Find out which banks are currently offering the best MMA rates. The Federal Reserve cut the federal funds rate three times in 2024 and recently made its third rate cut in 2025. As a result, interest rates on deposits – including rates on money market accounts – have fallen.
It’s more important than ever to compare MMA rates and make sure you’re making the most money on your balance.
Although money market account rates are high by historical standards, the national average MMA rate is only 0.58%, according to the FDIC. The good news: The best high-yield money market accounts offer an APY well above 4%, more than six times the national average.
That’s why it’s important to shop around before opening a money market account. Interest rates vary widely, but there are several banks (especially online banks) and credit unions offering very competitive deals.
Here’s a look at some of the best MMA fares available today:
Additionally, the table below highlights some of the best savings and money market account rates available today from our verified partners.
Online banks operate exclusively via the web. This significantly reduces their overhead costs, allowing them to pass these savings on to their customers in the form of high deposit rates and low fees. If you’re looking for the best rates for money market accounts, online banks are a great place to start.
That said, online banks aren’t the only place you can find savings accounts with rates of 3% to 4% APY. Credit unions are non-profit financial cooperatives and are also known for offering competitive rates and low fees. Many credit unions have certain requirements that must be met to become a member, although some allow almost anyone to join.
Learn more: Are online banks really safe?
Money market accounts can be a great option for meeting short-term savings goals, like building an emergency fund or putting money aside for an upcoming expense. They typically offer higher interest rates than regular savings accounts and provide easier access to your money compared to some other options like certificates of deposit (CDs).
Money market accounts are also considered low risk and are insured by the FDIC to the standard $250,000 per depositor per institution. This makes them safer than money market funds, which may be subject to market risk.
However, keep in mind that many money market accounts require a minimum balance to open the account and receive the highest advertised rate. If you fail to maintain this balance, you may end up paying fees or not getting the best rates.
And while you can generally access your funds as needed, MMAs may limit the number of transactions you can make each month. If you need frequent access to your money, this might be a consideration.
Learn more: Is there a penalty for withdrawing from your money market account?
When a money market account makes sense:
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You want to earn more interest than a regular savings account without locking up your money in a CD.
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You can maintain the minimum balance to avoid fees.
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You want to keep funds easily accessible for emergencies or short-term expenses.
Currently, the average rate for money market accounts is 0.58%. However, many high-yield accounts pay upwards of 4% or more. If you’re considering opening a money market account, be sure to shop around and compare rates.
There is no single account or investment that guarantees a 12% return. However, if your goal is to earn a high return on your money and significantly increase your wealth, investing in market securities such as stocks, mutual funds, and exchange-traded funds is the best strategy to achieve this. The stock market on average returns about 10% per year.
If you’re not sure where to start, it can be helpful to talk to a financial advisor about your financial goals and priorities. You can also sign up with a robo-advisor, which is an automated and cost-effective option for managing your portfolio.
Learn more: Robo-advisor: How to start investing now
