All You Need to Know about Money Market Accounts
October 4, 2022
Money market accounts offer many convenient features of checking accounts, with an attractive rate of return to help your money grow.
Here’s all you need to know about money market accounts.
High interest rates
Money market accounts offer a rate of return that surpasses your typical savings account. Here at Cornerstone CU, our APY for money market accounts is as much as 1.40%APY* with our current Special (Fall 2022). A money market account can be the perfect way to give your short-term savings their best chance at growth.
While not intended to cover everyday expenses, money market accounts do offer increased flexibility over savings accounts. Depending on your financial institution, the funds in your money market account may be accessible via paper check and/or debit card. Most banks and credit unions also allow transfers from money market accounts to checking accounts.
It’s important to note that most financial institutions do place limits on the number of money market transactions you can make during a month. If you open a money market account at Cornerstone CU, you’ll be allowed 3 withdrawals each per month.
The funds in your money market account at Cornerstone CU are insured by the NCUA up to $250,000 and privately by ESI up to $250,000. This means you can keep a large sum of money in your account with less risk of losing it to a market crash or a poor choice of investment.
Minimum balance requirements
Most financial institutions require a minimum initial deposit for money market accounts and a minimum balance to be kept in the account at all times. Here at Cornerstone CU, you can open an account with as little as $5,000.
Ideal uses for money market accounts
Money market accounts can be ideal for expected occasional expenses, or for the unexpected emergency that can easily send a lesser-prepared individual into debt.
Here are some of the most popular uses for funds kept in money market accounts:
- Tuition payments
- Emergency household repairs
- Unexpected medical fees
- Purchasing a new car
- Quarterly tax payments
- Annual vacation
Are you ready to start saving big? Open a money market account at Cornerstone CU today!
* APY = Annual Percentage Yield, is valid as of 10/01/2022 and is subject to change without notice. Our cuurent special includes a bonus up to $200.*
*APY=Annual Percentage Yield. New Money Only! Insured High Yield Money Market account requires a $5,000 minimum deposit. Bonus deposit offer applies to the following minimum deposit amounts: $100 bonus with $25,000 deposit; $200 bonus with $100,000 deposit. Bonus deposit added after 90 days in the account. Limited time offer.
See rate sheet for additional information on dividend compounding and crediting. Fees due to insufficient funds or account dormancy could reduce earnings. APY Rates valid as of 9/12/2022. Rates may vary. Subject to change.