Though APYs have seen some big cuts over the past year, the interest rates for some cash management accounts remain higher than the national average savings account APY, currently just 0.37%.
Cash management accounts are cash accounts offered by nonbank financial service providers, such as brokerages. These hybrid accounts combine services and features similar to those of checking, savings and/or investment accounts, all in one product. To provide federal insurance, cash management account providers typically work with partner banks. CMA providers sweep customer deposits into partner bank accounts, where the funds benefit from the bank’s Federal Deposit Insurance Corp. insurance.
These brokerage savings accounts can offer an alternative to traditional savings accounts. They could be a good option for people seeking higher-than-average interest rates and some robust features. Here’s our look at the top cash management accounts.
» Want to learn more about the basics of cash management accounts? Check out NerdWallet’s guide to this banking product.
Best Cash Management Accounts
| Bank/institution | NerdWallet rating | Monthly fee | APY | Bonus | Learn more |
|---|---|---|---|---|---|
 Wealthfront Cash Account Learn more at Wealthfront | Best for Cash Management Account | $0 | 4.30% With $1 min. balance for APY | $30 Requirements to qualify | Learn more at Wealthfront |
 Betterment Cash Reserve – Paid non-client promotion Learn more at Betterment | Best for Cash Management Account | $0 | 4.00% With $0 min. balance for APY | N/A | Learn more at Betterment |
 Empower Personal Cash | Best for Cash Management Account | $0 | 4.10% With $0 min. balance for APY | N/A | Read review |
 Fidelity Cash Management Account | Best for Cash Management Account | $0 | 2.34% With $0 min. balance for APY | N/A | Read review |
You may also like these
People often identify opening a savings account as their next money move.
UFB Preferred Savings
APY
With $0 min. balance for APY
at UFB Direct, Member FDIC
SoFi Checking and Savings
APY
With $0 min. balance for APY
Bonus
Earn up to $250 with direct deposit. Terms apply.
at SoFi, Member FDIC
LendingClub High-Yield Savings
APY
With $0 min. balance for APY
at LendingClub Bank, Member FDIC
Our pick for
Cash Management Account
Monthly fee
$0
APY
4.30%
With $1 min. balance for APY
Bonus
$30
Requirements to qualify
Why We Like It
Wealthfront Cash Account offers a 4.30% APY, with no fees. Customers can add a debit card to their Cash Account, which allows them to withdraw cash from more than 19,000 fee-free ATMs as well as make purchases. They can also use their account to pay bills and link to apps such as Venmo and Cash App to send money to friends and family. Direct deposit with payments up to two days early is also available.
Monthly fee
$0
APY
4.00%
With $0 min. balance for APY
Bonus
N/A
Why We Like It
The Betterment Cash Reserve cash management account has an annual percentage yield of 4.00%. The Cash Reserve account and the companion Betterment Checking account have no fees and no minimum balance requirement except for the $10 it takes to open the account. Betterment Checking offers a debit card, mobile check deposit, check writing and reimbursement of ATM fees worldwide.
Betterment says: "Annual percentage yield (variable) is as of 02/06/2023."
Betterment says: "Cash Reserve is only available to clients of Betterment LLC, which is not a bank, and cash transfers to program banks are conducted through the clients' brokerage accounts at Betterment Securities. Learn more: https://www.betterment.com/cash-reserve."
Paid non-client promotion: NerdWallet doesn’t invest its money with this provider, but they are our referral partner – so we get paid only if you click through and take a qualifying action (such as open an account with or provide your contact information to the provider). Most importantly, our reviews and ratings are objective and are never impacted by our partnerships. Our opinions are our own. Here is a list of our partners and here’s how we make money.
Monthly fee
$0
APY
4.10%
With $0 min. balance for APY
Bonus
N/A
Why We Like It
Empower Personal Cash (formerly Personal Capital Cash) offers a 4.10% APY as well as robust budgeting features through its highly rated app. It also has no fees or minimum balance. Keep in mind, however, that Empower Personal Cash currently doesn’t support cash deposits, cash withdrawals or check writing. Electronic transfers, wire transfers and direct deposits, however, are currently supported.
Monthly fee
$0
APY
2.34%
With $0 min. balance for APY
Bonus
N/A
Why We Like It
Fidelity Cash Management Account has no monthly fees or minimum balance requirements, and it offers a rare unlimited ATM fee reimbursement and free check writing. The account carries FDIC insurance of $1.25 million through Fidelity’s partner banks, and customers are able to invest in certificates of deposit from the account.
Last updated on October 3, 2022
To recap our selections...
NerdWallet's Best Cash Management Accounts
- Wealthfront Cash Account: Best for Cash Management Account
- Betterment Cash Reserve – Paid non-client promotion: Best for Cash Management Account
- Empower Personal Cash: Best for Cash Management Account
- Fidelity Cash Management Account: Best for Cash Management Account
Frequently asked questions
A cash management account is a hybrid account that offers similar services and features as checking and savings accounts. They aren’t provided by banks; instead, they’re provided by nonbank financial service providers like brokerage and investment firms.
Check out our list of the best cash management accounts on the market.
Cash management accounts—offered by nonbank financial service providers like brokerage and investment firms—bring checking, savings and/or investment products all under one roof. They typically pay interest and offer tech-savvy features.
Since CMA providers aren’t banks, they can’t directly offer FDIC insurance to customers’ funds. Instead, providers partner with banks behind the scenes and sweep customers’ cash into bank accounts, thereby allowing banks to extend FDIC coverage to that money.
A brokerage account is an investment account where customers can put away their long-term savings to earn interest. A cash management account is for short- to medium-term savings and regular spending and is meant to be used frequently.
Since most CMAs are offered by brokerage and investment firms, customers can often connect their brokerage account to a CMA and transfer money back and forth under the umbrella of the same provider
Some of the best alternatives to cash management accounts include: certificates of deposit (CDs), peer-to-peer lending, high-yield money market accounts (MMAs) and high-yield online savings accounts.
To learn more about the similarities and differences of these products, check out this guide from NerdWallet.
Cash management refers to the way consumers process and determine the usage of their money.
When it comes to cash management accounts, customers can manage the flow of their cash through spending, saving and—usually—investing it all under the same roof.
