What is the national average money market account rate?

A money market account (MMA) is a type of deposit account that offers features of both savings and checking accounts. They allow you to earn competitive interest on your balance while easily accessing those funds via debit card and/or checks.

Like other deposit accounts, most up to $250,000 per depositor, per institution and per property class. This insurance protects your account balance if your bank or .

If you’re considering opening a money market account, it’s important to research and compare interest rates so you know you’re getting the most out of your savings. But what is a good money market rate? Interest rates vary widely, but it can help to know the average money market rate today, which can serve as a benchmark for comparing accounts.

Average money market account rates

Money market accounts pay variable interest, meaning they can go up or down at any time. Usually, when rates , MMA also increase and vice versa.

Here’s how average money market rates have changed over the past year:

And zooming out, here’s how money market account rates have changed since 2010:

At the time of writing, the national average rate for a money market account is 0.64%. While this is quite high by historical standards, it’s still not much.

The good news is that many banks and credit unions offer MMA rates that are much higher than the national average. In fact, the best money market accounts pay up to 5% APY or more.

Doing some research to find the best rates available can make a big difference in your savings balance over time.

How to get the best money market account rate

Money market account rates fluctuate, but there are steps you can take to ensure you get the best possible rate:

• Shop around: Take the time to compare MMA rates from different banks and credit unions, as interest rates vary quite a bit between financial institutions. Online banks, in particular, are known for offering the most competitive rates.

• Check with your current bank: Some financial institutions offer higher rates to existing customers, known as relationship rates. As you shop, be sure to check with your existing bank to see if you qualify for a relationship interest rate.

• Make a larger opening deposit: Many money market accounts are tiered, where higher rates are offered for larger balances. Making a larger opening deposit and maintaining a larger deposit can help you earn a better rate.

• Pay attention to fees: Many bank accounts, including money market accounts, come with certain . For example, you may be charged a fee or charge if your balance falls below a certain threshold. These fees can cancel out your interest earnings, so it’s important to choose an account that charges few fees or offers ways to get fee waivers.