Bank of America offers money market accounts through its standard deposit products
Bank of America does offer money market accounts, though the product line has changed over time. Currently, the bank markets its money market option primarily as the Money Market Savings Account, which combines features of a traditional savings account with some characteristics of a money market fund. This is a deposit account held at the bank itself, not an investment product.
The account earns interest on your balance and comes with a debit card and check-writing privileges, which distinguishes it from a basic savings account. However, the interest rate, minimum balance requirements, and monthly fees vary based on your account tier and the current rate environment. Bank of America adjusts these terms regularly, so the specifics you see today may differ from what was available last year or what will be available next month.
If you are looking for a money market account specifically to hold cash and earn interest while maintaining access to your funds, this product exists at Bank of America. If you are looking for a money market mutual fund—a different investment product that holds short-term debt securities—you would need to open a brokerage account through Bank of America's investment division.
Key Takeaways
- Bank of America's Money Market Savings Account is a deposit account that earns interest and includes check-writing and debit card access.
- Interest rates, minimum balance requirements, and monthly fees change regularly and depend on your account tier and current market conditions.
- This is a bank deposit account insured by the FDIC, not a money market mutual fund or investment product.
- You can open this account online, by phone, or at a branch, though availability and terms may vary by location.
- The account comes with transaction limits on withdrawals and transfers, which are set by federal regulation and Bank of America policy.
How the interest rate and minimum balance work
Bank of America's money market account interest rate is tiered, meaning you earn a higher rate on larger balances. The bank publishes its current rates on its website, but these rates change in response to Federal Reserve policy and competitive pressure from other banks. You will not see the same rate advertised today that you saw six months ago.
The minimum balance to open the account is typically $2,500, though this requirement can change. Some account tiers require higher minimums to earn the advertised rate. If your balance falls below the minimum, the bank may charge a monthly fee—usually between $10 and $25—or drop your rate to a lower tier. The exact penalty depends on which version of the account you hold.
Interest compounds daily and is credited monthly. This means you earn interest on your interest, though the effect is modest at current rate levels. The annual percentage yield (APY) you see advertised is the rate you would earn if you held the account for a full year without making deposits or withdrawals.
Transaction limits and withdrawal rules
Federal regulation limits the number of transfers and withdrawals you can make from a money market account to six per month (though this rule has been relaxed and tightened several times in recent years). Transfers made through online banking, mobile app, or automatic payments count toward this limit. Withdrawals at an ATM or in person at a branch do not count.
If you exceed the limit, Bank of America may charge a fee per excess transaction or convert your account to a checking account. The bank's exact policy is spelled out in the account agreement, which you receive when you open the account. If you think you will need to move money in and out frequently, a money market account may not be the right fit—a checking account would give you unlimited access.
The check-writing feature is real but limited. You can write checks from the account, but the bank may require a minimum check amount (often $250 or higher) and limits the number of checks you can write per month. This is not a checking account, and it is not designed for frequent bill-paying.
How a Bank of America money market account differs from other savings products
Bank of America offers several savings products: a basic savings account, a money market account, and certificates of deposit (CDs). The basic savings account has no check-writing or debit card, lower minimums, and fewer transaction restrictions. The money market account sits in the middle—more features than savings, but more restrictions than checking. A CD locks your money for a set term (three months to five years) in exchange for a may provide rate.
If you want to earn interest on cash you plan to access regularly, the money market account makes sense. If you want to write checks and use a debit card freely, you need a checking account. If you have money you will not need for several months or longer, a CD typically offers a higher rate.
Bank of America also offers money market mutual funds through its investment platform, Merrill Edge. These are not bank deposits—they are investments in short-term debt securities. They are not FDIC-insured, and their value can fluctuate. This is a completely different product from the money market savings account.
FDIC insurance and account safety
Your Bank of America money market account is insured by the Federal Deposit Insurance Corporation (FDIC) up to $250,000 per depositor, per bank, per account category. This means if the bank fails, the FDIC will reimburse you for your balance up to that limit. The money market account is its own category for FDIC purposes, so if you also hold a savings account at Bank of America, each account is insured separately up to $250,000.
If you have more than $250,000 to deposit, you can open multiple accounts in different names (such as in your name alone and in joint ownership with your spouse) to increase your FDIC coverage. The FDIC website has a calculator that shows you exactly how much of your money is covered.
How to open a money market account at Bank of America
You can open a money market account online through Bank of America's website, by calling 1-800-432-1000, or by visiting a local branch. Online is usually the fastest route—the process takes about 10 minutes and you can fund the account when ready from another bank account you own.
You will need to provide your Social Security number, date of birth, address, and employment information. Bank of America will run a background check through ChexSystems, a banking history database. If you have a history of overdrafts or fraud at other banks, you may be denied. The bank will also verify your identity by asking security questions or sending a verification code to your phone or email.
Once approved, you can fund the account by transferring money from another bank account, depositing a check through mobile deposit, or visiting a branch with cash or a check. The initial deposit must meet the minimum balance requirement, or you will be charged a fee when ready.
Comparing Bank of America's money market account to competitors
Bank of America's money market account interest rate is typically lower than what online banks and credit unions offer. Online banks like Marcus, Ally, and Discover often pay 4% to 5% APY on money market accounts, while Bank of America's rate is usually 1% to 2% APY (these figures vary with market conditions and are examples only). The difference adds up: on a $10,000 balance, the gap between 1% and 4% is $300 per year.
However, Bank of America offers something online banks do not: a physical branch network, a debit card, and check-writing. If you value convenience and do not mind earning less interest, Bank of America may be worth it. If you are focused on maximizing interest earnings and do not need branch access, an online bank or credit union money market account will likely serve you better.
Before opening an account anywhere, compare the current rates, minimum balances, and monthly fees. Rates change frequently, so what is true today may not be true in three months. Most banks publish their rates on their websites, and you can compare them side by side.
Frequently Asked Questions
Can I write checks from a Bank of America money market account?
Yes, but with limits. You can write checks, but the bank may require a minimum check amount (often $250) and may limit the number of checks per month. This is not a checking account, so check-writing is a secondary feature, not the primary one.
What happens if my balance drops below the minimum?
Bank of America will charge a monthly fee (usually $10 to $25) or lower your interest rate to a non-promotional tier. The exact consequence depends on your account agreement. You can avoid this by maintaining the required minimum or closing the account if you no longer need it.
Is my money safe in a Bank of America money market account?
Yes. The account is FDIC-insured up to $250,000, meaning if the bank fails, the FDIC will reimburse you. Your money is not invested in the market—it is held as a bank deposit and earns a fixed interest rate.
How often does Bank of America change its money market account interest rate?
The bank can change the rate at any time without notice, though in practice it adjusts rates in response to Federal Reserve decisions and competitive pressure. You may see rate changes monthly or quarterly. The rate you earn when you open the account is not may provide for the life of the account.
Can I move money between my Bank of America checking and money market accounts without hitting the transaction limit?
Transfers between your own accounts at the same bank count toward the federal transaction limit on the money market account. If you move money between checking and money market more than six times per month, you may be charged a fee or the account may be converted to checking.