BANKING AFFAIRS

Detailed explanation-1: -Money market accounts often have a minimum deposit or balance requirement that is higher than regular savings accounts.

Detailed explanation-2: -Minimum balance and fee: The minimum opening deposit for a money market account is $2, 500, but beyond the initial deposit, there is no requirement to maintain a minimum balance.

Detailed explanation-3: -Regardless of whether you bank with a credit union or bank, you can safely deposit up to $250, 000 per account holder into a money market account and your money will be automatically insured as long as you are opening an NCUA or FDIC-insured account.

Detailed explanation-4: -High-Yield Savings Account High-yield savings accounts-typically found at online banks, neobanks and online credit unions-are savings accounts that offer a higher APY compared to regular savings accounts. This is one of the best types of savings accounts to maximize your money’s growth.

Detailed explanation-5: -A high-yield savings account pays a much higher interest rate, but you have transfer limits and few, if any, accounts let you directly spend money. Money market accounts also tend to tie up more of your money, requiring higher minimum account balances than a high-yield savings account.