Latest news with #moneymarket
Forbes
2 days ago
- Business
- Forbes
Today's Top Money Market Account Rates For July 28, 2025 - Rates Hit 4.5%
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations. The highest money market account rate available today is 4.50% Changes from the Fed or your bank can quickly change money market rates Online banks typically offer the most competitive yields on the market As of today, the highest money market rate is 4.5%, compared to a national average rate of 0.52%, according to Curinos. Here are today's money market account rates: A money market account , or MMA, is an interest-bearing deposit account you can open at a bank or credit union. These are insured up to $250,000 per depositor by the Federal Deposit Insurance Corp. (FDIC) at banks, or the National Credit Union Administration (NCUA) at credit unions. The insurance protects your balance if your bank fails. As with other savings accounts, your money in an MMA will grow as it earns interest, and you can add or withdraw funds at any time. You may also be able to write checks or use a debit card. However, depending on the bank, you could be limited to six transactions per statement period. Money market accounts may offer higher interest rates than typical savings accounts. In exchange, they often require higher minimum deposits and balances . Before opening a money market account , check out different options at various banks or credit unions. In addition to shopping around for the highest rates, you'll want to compare minimum balance and deposit requirements, monthly fees and withdrawal limits. Look for an account that offers competitive rates you can easily qualify for. You can typically submit an application for a money market account online or in person at a branch. The application will ask you to provide basic information, including your name, address, Social Security number, employment status and income. You will probably need to present a government-issued ID as well. After being approved, you can make your first deposit. Money market accounts work like a combination of a savings account and a checking account. Both MMAs and savings accounts: Let you deposit funds as you please Earn interest on your savings Are highly liquid Are safe deposit accounts May have withdrawal restrictions, balance requirements and monthly fees Similar to checking accounts and unlike most savings, money market accounts: Can come with debit cards, checks or both Tend to have higher fees Tend to have deposit and balance requirements Frequently Asked Questions (FAQs) Money market rates are variable and can change when economic conditions change, such as when the Federal Reserve alters interest rates or due to circumstances at a specific bank. There is no set schedule for when or by how much MMA rates change, so be on the lookout for notifications from your financial institution. Banks set money market account rates. The specific rate offered by an institution reflects the general interest rate environment and the bank's economics. For instance, a new online-only financial institution may offer a high rate to gain customers, whereas an established bank could count on generations of depositors. You can use a money market account calculator to see how much interest you'll earn. The amount of interest you earn is determined by the principal amount you deposit, the interest rate offered by your bank and the amount of time you save.
Yahoo
6 days ago
- Business
- Yahoo
Alexander Hamilton's bank, Goldman Sachs embrace digital tokens to trade money markets 24/7
Goldman Sachs (GS) and the Bank of New York Mellon (BK) are teaming up to make it easier for institutional investors to trade money market funds 24/7 by using blockchain technology to "tokenize" the assets. The collaboration between the Wall Street investment giant and a 241-year-old bank founded by Alexander Hamilton is the latest example of how venerable financial firms are pushing further into the digital asset realm as the crypto industry gains more favorable regulatory treatment in Washington, D.C. Goldman Sachs and Bank of New York Mellon will use a proprietary tokenization platform developed by Goldman to maintain the record-keeping of select Bank of New York Mellon money market funds. Money managers BlackRock (BLK), Federated Hermes, and Fidelity Investments have also signed up for the launch. Proponents see the value of putting money markets on blockchains as coming down to raw efficiency, where time and, therefore, costs of transferring interest-bearing cash instruments could be reduced. In that way, they serve the same purpose as interest-bearing, dollar-pegged stablecoins. A big use for these assets within the crypto world is via cryptocurrency exchanges that accept shares of tokenized money market funds as collateral for loans. "As the financial system transitions toward a more digital, real-time architecture, BNY is committed to enabling scalable and secure solutions that shape the future of finance," Laide Majiyagbe, BNY's global head of liquidity, financing, and collateral, said in a statement with the press release. Read more: Can you buy crypto with a credit card? See the pros and cons. Majiyagbe called the effort with Goldman Sachs "a first step." The company will not solely rely on a blockchain for record-keeping. Instead, BNY will still maintain the official books, records, and settlement for the funds within the current guidelines for money market funds. The attention for Goldman's tokenization platform, known as GS DAP, comes roughly half a year after the Wall Street bank announced its intent to potentially spin it out as a "an industry-owned distributed technology solution." That ambition is "still in progress," according to a Goldman Sachs spokesperson. "We are excited about this strategic collaboration with BNY in our journey towards the longer-term vision," Goldman Sachs head of digital assets Mathew McDermott said of the tokenization platform in a statement with the press release. As of now, there are more than 40 tokenized money market funds, though most of them have less than $1 billion in assets, according to JPMorgan Asset Management's Teresa Ho Kim. BlackRock's $2.4 billion BUIDL fund represents roughly half of the nearly $5 billion market. Old Wall Street firms and newer players like Robinhood (HOOD), Coinbase (COIN), and Circle (CRCL) have all eyed the chance to tokenize a range of assets. One clear place where proponents have signaled they can reduce costs is in cash instruments. "It is shocking how much friction still exists with just cash. It's unbelievable. And the ability to just make that also be better, faster, cheaper, I think we all know there's a lot of opportunity there," BlackRock COO Rob Goldstein said last month while speaking about tokenization at a New York conference hosted by Coinbase. David Hollerith is a senior reporter for Yahoo Finance covering banking, crypto, and other areas in finance. His email is Click here for in-depth analysis of the latest stock market news and events moving stock prices Sign in to access your portfolio
