Best Money Market Accounts and Rates in January 2022

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Updated on Monday, January 24, 2022

Money market accounts work much like savings accounts, but they typically have better interest rates and allow check-writing. The best money market account rate we found is 2.00% APY on balances up to $2,000 at Premier Members Credit Union.

Best money market accounts in January 2021

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Best for APY on $1,000 balance: Premier Members Credit Union Money Market

Money Market Account from Premier Members Credit Union

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on Premier Members Credit Union’s secure website

NCUA Insured

This account features a blended APY:

  • 2.00% on balances up to $2,000
  • 0.35% on balances above $2,000 and up to $5,000
  • 0.25% on balances above $5,000 and up to $10,000
  • 0.20% on balances above $10,000 and up to $50,000
  • 0.15% on balances above $50,000 and up to $100,000
  • 0.10% on balances above $100,000

Minimum deposit to open an account: $5

Unlike some other institutions, which incentivize larger balances in money market accounts, Premier Members Credit Union offers higher interest rates on lower balances. As you save above $2,000, you’ll earn a lower blended APY. There’s no minimum balance requirement, and Premier Members allows you to write checks on the balance.

How to join: There are several ways to join the Colorado-based Premier Members Credit Union, including by having ties to the state or supporting the nonprofit Impact on Education.

Best for APY on $10,000 balance: Affinity Plus FCU Superior Money Market

Superior Money Market from Affinity Plus Federal Credit Union

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on Affinity Plus Federal Credit Union’s secure website

NCUA Insured

This account features a blended APY*:

  • 1.00% on balances up to $25,000
  • 0.35% on balances over $25,000

*Conditions must be met to earn top APY

Minimum deposit to open an account: $0 (but you must start a Membership Savings account with $10 to join Affinity Plus)

If you’re looking to save more than a few thousand in a money market account, Affinity Plus Credit Union offers the best APY. In order to receive its top-line rate, you need to opt for electronic statements and complete a qualifying monthly direct deposit of at least $500 into an Affinity Plus checking, savings or money market account.

How to join:Minnesota-based Affinity Plus Credit Union offers membership to many people who live, work, go to school and worship in the state. Otherwise, you can join by donating $25 to the Affinity Plus Foundation.

Best for APY on $100,000 balance: Connexus Credit Union Money Market Account

Money Market Account from Connexus Credit Union

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on Connexus Credit Union’s secure website

NCUA Insured

This account features a blended APY:

  • 0.85% on balances $100,000 and over
  • 0.60% on balances $20,000 to $99,999.99
  • 0.25% on balances $1,000 to $19,999.99
  • None on balances under $1,000

Minimum deposit to open an account: $1,000

Connexus currently offers the best rate for money market accounts with balances in the hundreds of thousands. You must make a minimum opening deposit of at least $1,000 and maintain a balance of $1,000 in order to earn interest with this account. You’re only allowed four fee-free withdrawals per month.

For other great rates on balances this high, see our list of today’s best jumbo money market account rates.

How to join: People living in certain Minnesota, Wisconsin and Ohio communities, as well as people affiliated with select companies, can join Connexus Credit Union. Connexus allows anyone else to join with a $5 donation to the Connexus Association.

Best for debit card and ATM use: TIAA Bank Yield Pledge Money Market

Yield Pledge Money Market from TIAA Bank

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on TIAA Bank’s secure website

Member FDIC

APY: 0.40% on all balances

Minimum deposit to open an account: $500

TIAA Bank’s money market account is branded as a “Yield Pledge” account — meaning that they assess competitor APYs weekly and ensure that their rate is in the top 5% of money market accounts. Their 0.40% APY on all balances is a solid rate. There are no monthly fees.

Where the Yield Pledge Money Market account really shines is for ATM use: TIAA’s network has over 80,000 fee-free ATMs, and they also offer some of the best available rebates for out-of-network ATM use. All accounts receive up to $15 per month in ATM rebates, but there are unlimited rebates for accounts that have a balance of over $5,000.

