ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Money market accounts may offer you a debit card and the ability to write checks, giving them some of the same capabilities as checking accounts.

Detailed explanation-2: -Money market accounts work like other deposit accounts, such as savings accounts. As customers deposit funds in a money market account, they earn interest on those funds. Typically, interest on money market accounts is compounded daily and paid monthly.

Detailed explanation-3: -A money market account is a higher-interest deposit account offered by financial institutions, including banks and credit unions. If you’re saving for a future goal or want your money to grow more quickly while avoiding unsecured market investments, a money market account may be the right choice for you.

Detailed explanation-4: -Money market accounts-also known as money market deposit accounts (MMDAs)-are interest-bearing deposit accounts that are specifically designed to securely hold a depositor’s savings. As with most savings accounts, they pay interest on the money that you leave in your account and they are typically FDIC insured.