Yahoo
7 days ago
- Business
- Yahoo
Alexander Hamilton's bank and Goldman embrace digital tokens to trade money markets 24/7
Goldman Sachs (GS) and the Bank of New York Mellon (BK) are teaming up to make it easier for institutional investors to trade money market funds 24/7 by using blockchain technology to "tokenize" the assets. The collaboration between the Wall Street investment giant and a 241-year-old bank founded by Alexander Hamilton is the latest example of how venerable financial firms are pushing further into the digital asset realm as the crypto industry gains more favorable regulatory treatment in Washington, D.C. Goldman and Bank of New York Mellon will use a proprietary tokenization platform developed by Goldman to maintain the record keeping of select Bank of New York Mellon money market funds. Money managers BlackRock (BLK), Federated Hermes, Fidelity Investments have also signed up for the launch. Proponents see the value of putting money markets on blockchains as coming down to raw efficiency where time and therefore costs of transferring interest bearing cash instruments could be reduced. In that way, they serve the same purpose as interest-bearing, dollar-pegged stablecoins. A big use for these assets within the crypto world is via cryptocurrency exchanges that accept shares of tokenized money market funds as collateral for loans. 'As the financial system transitions toward a more digital, real-time architecture, BNY is committed to enabling scalable and secure solutions that shape the future of finance,' Laide Majiyagbe, BNY's global head of liquidity, financing and collateral at BNY said in a statement with the press release. Majiyagbe called the effort with Goldman 'a first step." The company will not solely rely on a blockchain for record keeping. Instead, BNY will still maintain the official books, records and settlement for the funds within current guidelines for money market funds. The attention for Goldman's tokenization platform, known as GS DAP, comes roughly half a year after the Wall Street bank announced its intent to potentially spin it out as a "an industry-owned distributed technology solution." That ambition is "still in progress," according to a Goldman spokesperson. 'We are excited about this strategic collaboration with BNY in our journey towards the longer-term vision,' Goldman's head of digital assets Mathew McDermont said of the tokenization platform in a statement with the press release. As of now, there are more than 40 tokenized money market funds currently, though most of them have less than $1 billion in assets, according to JPMorgan Asset Management's Teresa Ho. BlackRock's $2.4 billion BUIDL fund represents roughly half of the nearly $5 billion market. Old Wall Street firms and newer players like Robinhood (HOOD), Coinbase (COIN) and Circle (CRCL) have all eyed the chance to tokenize a range of assets and one clear place where proponents have signaled they can reduce costs is in cash instruments. 'It is shocking how much friction still exists with just cash. It's unbelievable. And the ability to just make that also be better, faster, cheaper, I think we all know there's a lot of opportunity there,' BlackRock COO Rob Goldstein said last month while speaking about tokenization at a New York conference hosted by Coinbase. David Hollerith is a senior reporter for Yahoo Finance covering banking, crypto, and other areas in finance. His email is Click here for in-depth analysis of the latest stock market news and events moving stock prices Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
16-07-2025
- Business
- Yahoo
Best money market account rates today, July 16, 2025 (secure up to 4.41% APY)
Find out which banks are offering the best MMA rates right now. As interest rates continue to fall following the Fed's recent rate cuts, it's more important than ever to ensure you're earning a competitive rate on your savings. One option you may want to consider is a money market account (MMA). These accounts are similar to savings accounts — they offer interest on your balance, but may also include a debit card and/or check-writing capabilities. Wondering where the top money market account rates can be found today? Here's what you need to know. From a historical perspective, money market account interest rates have been quite high. The national average interest rate for money market accounts is just 0.62%, according to the FDIC, but the top money market account rates often pay above 4% APY or even more — similar to the rates offered on high-yield savings accounts. Here's a look at some of the highest MMA rates available today:Additionally, the table below features some of the best savings and money market account rates available today from our verified partners. This embedded content is not available in your region. Deposit account rates — including money market rates — are tied to the federal funds rate. This is an interest rate range set by the Federal Reserve and is what banks charge each other for overnight loans. When the Fed increases the federal funds rate, deposit account rates usually increase. And conversely, when the Fed lowers its rate, deposit rates fall. Between July 2023 and September 2024, the Fed maintained a target range of 5.25%–5.50%. However, as inflation