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6 Best Money Market Accounts

Margarette BurnetteJanuary 15, 2020

At NerdWallet, we strive to help you make financial decisions with confidence. To do this, many or all of the products featured here are from our partners. However, this doesn’t influence our evaluations. Our opinions are our own.

Summary of Best Money Market Accounts

BankAPYLearn More
CIT Bank Money Market Account

CIT Bank Money Market Account

at CIT Bank,

Member, FDIC

1.80%

With $100 minimum balance

at CIT Bank,

Member, FDIC

Discover Money Market Account

Discover Money Market Account

at Discover Bank,

Member, FDIC

1.35%

With $2500 minimum balance

at Discover Bank,

Member, FDIC

State Farm Bank Money Market Savings

State Farm Bank Money Market Savings

1.01%

With $1000 minimum balance

Read review
TIAA Bank Yield Pledge® Money Market

TIAA Bank Yield Pledge® Money Market

1.75%

With $500 minimum balance

Read review
BMO Harris Platinum Money Market Account

BMO Harris Platinum Money Market Account

1.50%

With $5000 minimum balance

Read review
Redneck Bank Mega Money Market

Redneck Bank Mega Money Market

NerdWallet rating 

1.75%

With $500 minimum balance

CIT Bank Money Market Account

at CIT Bank,

Member, FDIC

CIT Bank Money Market Account

CIT Bank Money Market Account

APY

1.80%

With $100 minimum balance

Bonus

N/A

at CIT Bank,

Member, FDIC


Bonus

N/A

Why we like it

Best rate: CIT Bank has a 1.80% APY on its money market account and 1.75% on its Savings Builder account.

 

Minimum balance: There's a minimum opening deposit of $100 for either account. That's a reasonable minimum for a money market account. For the Savings Builder, as its name implies, you'll also need to deposit $100 monthly to earn the top interest rate. You can also maintain a minimum balance of at least $25,000 to earn the high rate.

 

What you should know: Neither account has a monthly maintenance fee.

Read Full Review
Discover Money Market Account

at Discover Bank,

Member, FDIC

Discover Money Market Account

Discover Money Market Account

APY

1.35%

With $2500 minimum balance

Bonus

N/A

at Discover Bank,

Member, FDIC


Bonus

N/A

Why we like it

Best rate: Discover’s money market account has a 1.35% APY on balances below $100,000. If you have more to deposit, the rate is 1.40%.

 

Minimum balance: The minimum opening deposit for a money market account is $2,500 with no monthly fee. If you don’t have that much to deposit, or you don’t need to write checks or use a debit card, Discover’s online savings account is an option that has no minimum deposit and a better yield at 1.50%.

 

What you should know: The bank has over 60,000 ATMs in its network. You can also make debit card purchases and write checks with this money market account, though you’re limited to six of these types of transactions each month.

Read Full Review

State Farm Bank Money Market Savings

State Farm Bank Money Market Savings

APY

1.01%

With $1000 minimum balance

Bonus

N/A


Bonus

N/A

Why we like it

Best rate: If you’re opening your first money market through State Farm, or you haven’t had one in the past year, you’ll qualify for 1.01% APY on balances of up to $5 million for one year. The standard rate is lower.

 

Minimum balance: You’ll need $1,000 to open a money market with State Farm.

 

What you should know: You’ll pay a $10 monthly fee on the account if you don’t maintain a $500 minimum average daily balance. This fee is waived if you have a direct deposit into the account each statement cycle.

Read Full Review

TIAA Bank Yield Pledge® Money Market

TIAA Bank Yield Pledge® Money Market

APY

1.75%

With $500 minimum balance

Bonus

N/A


Bonus

N/A

Why we like it

Best rate: First-time TIAA Yield Pledge Money Market accountholders can earn a 1.75% APY introductory rate on all balances below $250,000 for the first year. (To qualify, money must not be transferred from an existing TIAA Yield Pledge Checking or Money Market.) After the first year, accounts earn 1.01%-1.60% APY, depending on the balance.

 

Minimum balance: You must deposit $500 to open the account, but you won’t need to maintain the balance to earn interest. This is reasonable compared with some other accounts, which require more to open or a specific balance to earn the best rates thereafter.

 

What you should know: There’s no monthly fee on the Yield Pledge Money Market. But if you’re ongoing balance is on the lower side, you’ll be better off in a high-yield savings account after the first year.

Read Full Review

BMO Harris Platinum Money Market Account

BMO Harris Platinum Money Market Account

APY

1.50%

With $5000 minimum balance

Bonus

N/A


Bonus

N/A

Why we like it

Best rate: You’ll earn 1.50% APY provided your balance is at least $5,000. Fall below that, and you’ll earn only 0.01%.

 

Minimum balance: You’ll need to deposit $5,000 to open the account and qualify for the best rate. This is the highest minimum balance of NerdWallet’s picks; keep in mind that if you have less to deposit, you still have many options.

 

What you should know: There’s no monthly fee on the money market account, but like all savings accounts, customers are limited to six monthly withdrawals. Go beyond that, and you’ll be charged $15. And the rate above applies only to accounts opened online. If you live in Arizona, Illinois, Indiana, Kansas, Minnesota, Missouri or Wisconsin, you’re not eligible for the rate.

