7 Best Money Market Accounts

Why high money market rates matter

Your funds grow faster in a high-yield account. The average money market rate is a small fraction of a percent, while the best money market accounts earn rates that are several times more.

» 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 deposit account that often requires a higher minimum balance to open than a standard savings account and traditionally earns a higher interest rate, though recently some high-yield savings accounts have been offering better returns with lower minimum balance requirements.

Some MMAs also come with a debit card or checks — which you won’t find with savings accounts — but institutions may require that they not be used more than six times per month. Some will charge a fee if you go over that number.

A high-interest savings account earns attractive rates but typically doesn't 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 traditional 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 types of savings 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 wouldn't lose the money you have in the account, up to the insured amount. Note that this is different from money market funds, which aren't 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 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 doesn't have a guaranteed return.

» Learn more about both by reading NerdWallet’s guide on money market mutual funds and primer on federally insured money market accounts.

Top traditional savings options

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