cooled and the economy improved, the Fed slashed the federal funds rate by 50 basis points in September 2024. It then cut an additional 25 bps in November, and another 25 bps in December. As a result, money market rates have begun to decline. Further rate cuts are expected in 2025, which means now might be the last chance for savers to take advantage of today's higher rates. Read more: Can you lose money in a money market account? Considering that money market account rates are still elevated, these accounts are an attractive option for savers. Even so, deciding whether it's the right time to put money in a money market account also depends on your financial goals and the broader economic conditions. Here are some key factors to consider: Liquidity needs: Money market accounts offer easy access to your money since they often come with check-writing capabilities or debit card access (though there may be a cap on monthly withdrawals). If you need to keep your money accessible while still earning a decent yield, a money market account could be ideal. Savings goals: If you have short-term savings goals or want to build an emergency fund, a money market account can provide a safer place for your cash, with returns that are better than most traditional savings accounts. Risk tolerance: For conservative savers who prefer to avoid the ups and downs of the stock market, money market accounts are appealing because they are backed by FDIC insurance and can't lose principal. However, if you're saving for a long-term goal like retirement, riskier investments are necessary to generate higher returns that will get you to your savings target. Given that interest rates are still elevated, now could be a good time to consider a money market account, especially if you're seeking a balance of safety, liquidity, and better returns than traditional savings accounts. Comparing rates from different institutions will help you find the best options available. Today, the highest money market account rate is offered by TotalBank. It's MMA pays 4.41%, which is more than seven times the national average. In today's falling interest rate environment, it's quite difficult to find a deposit account that pays 5%. Some promotional checking accounts have rates above 5% APY, though checking accounts aren't a great place to store cash savings long-term. Instead, you may want to investigate market investments, which come with more risk than money market accounts and other types of deposit accounts, but also provide much higher returns, on average. Yes. As long as you open an account with a federally insured bank or credit union, your money market account is safe from market risk. The only way your account can lose money is if you incur fees. This embedded content is not available in your region.
Forbes
15-07-2025
- Business
- Forbes
Money Market Interest Rates Today: July 15, 2025 - Earn Up To 4.5%
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations. The highest money market account rate available today is 4.50% Changes from the Fed or your bank can quickly change money market rates Online banks typically offer the most competitive yields on the market As of today, the highest money market rate is 4.5%, compared to a national average rate of 0.52%, according to Curinos. Here are today's money market account rates: A money market account , or MMA, is an interest-bearing deposit account you can open at a bank or credit union. These are insured up to $250,000 per depositor by the Federal Deposit Insurance Corp. (FDIC) at banks, or the National Credit Union Administration (NCUA) at credit unions. The insurance protects your balance if your bank fails. As with other savings accounts, your money in an MMA will grow as it earns interest, and you can add or withdraw funds at any time. You may also be able to write checks or use a debit card. However, depending on the bank, you could be limited to six transactions per statement period. Money market accounts may offer higher interest rates than typical savings accounts. In exchange, they often require higher minimum deposits and balances . Before opening a money market account , check out different options at various banks or credit unions. In addition to shopping around for the highest rates, you'll want to compare minimum balance and deposit requirements, monthly fees and withdrawal limits. Look for an account that offers competitive rates you can easily qualify for. You can typically submit an application for a money market account online or in person at a branch. The application will ask you to provide basic information, including your name, address, Social Security number, employment status and income. You will probably need to present a government-issued ID as well. After being approved, you can make your first deposit. Money market accounts act like a hybrid between savings accounts and a checking account. Both MMAs and savings accounts: Let you deposit funds as you please Earn interest on your savings Are highly liquid Are safe deposit accounts May have withdrawal restrictions, balance requirements and monthly fees Similar to checking accounts and unlike most savings, money market accounts: Can come with debit cards, checks or both Tend to have higher fees Tend to have deposit and balance requirements Frequently Asked Questions (FAQs) Money market rates are variable and can change when economic conditions change, such as when the Federal Reserve alters interest rates or due to circumstances at a specific bank. There is no set schedule for when or by how much MMA rates change, so be on the lookout for notifications from your financial institution. Banks set money market account rates. The specific rate offered by an institution reflects the general interest rate environment and the bank's economics. For instance, a new online-only financial institution may offer a high rate to gain customers, whereas an established bank could count on generations of depositors. You can use a money market account calculator to see how much interest you'll earn. The amount of interest you earn is determined by the principal amount you deposit, the interest rate offered by your bank and the amount of time you save.
