What is a money market account?

A money market account is a type of savings account that usually comes with certain checking-account features, like a debit card and checks, while often providing higher interest rates than many standard savings accounts. In exchange for these features, the number of transactions you can make per month will be limited. The minimum balance required to avoid a monthly fee will often be higher than with other bank accounts, too.

Like savings and checking accounts, money market accounts are FDIC insured, meaning the value of your investment is protected up to $250,000 even if your bank goes out of business. Check out the table below to learn how money market accounts compare to other products such as checking accounts, savings accounts, and certificates of deposit (CDs).

Money Market Accounts vs. Checking, Savings & CDs

Note: Interest rate and insurance information in the table above is based on data from the Federal Deposit Insurance Corporation. Fee information is from WalletHub’s 2022 Banking Landscape Report.

If you’re interested in getting a money market account (MMA), WalletHub’s money market account comparison tool can help you find the best option.

A money market account is an interest-advantage account that offers higher interest rate than an average savings account, although it limits the check writing ability of the account holder. The key benefit of a money market account is its ability to act both as savings and checking account.