NEW YORK--(BUSINESS WIRE)--Better Business Advice has published a review of the best money market accounts for September 2024, highlighting the CIT Bank Money Market Account and the financial platform Raisin, which acts as an intermediary between individuals seeking savings products and banks and credit unions.
Best Money Market Accounts:
- CIT Bank Money Market Account - annual yield percentage (APY) over twice the national average with zero monthly fees and Federal Deposit Insurance Corporation (FDIC) insurance
- Raisin - online platform partnered with numerous banks and credit unions, allowing users to compare and discover the most ideal deposit options with stellar interest rates and favorable terms
A money market account is a type of interest-bearing deposit account offered by banks and credit unions, designed to provide a blend of liquidity, safety and modest returns. Similar to savings accounts, these offer a higher interest rate than standard checking accounts, but they often require a higher minimum balance to open and maintain. They typically invest in low-risk, short-term securities such as Treasury bills and certificates of deposit, providing stability and security for deposited funds.
Money market accounts may offer check-writing privileges and easy access to funds, making them suitable for emergency savings or short-term goals. Additionally, they are often FDIC-insured, providing protection for deposited funds up to a certain limit, enhancing their appeal as a safe and reliable savings option.
Better Business Advice recommends CIT Bank and Raisin for money market accounts. The CIT Bank Money Market Account stands out because of its competitive APY, FDIC insurance, low minimum deposit of $100 and zero monthly maintenance fees. In the same vein, Raisin distinguishes itself as a financial platform that gives users the opportunity to find their ideal bank, offering various options to compare terms and rates.
Who typically uses a money market account?
Money market accounts are commonly used by individuals who prioritize safety, liquidity, and stability in their savings strategy. Typical users of money market accounts include:
Savers with Emergency Funds: People often use money market accounts to store their emergency funds due to their easy access to funds and relatively higher interest rates compared to standard savings accounts.
Conservative Investors: Those who prefer low-risk investment options may opt for money market accounts because they offer a safer alternative to more volatile investments like stocks or bonds.
Short-Term Savers: Individuals saving for short-term goals, such as a vacation, down payment on a house or upcoming major expenses, may utilize money market accounts for their liquidity and stability.
Retirees: Retirees or those nearing retirement often use money market accounts as part of their retirement savings strategy to preserve capital and have easy access to funds when needed.
Businesses: Small businesses or organizations may use money market accounts to store cash reserves while earning some interest on their funds.
Is a money market account better than a savings account?
Determining whether a money market account is preferable to a savings account hinges on individual financial objectives and circumstances.
Interest Rates: Money market accounts typically offer higher interest rates than standard savings accounts, making them potentially more attractive for maximizing returns on savings.
Liquidity: Both money market accounts and savings accounts offer easy access to funds, but the former may provide additional features such as check-writing privileges, making them slightly more flexible for transactions.
Minimum Balance Requirements: Money market accounts often require a higher minimum balance to open and maintain compared to savings accounts. If the minimum balance requirement can be met, a money market account may offer higher interest rates and additional features.
Safety: Both money market accounts and savings accounts offered by reputable banks are usually FDIC-insured up to certain limits, providing a level of safety for deposited funds.
Fees: Some money market accounts may charge monthly maintenance fees or require minimum balance fees, while savings accounts may offer fee-free options. It's essential to consider any fees associated with both types of accounts.
Get in touch with CIT Bank now for a money market account with a higher-than-average APY and start growing funds, or compare money market accounts from various banks and credit unions at Raisin and discover the most ideal option with a high interest rate and favorable terms.
For a more thorough review of the CIT Bank Money Market Account and Raisin’s platform, please visit the Better Business Advice website.
About Better Business Advice: Better Business Advice is a business advice website dedicated to helping businesses succeed. As an affiliate, Better Business Advice may earn commissions from services mentioned in the links provided. Better Business Advice aims to provide accurate and up-to-date information to assist with research. Double-check with the service provider/institution directly as well as obtain independent financial advice prior to making any financial commitments or business decisions. The information provided by Better Business Advice does not, and is not intended to, constitute legal advice; instead, all information, content, and materials are for general informational purposes only.