Best for low fees: nbkc Personal Money Market

Personal Money Market Savings from nbkc bank

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on nbkc bank’s secure website

Member FDIC

APY: 0.15% on all balances

Minimum deposit to open an account: $0

The nbkc Personal Money Market account has a relatively low APY compared to the rest of the accounts on this list, but if your top priority is to avoid possible banking fees, nbkc helps minimize them as well as anyone.

This account has no minimum balance requirements and no fees for monthly maintenance, overdrafts, returned items, cashier’s checks, money orders, stop payments, or phone transfers. The only fees that may apply are outgoing domestic wire transfers ($5) and international wire transfers ($45). nbkc offers out-of-network ATM fee rebates as well.

Best for online banking: Vio Bank Cornerstone Money Market

Cornerstone Money Market from Vio Bank

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on Vio Bank’s secure website

Member FDIC

APY: 0.56% on all balances

Minimum deposit to open an account: $100

Vio Bank is an online bank owned by MidFirst Bank, the largest privately owned bank in the U.S. Vio offers strong interest rates for most deposits, and the bank compounds interest daily on money market balances. Vio has a strong mobile platform: their app has a 4.6 star rating on Apple.

There’s no monthly maintenance fee on the Vio Cornerstone Money Market account. Unlike some of the other accounts on this list, Vio pays the top interest rate on all balances. Read our full Vio Bank review.

Pros and cons of money market accounts

Pros

Cons

Generally better interest rates than savings accounts Typically higher balance requirements than savings accounts
Typically offers check-writingSubject to withdrawal limits
Sometimes offers ATM accessAPYs are sometimes tier-based

Money market account vs. savings account

A December 2021 MagnifyMoney survey found that just 4% of Americans keep their savings in a money market account, compared to 53% who keep that money in a savings account. Money market accounts and savings accounts are very similar, but if you’re willing to maintain a higher minimum balance, a money market account could provide you with a better interest rate.

Unlike savings accounts, money market accounts allow you to write checks on the account balance and sometimes offer debit card access for ATM deposits and withdrawals. However, most people use money market accounts to hold their savings and instead use a checking account for everyday banking transactions.

Money market accounts and savings accounts are both subject to the Federal Reserve Regulation D, which restricts the amount of transactions from certain kinds of deposit accounts. While that regulation is currently waived in light of the COVID-19 pandemic, it may come back in the future, and financial institutions may still choose to enforce it in the meantime.

Money market account vs. money market fund

Sometimes the terms “money market account” and “money market fund” are used interchangeably, but they’re different types of accounts. Money market accounts are deposit accounts that receive bank or credit union insurance, whereas money market funds are mutual fund investments that carry market risk. Both types of accounts are tied to the money market — the exchange of deposits between banks and the government — but money market accounts are risk-free deposit accounts, unlike money market funds.

Money market accounts: FAQs

A money market account is a special type of savings account. Cash you put in the account remains deposited with the financial institution, where it earns a variable annual percentage yield (APY).

Money market accounts are a good choice if you have a big deposit you’d like to keep safe and growing at a high interest rate. Then, when you need to access that money, you can often easily do so with an ATM or debit card or by writing a check.

No, you cannot lose money in a money market account. Unlike money market funds, which are securities that aren’t backed by government insurance and can therefore lose value over time, money market accounts work much like a savings account and carry insurance on the deposit’s value.

If a bank is insured by the Federal Deposit Insurance Corporation (FDIC) — or if a credit union is insured by the National Credit Union Administration (NCUA) — they will provide deposit insurance on their money market accounts. All accounts on our list are FDIC- or NCUA-insured.

Yes, you can deposit funds in a money market account whenever you want, unlike a certificate of deposit (CD), which is a timed deposit account that only lets you deposit funds once at the time of account opening.

Methodology

In order to determine the best money market account rates, MagnifyMoney used information from the DepositAccounts database to find accounts that were available nationwide from financial institutions with FDIC or NCUA insurance. Accounts with a minimum opening deposit of $10,000 or more were not considered.