Are you looking for a place to park your savings? Do you need an account that blends accessibility with a high rate of return?
At first glance, both Money Markets and regular Savings Accounts are remarkably similar – both are interest-paying, both have some liquidity limits and both are insured. However, most Money Market Accounts tend to pay a slightly higher interest rate, which can make them more attractive for depositors.
Most Money Market Accounts have a minimum balance requirement. At the credit union, you can open a Money Market account with as little as $2,500. Here are 5 reasons to open a Money Market account:
Funds in your Money Market are insured by the NCUA up to $250,000. This means you can keep a large sum of money in your account without the risk of losing it to a market crash or a poor choice of investment.
Money Market accounts have no maturity date. You are free to access the funds in your account at any time. If you have a Money Market Account at the credit union, you can make up to 6 withdrawals from your account during each statement cycle.
Because of their accessibility, Money Market accounts are perfect for those large, occasional expenses like tuition payments, emergency household repairs and unexpected medical fees.
3. High interest rates
Give your money its best chance at growth! Money Market accounts offer a rate of return that surpasses your typical savings account. For current rates, click here.
4. Account benefits
Like every account here at the credit union, your Money Market account comes with loads of benefits and attractive features. And there’s no monthly maintenance charge.
5. Personal checks and access
Money Market accounts offer flexibility. In fact, you can make withdrawals, write checks, add deposits, or move your funds electronically. You have access to your funds as you need them.
How to Maximize Your Money Market Account Savings
In addition to earning higher rates, you can use the following strategies to make the most of your MMA savings:
- Budgeting – The first step to saving more money is to know exactly how much you’re spending each month. The best way to free up more money to put it into savings accounts or MMAs is to create a budget — and make sure it’s a realistic budget you can stick with.
- Savings automation – If you automatically put a fixed amount of your money into your savings when you get paid, you won’t run the risk of wasting cash on things you don’t need because you won’t even see the funds that go into your savings. You can easily set up a recurring, automatic transfer from your checking account or your paycheck to your money market account.
- Goal-setting – One way to help yourself stay motivated to save is to set savings goals. Whether you’re saving for a rainy-day fund or a plan to pay for your kids’ education, the important thing is to make savings a habit.
Are you ready to start saving big? Contact Member Services and open a Money Market account at the credit union today!