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As a rule, money market funds don't have the highest rates for investments because they are by definition, safe, stable and conservative investments. You won't find very high yield money market rates, but if you're looking for a place to keep your money where it's accessible and still earns a return, a money market fund may very well be the best choice for you.
Why should you even choose this type of fund? One reason is that you can write checks or transfer money from a money market fund to your bank account whenever you wish, although there will be limitations on how often these transactions can take place. The highest yielding money market rates will probably mean that withdrawing money within a certain time frame will be more restricted. This is because the funds are invested and not immediately available without some paperwork.
Money market funds are designed to maintain a stable value and at the same time, provide a source of income. They generally invest in short-term securities that are of high quality, so keeping your money in the market will benefit both you and the institution through which it works.
Money market account rates vary from bank to bank and from day to day, so what is a high yielding account today may not be the best one tomorrow. To get the most from your account, choose one that offers a high rate right now, but is still stable and has proven itself over a period of time. The high yield money market rate will come and go with most funds, but if you choose a stable account, it will pay out better over the long run.
To find current high rates, look online with the search term "high yield money market rates" then compare a few sites that claim to keep track of the highest rates because some of them have motives other than simple tracking.
This is a very commonly offered fund, so you will be able to find many to choose from. Do your homework to find the highest yielding money market rates before you decide where to invest.
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Is the yield for a Chase money market savings account high?
The yield for the Chase money market savings account is in line with the National average.You will find the highest rates with online accounts like www.DiscoverBank.com
What are the highest rates I can expect on high yield interest accounts in today's market?
They are around 1.3% You can see some here http://www.bankaholic.com/money-market/
Where can one create high yield money market accounts?
One can create high yield money market accounts from websites like WellsFarGo, SallieMae, Ally, Suzeorman, Bank Rate and Nationwide. These are the leading providers of high yield money market accounts.
Is a high yield money market account covered by the FDIC insurance?
Yes, a high yield money market account covered by the FDIC insurance. You can read about the rules and policies at www.capitalone.com/directbanking/money-market-accounts/ -
What are high yield saving rates?
High yield saving rates are simply savings accounts that pay a greater amount of interest from the financial institution to the account holder. As such, these rates require a greater amount of money to be committed to accrue higher rates of return.
Does Bank of America offer any high yield interest accounts?
The best interest rates you'll get from Bank of America are in their CD's and their money market accounts. Money Market Accounts work like a checking account, but pay a higher interest rate.
Where can I compare current rates for high yield money market accounts?
If you want to get the best rates today you really need to check since your local bank is unlikely to offer the top rate. Check it out first at MoneyMarketBankaholic.com or BankRate.com.
What are the dangers of high yield money market trading?
Some danger of high yield money are: Credit risk, currency risk, duration risk, political risk and taxation adjustment risk. Reinvestment risk and market value risk.
What are some types of money market accounts offered by Capital One?
Some different types of money market accounts offered by Capital One include Basic Savings Accounts, High-Yield Savings Accounts and Money Market Deposit Accounts. The best interest rates are available on the highest tier accounts.
What is an example of a high money market?
An example of a high money market account will have a high interest rate and presumably make a lot of money for the owner of the account. One bank which claims to offer high yield or high paying money market accounts is Ally Bank; another is Capital One.
How to Find the Best High Yield Market Rates ?
Money market accounts are a particular type of savings account offered by a bank. They typically have higher interest rates and higher minimum requirements than regular savings accounts. The interest rate you receive will have a direct impact on your savings. Money market accounts are FDIC insured, which means that your money is guaranteed even if your financial institution goes out of business. Finding a high yield money market rate on savings accounts is becoming increasingly difficult as interest rates continue to fall. The state of the economy has a direct impact on interest rates. Rates are typically lower during a recession or slow growth. While rates are low across the board, they do vary per bank. It is helpful to avoid some traps in your quest to find high yield money market rates. When searching for high yield money market rates, it is important to understand the interest compounding of the financial institution. Some banks compound interest daily, monthly or quarterly. The difference in compounding has a direct effect on how your money will grow. Given the same dollar amount, an account that compounds daily will grow more quickly than an account that compounds interest monthly. Although you want to find a bank with the best interest rates, you want to try and avoid institutions that implement a high minimum balance fee. When you do not have the minimum balance required in your account, the bank will charge you an additional fee. You are practically throwing money away, which in essence defeats the purpose of having a high yield money market account. Typically, you will find the highest interest rates through online banks. There are advantages and disadvantages to having an account with an online bank. The advantage is clearly the superior interest rate. The disadvantage is that you will not get much in the realm of customer service support. Everything is handled online, so it will be difficult to talk to a person directly when the needed arises. You must weigh out the pros and cons and decide what features you need and the ones you can do without.
Do money market accounts have a decent interest rate?
Money markets do tend to have a high yield interest rates that are very competitive with other ways of investing. The interest rate is usually higher than that of a savings account and equivalent to that of a CD.
