Where to find money market accounts

Money market accounts are offered by most large national banks, regional banks, credit unions, and online banks. The banks that offer them are not special — they are the same institutions where you might already have a checking account. What differs is the rate they pay, the minimum balance they require, and whether they let you write checks or make transfers.

You will find money market accounts at Chase, Bank of America, Wells Fargo, Citibank, and other major chains. You will also find them at smaller regional banks, at credit unions in your state, and at online-only banks like Marcus, Ally, and Discover. The rate you earn depends almost entirely on which institution you choose and when you open the account — not on the account type itself.

Start by checking whether your current bank offers money market accounts. If the rate is low, you can move the money elsewhere. There is no penalty for opening a money market account at a different bank, and no requirement to keep money in one place.

Key Takeaways

  • National banks like Chase and Bank of America offer money market accounts, but their rates are typically lower than online banks or credit unions.
  • Online banks such as Marcus, Ally, and Discover often pay higher rates because they have lower overhead costs than physical branches.
  • Credit unions frequently offer competitive rates on money market accounts to their members, and membership is often open to anyone in your area or profession.
  • The rate you earn changes regularly and varies by bank, so comparing rates across three to five institutions takes 15 minutes and can add hundreds of dollars per year to your balance.
  • You can open a money market account at any bank without closing accounts elsewhere, and moving money between banks takes three to five business days.

How rates differ between bank types

Large national banks typically pay the lowest rates on money market accounts. Chase, Bank of America, and Wells Fargo often pay between 0.01% and 0.05% annually, meaning a $10,000 balance earns $1 to $5 per year. These banks prioritize lending and investment services over deposit rates, and they can afford to pay less because customers often stay for convenience.

Online banks pay significantly higher rates because they do not operate physical branches. Marcus (owned by Goldman Sachs), Ally, Discover, and American Express all offer money market accounts with rates that change monthly but have historically been three to ten times higher than national banks. A $10,000 balance at an online bank might earn $40 to $150 per year, depending on the current rate environment.

Credit unions often fall between the two. Many credit unions pay rates competitive with online banks, particularly if you maintain a minimum balance or meet other membership requirements. Credit unions are member-owned, so they return profits to depositors rather than shareholders. Membership requirements vary — some credit unions accept anyone in a geographic area, while others require employment at a specific company or membership in an organization.

What to compare when choosing a bank

The annual percentage yield (APY) is what matters most. This is the rate the bank pays on your balance, expressed as a percentage per year. A bank advertising 4.50% APY will pay you more than one advertising 4.25% APY, all else equal. Rates change frequently — sometimes weekly — so the rate you see today may not be the rate you get tomorrow. Check the current rate on the bank's website before you open an account.

Minimum balance requirements vary widely. Some banks require $1,000 to open a money market account. Others require $2,500, $10,000, or more. A few online banks have no minimum. If your balance falls below the minimum, some banks reduce your rate to nearly zero, while others close the account or charge a fee. Read the account terms before you commit.

Access to your money matters if you need it quickly. Most money market accounts allow six transfers or withdrawals per month before a fee applies. Some banks charge $10 per excess withdrawal; others close the account. If you think you will need to move money frequently, confirm the bank's policy. Online banks typically process transfers in three to five business days, while banks with physical branches may offer same-day transfers to linked accounts.

Federal Deposit Insurance Corporation (FDIC) protection covers up to $250,000 per account at each bank. Credit unions are covered by the National Credit Union Administration (NCUA) up to the same amount. If your balance exceeds $250,000, you can split it across multiple banks to keep all of it insured.

How to compare rates across banks

You do not need a special tool to compare rates. Open a spreadsheet or piece of paper and write down the APY, minimum balance, and monthly transfer limit for three to five banks you are considering. Check the rates on each bank's website directly — do not rely on comparison sites, which sometimes lag behind actual rates by days or weeks.

Focus on banks that meet your needs first, then compare rates among those. If you need to withdraw money frequently, an online bank with a six-transfer limit may not work for you, no matter the rate. If you have $500 to deposit, a bank requiring a $10,000 minimum is not an option.

After you narrow the list, calculate how much you will earn per year at each bank. A $10,000 balance at 4.50% APY earns $450 per year. At 0.05% APY, it earns $5 per year. The difference is $445 — real money that stays in your pocket if you choose the higher rate. Spend 15 minutes comparing and you may add hundreds of dollars per year to your balance.

Opening an account and moving money

Opening a money market account online takes 10 to 20 minutes. You will need your Social Security number, a government-issued ID, your current address, and proof of income or employment (usually a recent pay stub or tax return). Some banks ask for these documents; others do not. The bank will verify your identity and run a background check.

Once the account is open, you can transfer money from another bank account you own. This is called an Automated Clearing House (ACH) transfer. You provide your account number and routing number at the new bank, and the money moves automatically. The transfer typically takes three to five business days. Some banks offer faster transfers if you link the account to a debit card or use their mobile app.

You do not have to close your old account when you open a new one. Many people keep a checking account at their main bank for everyday spending and a money market account at an online bank for savings. The money sits in both places until you decide to move it.

Special considerations for credit union accounts

Credit unions require membership before you can open an account. Membership rules vary by credit union. Some accept anyone who lives or works in a specific county. Others require membership in a union, professional association, or employer group. A few credit unions accept members nationwide if you open a savings account with them first.

To find credit unions in your area, use the CO-OP Network locator or the Credit Union Locator on the National Credit Union Administration website. Search by your zip code or employer. Call the credit union directly to ask about membership requirements and current money market rates.

Credit unions often offer benefits beyond rate — such as lower fees, easier loan approval, or financial counseling — that may outweigh a slightly lower rate compared to an online bank. If you already belong to a credit union or can join one easily, compare their money market rate to online banks before deciding.

What happens if a bank fails

If a bank fails, the FDIC protects your money up to $250,000 per account. The FDIC will transfer your account to another bank or send you a check within a few business days. This protection is automatic — you do not have to do anything. The same protection applies to credit unions through the NCUA.

Large national banks are extremely unlikely to fail. Online banks are also insured the same way. The risk of losing money to bank failure is very small, so do not let it drive your decision. Choose based on rate, minimum balance, and access to your money.

Frequently Asked Questions

Can I move money from one bank's money market account to another bank's?

Yes. You can transfer money from any bank account you own to any other bank account you own using an ACH transfer. The process takes three to five business days. There is no fee for moving money between your own accounts at different banks.

Do I have to keep a minimum balance at all times?

It depends on the bank. Some banks require you to maintain a minimum balance every day. Others require it only on the day you open the account. If your balance drops below the minimum, the bank may reduce your rate, charge a fee, or close the account. Read the account agreement before you open the account to know the exact rule.

What if I need to withdraw money before the six-transfer limit?

You can withdraw money anytime. The six-transfer limit applies to transfers and withdrawals combined. If you exceed the limit in a month, the bank charges a fee (usually $10 per excess transaction) or closes the account. If you need frequent access to your money, choose a bank with a higher limit or no limit, or keep the money in a regular savings account instead.

Is a money market account at a credit union safer than one at an online bank?

No. Both are insured up to $250,000 by their respective federal agencies — the NCUA for credit unions and the FDIC for banks. The protection is identical. Choose based on rate and features, not on perceived safety.

How often do money market rates change?

Banks can change rates anytime, and many do so weekly or monthly. The rate you see when you open an account may not be the rate you earn six months later. Check your bank's website periodically to see if the rate has dropped. If it has and you find a better rate elsewhere, you can move your money.