Banks are competing for your business which means you have options for the best money market account rates for 2024. We like money market accounts because they offer easy access to your money, without paying penalties for early withdrawal. Most money market accounts feature checks and a debit card. That means you can make transactions straight from your money market account, where savings accounts typically require you to transfer funds to yourself first.
Best Money Market Rates for 2024
UFB Preferred Money Market – 4.55% APY
UFB Direct offers a money market account with no fees as long as you maintain a $5,000.00 balance otherwise, the fee is $10.00 per month.
- Earn 4.55% APY*
- FDIC Insured
- Check writing privileges
- Mobile Deposit – Use your smartphone to deposit checks anywhere you are
- No minimum balance requirements
- Access your savings with a debit card
- Access your funds 24/7 with easy-to-use digital banking tools
Quontic Bank Money Market – 3.50% APY
Quontic Bank is an online bank that offers competitive annual percentage yields (APYs) on its money market and CD accounts. The 3.50% APY money market account is one of the highest APYs in the market. It only requires $100 to open.
- Competitive tiered-rate structure
- Low minimum deposit requirement
- Debit card privileges
- Extensive ATM network
- Customer service available via live chat, email or phone
CIT Bank Money Market Account – 1.55% APY
CIT Bank offers one of the best money market rates, earning over 10x the national average. The bank operates primarily online but is available to residents in all states. With fewer overhead costs associated with banks that have branch locations, they can return those savings to customers.
- It only requires $100 to open
- Quick and easy access to fund
- 24/7 secure & award-winning banking
- Deposit checks remotely and make transfers with the CIT Bank mobile app
Money Market Accounts Are Safer Than Investments
Money Market accounts are relatively safe places to keep money when the stock market is volatile. The combination of FDIC insurance provided by banks or NCUA insurance provided by credit unions makes money market accounts a low-risk investment. There is a tradeoff of course. Interest rates for money market accounts while higher than those found with regular checking accounts and some savings accounts, money market accounts cannot provide you with the likely 8% to 10% historical average return you would receive by investing in securities. » See how much interest you can earn with our savings apy calculator.
Benefits of a Money Market Account
There are several benefits to opening a money market account:
- Higher interest rates. Money market accounts typically offer higher interest rates than traditional savings accounts, making them an attractive option for people who want to earn more on their savings.
- Easy access to funds. Money market accounts offer easy access to funds, allowing account holders to withdraw their money quickly and easily if needed.
- FDIC insurance. Money market accounts are insured by the Federal Deposit Insurance Corporation (FDIC), which means that account holders are protected up to $250,000 per depositor, per insured bank.
- Low risk. Money market accounts are considered low-risk investments because they are typically invested in short-term, high-quality debt securities, such as government bonds, municipal bonds, and corporate bonds.
- Flexibility. Money market accounts often offer a great deal of flexibility in terms of deposit amounts and withdrawal options, making them a convenient choice for people who want to manage their money effectively.
Top savings account alternatives
If you don’t need checks or a debit card, consider one of these federally insured high-yield savings accounts. CIT Bank Savings Connect, 4.65% APY with $100 minimum opening deposit. Quontic Bank High-Yield Savings, 3.70% APY with $100 minimum opening deposit. A money market account can be a good option for people who want to earn a competitive interest rate on their savings while still maintaining easy access to their funds.
StagePoint Federal Credit Union Money Market — 5.00% APY
StagePoint Federal Credit Union is a not-for-profit organization that prioritizes the communities they serve.
StagePoint Federal Credit Union was founded in 1935 as the Laramie County Teachers Credit Union.
The credit union has since grown to serve over 60,000 members in Wyoming and Colorado.
- Minimum opening balance: $1
- Interest rate: 5.00 percent
- Monthly fee: None