Where to find money market accounts

Most large national banks offer money market accounts, but the rates and terms vary widely. The banks most likely to have competitive rates are online banks and credit unions, not the brick-and-mortar chains you see on every corner. National banks like Chase, Bank of America, and Wells Fargo do offer money market accounts, but their rates are typically lower than what you can find elsewhere.

Online banks such as Marcus by Goldman Sachs, Ally Bank, and American Express Personal Savings consistently offer higher rates because they have lower overhead costs. Credit unions often match or beat online bank rates if you meet their membership requirements. The trade-off is that online banks and credit unions may have fewer physical branches, though most offer full mobile banking and customer service by phone or chat.

The rate your account earns changes based on what the Federal Reserve does with interest rates, so the "best" bank today may not be the best in six months. What matters more than chasing the highest rate is finding a bank that is stable, insured by the FDIC or NCUA, and offers the features you actually use.

Key Takeaways

  • Online banks and credit unions typically offer higher money market rates than large national banks, though rates change as Federal Reserve policy shifts.
  • All money market accounts at FDIC-insured banks or NCUA-insured credit unions are protected up to $250,000 per depositor, per institution.
  • Large national banks like Chase and Bank of America offer money market accounts with lower rates but more physical branch access if you need it.
  • You can compare current rates across multiple banks on financial websites, but you should verify the rate directly with the bank before opening an account.

National banks and their money market offerings

Chase, Bank of America, Wells Fargo, and Citibank all offer money market accounts to customers who meet their minimum deposit requirements. Chase's money market account typically requires a $2,500 minimum deposit and earns a rate that lags behind online competitors. Bank of America's version has similar minimums and rates. These accounts come with a debit card and check-writing privileges, which some people value even if the rate is lower.

The advantage of using a national bank is convenience: you can walk into a branch to deposit cash, speak to someone in person, and handle problems face-to-face. The disadvantage is that you pay for that convenience through lower rates. If you keep most of your money in a checking account anyway and only use the money market account as a savings buffer, the rate difference may not matter much to you. But if you are trying to maximize what your savings earn, a national bank is not the place to do it.

Online banks with competitive money market rates

Marcus by Goldman Sachs, Ally Bank, American Express Personal Savings, and Discover Bank are the online banks most commonly cited for money market rates. These banks have no physical branches, which means you cannot deposit cash in person, but you can transfer money electronically from another bank account. Most offer rates that are two to four times higher than national banks, though the exact difference depends on what the Federal Reserve has done recently.

Online banks typically have lower minimum deposits than national banks—sometimes as low as $0, sometimes $1,000 or $2,500. They offer 24/7 customer service by phone, email, or chat, and most have mobile apps that let you check your balance and move money instantly. The main friction is that you cannot deposit cash directly; you have to transfer it from a checking account at another bank, which takes one to three business days.

If you already have a checking account at a national bank or credit union, linking it to an online money market account is straightforward. You provide the online bank with your checking account number and routing number, and they verify the link by depositing two small amounts (usually under $1 each) that you confirm in your checking account. After that, transfers between the two accounts are automatic.

Credit unions and member-only rates

Credit unions are member-owned financial institutions, which means you have to meet membership requirements to open an account. Some credit unions are open to anyone who lives or works in a certain geographic area. Others require you to work for a specific employer, belong to a specific organization, or have a family member who is already a member. Once you are a member, you can open a money market account just like at a bank.

Credit union money market rates are often competitive with online banks, and some credit unions offer higher rates than the national online players. The National Credit Union Administration (NCUA) insures credit union accounts up to $250,000, the same as FDIC insurance at banks. If you are already a credit union member, check what rate your credit union offers before opening an account elsewhere—you may find it is better than you expect.

To find a credit union you can join, use the CO-OP Network locator or the Shared Branch locator on the Credit Union National Association website. These tools let you search by location, employer, or organization. If you find a credit union you are may be able to access to join, call them and ask about their money market account rates and minimum deposits.

Comparing rates across different institutions

Money market rates change frequently, sometimes weekly, so comparing rates by looking at a website snapshot is not reliable. Instead, visit the website of each bank or credit union you are considering and look for their current rates. Most banks display rates prominently on their homepage or in a rates section. Write down the rate, the minimum deposit, and any fees (most money market accounts have no monthly fee, but some charge if your balance drops below the minimum).

After you have gathered rates from three to five institutions, you can make a real comparison. But remember that the rate you see today is not may provide to stay the same. Banks can change rates at any time, and most do when the Federal Reserve changes its policy. A bank that offers the highest rate this month may offer a lower rate next month if the Fed cuts rates. What matters is finding a bank you trust and that offers a reasonable rate, not chasing the absolute highest rate.

Some financial websites aggregate money market rates across multiple banks, but these lists are updated infrequently and may not reflect what the bank is actually offering right now. Use them as a starting point to identify which banks to look at, then go directly to each bank's website to confirm the rate.

What to check before opening an account

Before you open a money market account anywhere, confirm that the bank or credit union is insured. FDIC-insured banks display the FDIC logo on their website and in their branches. NCUA-insured credit unions display the NCUA logo. This insurance protects your money up to $250,000 if the institution fails, which is rare but possible. If you have more than $250,000 to deposit, you can spread it across multiple institutions to keep all of it insured.

Check whether the bank charges a monthly maintenance fee, a fee for falling below the minimum balance, or a fee for making too many withdrawals. Money market accounts are meant for saving, not frequent spending, so most banks limit you to a certain number of withdrawals per month (often six). If you exceed that limit, some banks charge a fee per extra withdrawal. Read the fee schedule on the bank's website before you open the account so you know what to expect.

Verify that you can link the account to a checking account at another bank if you need to move money between them. Most banks allow this, but some have restrictions. If you plan to deposit cash, confirm whether the bank has a way for you to do that—either through a physical branch, a partner ATM network, or a mobile check deposit feature.

Frequently Asked Questions

Can I move my money out of a money market account whenever I want?

Yes, but there may be limits. Most banks allow six withdrawals per month before charging a fee. You can transfer money electronically to another account at the same bank or a different bank, and that usually counts as one withdrawal. Writing a check also counts as a withdrawal. If you need to access your money frequently, a regular savings account may be better suited to your needs.

What happens to my money market rate if the Federal Reserve raises interest rates?

Your rate will likely go up, but not immediately and not by the same amount. Banks raise money market rates when the Fed raises rates, but they do so on their own schedule. Some banks raise rates within days; others take weeks. The increase is usually smaller than the Fed's increase because banks want to keep some of the extra profit. Your bank will notify you of any rate change before it takes effect.

Is my money safe in an online bank?

Yes, as long as the online bank is FDIC-insured. The FDIC insures deposits based on the bank's charter, not on whether it has physical branches. An online bank with FDIC insurance is just as safe as a national bank with thousands of branches. Check the bank's website for the FDIC logo to confirm it is insured.

Do I need a minimum deposit to open a money market account?

Most banks require a minimum deposit to open a money market account, typically between $0 and $2,500. Some banks waive the minimum if you set up automatic transfers from another account. Check the specific bank's requirements before you apply. If you do not have the minimum, look for a bank that does not require one or consider a regular savings account instead.

Can I have money market accounts at multiple banks?

Yes. You can open money market accounts at as many banks as you want, and each account is separately insured up to $250,000 by the FDIC or NCUA. Some people open accounts at multiple banks to maximize their insurance coverage or to take advantage of different rates. Just make sure you can manage multiple accounts without losing track of them.