Money market Accounts?

[leancuisine]

I have $10k in my savings account with a pitiful interest rate. I've heard of Money Market accounts, which still allow you to withdrawal money if needed. Is it doing over a plain old savings account?

TIA!

[cjeanette]

Your savings account is not invested in a money market?

The rates on money markets aren't great right now either.

[leancuisine]

To be honest I am not really sure what this difference between a savings account and money market is??? So I don't know if it's invested in a money market? I thought it was just my regular old savings account at the credit union.

[Deleted]

I have one. The interest rate is slightly higher but there is a min balance of about 10K and you can only have like 6 transactions a month. It is good if you just want an FDIC insured place for your money to sit and don't plan on moving it around much.

[cjeanette]

Jan 10, 2013 13:42:14 GMT -5 @gypsy said:

Jan 10, 2013 13:39:53 GMT -5 cjeanette said:

Your savings account is not invested in a money market?

The rates on money markets aren't great right now either.

What does this mean?

If say, you just have cash in an ING, etc.

I just wanted her to double check the savings. I know sometimes they are in a money market.

[Muddled]

What's your interest rate? They're pretty shitty everywhere now.

[leancuisine]

Yeah, I know interest rates are terrible everywhere but I wanted to see if it was a better option.

[M]

Money Market account is another type of savings account. It generally requires a higher average account balance (like $5k or $10k?) and should theoretically pays higher interest but these days...it's laughable. I get like .000005% interest in my money market account haha.

ETA: Oh and you're limited to like 4 withdrawals in a month.