Read Full Review
Redneck Bank Mega Money Market

Redneck Bank Mega Money Market

4.0

NerdWallet rating 
Redneck Bank Mega Money Market

APY

1.75%

With $500 minimum balance

Bonus

N/A


Bonus

N/A

Why we like it

Best rate: Redneck Bank’s MMA pays 1.75%, and there’s no minimum balance to maintain to achieve that rate once you’ve opened the account. However, if your balance is higher than $50,000, you’ll earn 0.50% APY.

 

Minimum balance: You’ll need $500 to open the account. This is fairly low compared to other money market accounts.

 

What you should know: There’s no monthly fee on this account if you receive electronic statements; if you want paper statements, you’ll pay $3 per month.

Why high money market rates matter

The best money market accounts have rates of 1.00% or above. Your money would grow faster with this type of account than it would in an account that earned average savings rates. A balance of $10,000 would earn about $10 after one year in an account with a 0.10% APY. That same balance would earn about $100 in an account with a 1.00% APY.

» For more savings options, check out NerdWallet's best high-yield online savings accounts

What is the difference between a money market account and a standard savings account?

A money market account is a type of savings account that often requires a higher minimum balance and earns a higher interest rate than a standard savings account. Some MMAs come with a debit card or checks, but federal rules require that they not be used more than six times per month. Some banks will charge a fee if you go over that number.

A high-interest savings account earns attractive rates, but typically does not have debit card or check-writing access.

The main reason to open a money market account is to have a higher interest rate compared with a basic savings or checking account, while also having the ability to write a few checks. Keep in mind that, in some cases, money market rates and savings rates are fairly similar these days.

» Curious about the difference between money market accounts, basic savings and CDs? Check out NerdWallet's primer on money market accounts.

Are money market accounts insured?

Yes, as long as it comes from a bank that’s insured by the Federal Deposit Insurance Corp. Most banks, including the online banks listed on this page, are insured — up to $250,000 per depositor. If the account is with a credit union, the account will likely be insured through the National Credit Union Administration, also for $250,000 per depositor.

If a bank or credit union were to fail and go out of business, you would not lose the money you have in the account, up to the insured amount. Note that this is different from money market funds, which are not insured.

» Want to know more about how your money is protected? Read how FDIC and NCUA insurance programs work.

The difference between a money market account and a money market mutual fund

A money market account is a federally insured savings account that earns interest. A money market mutual fund, on the other hand, is an investment in short-term debt. It is considered low risk but does not have a guaranteed return.

»Learn more by reading NerdWallet’s guide on money market mutual funds.

Top traditional savings options

These days, there isn’t always much difference between the rates paid by money market accounts and savings accounts. If you don’t need checks or a debit card for your account, you might consider one of these accounts, which also pay great rates.

  • American Express Personal Savings, 1.60% APY (read full review).
  • Marcus by Goldman Sachs High-Yield Savings, 1.70% APY (read full review).
  • Barclays Online Savings Account, 1.60% APY (read full review).
  • Citizens Access Online Savings Account, 1.70% APY (read full review).

Last updated on January 15, 2020

Methodology

We took a close look at over 70 financial institutions, including the largest U.S. banks based on assets, internet search traffic and other factors; the nation’s largest credit unions, based on assets and membership; and other notable and/or emerging players in the industry. We rated them on criteria including annual percentage yields, minimum balances, fees, digital experience and more.

 

Financial institutions surveyed are: Alaska USA Federal Credit Union, Alliant Credit Union, Ally Bank, America First Credit Union, American Express National Bank, Associated Bank, Axos Bank, Bank5 Connect, Bank7, Bank of America, Bank of the West, Barclays, BB&T, BBVA, BMO Harris, Boeing Employees Credit Union, Capital One 360, Charles Schwab Bank, Chase, Chime, CIBC U.S., CIT Bank, Citibank, Citizens Access, Citizens Bank, Comerica Bank, Commerce Bank, Connexus Credit Union, Consumers Credit Union, Discover Bank, E-Trade Bank, Fifth Third Bank, First National Bank, First Tech Federal Credit Union, FNBO Direct, GoBank, Golden 1 Credit Union, Goldman Sachs Bank USA, HSBC Bank, Huntington Bank, KeyBank, M&T Bank, Moven, Nationwide Bank, Navy Federal Credit Union, Pentagon Federal Credit Union, PNC, Popular Direct, PurePoint Financial, Radius Bank, Redneck Bank, Regions Bank, Salem Five Direct, Sallie Mae Bank, Santander Bank, SchoolsFirst Federal Credit Union, Security Service Federal Credit Union, Service Credit Union, Simple, State Employees' Credit Union of North Carolina, State Farm Bank, Suncoast Credit Union, SunTrust Bank, Synchrony Bank, TCF Bank, TD Bank, TIAA Bank, U.S. Bank, UFB Direct, Union Bank, USAA, Varo, Vio Bank, Wells Fargo, Woodforest National Bank and Zions Bank.

 

How we rate banks and credit unions

 

To recap our selections...

NerdWallet's Best Money Market Accounts

Frequently asked questions

Look for a money market account with a high rate and no monthly fees. Some money market accounts have minimum balance requirements of at least $10,000 to avoid a monthly fee, which can be $10 or more. Accounts featured on this page have high rates and low fees.

No, rates are variable and can change over time. The money market accounts featured on this page are among those with the most consistently highest rates.

You can open a money market account either online or in person. Be prepared to provide your Social Security number and contact information, along with at least one form of identification, such as a driver’s license or a passport. (For a joint account, everyone wanting access to the account must provide this information and valid forms of identification.)

The bank will often require you to transfer money into the new account right away. You can do that by depositing cash or checks, or through a wire transfer.