The Federal Reserve has been adjusting its benchmark rate since 2022, causing money market account interest rates to rise and fall sharply. As a result, deposit rates, including those offered by top accounts, have started to decline.
Currently, the national average money market account rate stands at 0.60% according to the FDIC. However, some of the top accounts are offering upwards of 5% APY. Given these high rates may be short-lived, it’s essential to compare and choose the best option for your balance.
Some of the top money market accounts available today include:
– Zynlo Money Market Account: 5.00% APY
– TotalBank Online Money Market Deposit Account: 4.86% APY (on balances of $2,500 and up)
– Brilliant Bank Surge Money Market Account: up to 4.85%
– VIO Cornerstone Money Market Savings Account: 4.77% APY
– Quontic Bank Money Market Account: 4.75% APY
– First Foundation Bank Online Money Market Account: 4.75% APY
– Prime Alliance Bank Personal Money Market Account: 4.50% APY
– UFB Direct Portfolio Money Market Account: 4.31% APY
When choosing a money market account, the annual percentage rate (APY) determines your interest earnings. Daily compounding is common in these accounts, and the more you deposit, the higher your potential earnings.
For example, with a high-yield money market account at 5% APY, a $1,000 deposit can grow to $1,051.27 over one year, earning $51.27 in interest. Increasing the deposit amount can significantly boost your earnings: $10,000 deposits would yield $512.67 in interest. Given these rates may not be available long-term, it’s crucial to explore and select a top-performing money market account today.
Source: https://finance.yahoo.com/personal-finance/article/money-market-account-rates-today-110028415.html