Investing your money during uncertain times can be tricky. On the one hand, earning more interest on your savings can help counter inflation and build up your financial buffer. On the other hand, it’s important to keep your money safe and accessible in case you need to lean on your savings.
If you want to grow your money but are feeling anxious about the economy, a money market account checks all the boxes. Not only is it insured by the National Credit Union Administration (NCUA) for up to $250,000 — so the safety of your money is guaranteed — but it allows you to earn more interest on your savings without locking your money down.
Thinking about stepping up your savings strategy? Now is the perfect time to open an OCCU money market account because we’re increasing our interest rates, so you can now earn up to 0.50% APY on your entire savings balance.* It’s our way of investing back in our members to help you build financial security in an uncomfortable economy.
Here’s what you need to know about money market accounts and how to make them work for you:
How money market accounts work
A money market account works much like a savings account. You deposit your money, and the bank pays interest on your balance based on current market rates.
The main difference between the two is that money market accounts offer a higher yield than savings accounts and typically require a minimum balance. An OCCU money market account for example, has a $500 minimum balance, which makes it the logical next step once you’ve built up a bit of savings and want to level up your interest rate.
While some financial institutions limit your monthly transactions, OCCU allows unlimited in-person access to your money, which means you can withdraw your funds whenever you need them. That’s why our money market accounts work especially well for shorter-term savings goals, such as:
Building up an emergency fund.
Saving for a car or down payment on a home.
Establishing a home repair fund.
Saving for occasional expenses such as holiday shopping, business taxes or annual insurance premiums.
How to get the most from your money market account
A money market account works best when it’s part of a larger savings strategy. Ideally, your checking, savings and other investment accounts should all work in concert to maximize the interest you earn on your money.
For starters, choose a not-for-profit credit union that reinvests its profits into better interest rates and lower fees for its members. At up to 0.50% APY, OCCU offers top-of-market interest rates on our money market accounts.*
Here are a few other things to look for when comparing money market options:
Minimum deposit and balance requirements.
Monthly withdrawal limits.
Accessibility of funds.
With the right money market account, you can kick your savings into high gear and grow your money even when things are tight. In a shaky economy, it’s a smart way to advance your savings without tying up your funds or making risky investments.
Interested in learning more? Discover how an OCCU money market account can help you grow your money.
*Money market account APY & rate may change. Fees could reduce earnings. 0.40% APY on balances $500-$99,999.99, 0.50% APY on balances $100,000 or more.