How to Find Information on Money Market Accounts
Read about money market accounts., Evaluate your savings needs and short-term financial goals., Approach a banking representative at your financial institution., Describe your savings goals to the bank manager., Ask your banker about account...
Step-by-Step Guide
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Step 1: Read about money market accounts.
Look for unbiased financial education at credible websites such as MoneyRates.com's "Money Market Primer." -
Step 2: Evaluate your savings needs and short-term financial goals.
Know how much money you have in the bank, then consider how much of that money you need to access within the next year.
If you are considering making a major purchase and paying with cash sometime during the next year, keep your money "liquid," which means easily accessible, in a money market account. , Ask to speak to a branch manger, who will usually know more about money market interest rates and investment requirements than a bank teller. , Ask to learn about the money market account with the best interest rates at your bank. , For example, some money market funds only allow a few transactions a month.
Some have check-writing privileges, but some do not.
The more restrictions, the less access you will have to your money when you need it. , Go online to interest rate comparison websites such as Bankrate.com.
Click on "Compare Rates." Select "Find the best CD & investment rates." Choose whether you want an account at a local institution ("Locally available") or a national one ("Highest nationally available").
The difference between local and national is minimal if online banking is available.
However local institutions are useful if you want a personal relationship with your account manager.
Select "MMA" (Money Market Account) for a product.
Sort the selected list of banking institutions according to product (choose "MMA"), annual percentage yield (how much interest you can earn annually) and the minimum deposit you will make into the account. , Annual percentage yield (APY) is the amount of interest a financial institution pays depositors.
Calculating APY is done through an algebraic formula with parameters that vary by country.
Most financial institutions include an online calculator on their websites to help visitors determine APY.
Compare these APY results against your regular bank's money market savings account yields, fees and restrictions to find the best interest rate. -
Step 3: Approach a banking representative at your financial institution.
-
Step 4: Describe your savings goals to the bank manager.
-
Step 5: Ask your banker about account restrictions.
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Step 6: Compare your bank's interest rates with other financial institutions'.
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Step 7: Review the annual percentage yield (APY) interest rates.
Detailed Guide
Look for unbiased financial education at credible websites such as MoneyRates.com's "Money Market Primer."
Know how much money you have in the bank, then consider how much of that money you need to access within the next year.
If you are considering making a major purchase and paying with cash sometime during the next year, keep your money "liquid," which means easily accessible, in a money market account. , Ask to speak to a branch manger, who will usually know more about money market interest rates and investment requirements than a bank teller. , Ask to learn about the money market account with the best interest rates at your bank. , For example, some money market funds only allow a few transactions a month.
Some have check-writing privileges, but some do not.
The more restrictions, the less access you will have to your money when you need it. , Go online to interest rate comparison websites such as Bankrate.com.
Click on "Compare Rates." Select "Find the best CD & investment rates." Choose whether you want an account at a local institution ("Locally available") or a national one ("Highest nationally available").
The difference between local and national is minimal if online banking is available.
However local institutions are useful if you want a personal relationship with your account manager.
Select "MMA" (Money Market Account) for a product.
Sort the selected list of banking institutions according to product (choose "MMA"), annual percentage yield (how much interest you can earn annually) and the minimum deposit you will make into the account. , Annual percentage yield (APY) is the amount of interest a financial institution pays depositors.
Calculating APY is done through an algebraic formula with parameters that vary by country.
Most financial institutions include an online calculator on their websites to help visitors determine APY.
Compare these APY results against your regular bank's money market savings account yields, fees and restrictions to find the best interest rate.
About the Author
Alexander Martinez
Creates helpful guides on home improvement to inspire and educate readers.
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