Money Market Rates 101

With the AmericaNet Bank Money Market Rates above the national norm, I felt compelled to write about them. AmericaNet Bank is a branch of the All America Bank out of Oklahoma. This financial institution has been operating since 1969 and is FDIC insured.

The Mega Money market account is essentially a free checking account with limitations. There is no minimum balance, but any balance that is maintained receives 2.00% APY.  The monthly statements are issued electronically to be environmentally conscious.

This account offers a free AmericaNet Bank Visa checkcard. There is no monthly maintenance or service fee. Access to online banking and all of its features are free of charge. All customer service features are free of charge and there is no minimum balance needed to keep the account open.

The 2.00% APY is calculated on a daily basis on the current balance that is under $35,000. Amounts over $35,000 earn an APY of 1.00%. Under federal regulations of a money market account only 6 withdraws a month are permitted to be free.  Any withdraws over this limit are charged $5 per transaction.

To open a Money Market Accounts all one has to do is apply online. There is nothing that has to be mailed in or faxed.

Why this is advertised as a checking account is beyond me. The 2.00% APY is attractive and a good deal but I have more than 6 bills a month that have to be paid. This is essentially a very good savings account. The limited withdraws will help the account holder save their money.

The AmericaNet Bank Money Market Rates are amongst the best in the nation at the moment.

The New Century Bank Money Market Rates are competitive and come from a solid financial institution. In 1997, this financial institution opened for business in Phoenixville. Since that time, they have added branches that now reach Chester and Delaware counties. This bank has $250 million in assets and over 25,000 open accounts on the books.

The Money Market Accounts earn 2.00% APY with an associated Platinum Checking account. The requirements are a minimum deposit of $50 to open and a minimum balance of $1000 to avoid the monthly maintenance fee. Every month, the interest this account earns is credited to the balance. The transfers for your money market account to another account or to a third party are limed by federal regulations at 6 per statement cycle.

The rate of 2.00% APY is effective thru 5/31/2010. If a Platinum checking account is not opened or associated with this money market account, then the APY will be at a rate of 1.60% until 5/31/2010. There is then a minimum deposit of $1000 to acquire any interest on this account.

If a minimum balance is not kept for the entire month, the maintenance charge is $5.00 per month.

The rate of 2.00% APY is current but subject to change without notice. The current rate was posted on 12/21/09 and is still current and valid.

Join the other 25,000 account holders in trusting New Century Bank. Money market rates are above the national average at this time.

How to choose the right money market account depends on what you need and are looking for. With this type of account, things are not always what they appear to be. Most investors and people saving money would think that the highest interest rate would bring the most for their money. Be aware of the fees that are associated with this type of account.

Many banks and financial institutions offer interest rates higher than traditional savings accounts but take on a monthly maintenance fee. In many cases, this fee amount is equal to or greater than the interest that would be paid out on the balance. This will be translated to either no interest being paid or a loss of your initial deposit if the balance is not high enough to pay for the maintenance. These fees range from $0.00 to $20.00 a month or statement cycle.

The deposits in a money market account are one of the safest investments available to investors. The FDIC insures these deposits up to and including $250,000 at the present time. This type of investment is a low risk but also has a low return.

There are federal restrictions on all money market accounts. One of these is that there is only 6 withdrawals allowed per statement cycle or else a penalty will occur. If there is a chance you will need to make more, then look at the price of the penalty. This price does vary from the different financial institutions.

The current money market rates vary from 1.70% APY at Colorado Federal Savings Bank to numerous ones with an APY of 0.10%. Knowing how to choose the right money market account will be determined on how you plan to use the money.

The current TD Bank Money Market rates are on a tiered system that is dependent on your current balance within your money market account. The tier rates are as follows.

For a balance of $0.01 to $999.99, the APY is 0.10%. For a balance of $1,000 to $9,999.99, the APY is 0.10%. For a balance of $10,000 to $24,999.99, the APY is 0.25%. For a balance of $25,000 to $49,999.99, the APY is 0.50%. For a balance of $50,000 to $99,999.99, the APY is 0.50%. For a balance of $100,000 to $249,999.99, the APY is 0.60%. For a balance of $250,000 to $499,999.99, the APY is 0.60%. For a balance of $500,000 to $999,999.99, the APY is 0.60%. For a balance over $1,000,000, the APY is 0.60%.

There is no minimum amount needed to open a money market account, but unless there is a deposit no interest will be acquired. If a $1000 balance is maintained, then the $12 monthly maintenance fee is waived. This maintenance fee is also waived if the account holder is over the age of 62.

These APY Money Market rates were posted on the TD Bank home web site on 12/08/09 and were still accurate as of 12/10/09 for the state of Pennsylvania. These rates are subject to change without notice before or after an account is opened.

Account holders are allowed to write up to 3 checks a month and enjoy free bill paying as an online banking option. These are the TD Bank Money Market rates that are FDIC insured.

Today, we’re going to diverge a little from our usual subject here at <a href=”http://moneymarketrates101.com“>Money Market Rates 101</a> and look at a different bank, Capital One.

Richmond, VA-based Capital One Financial Corp. is a premier financial institution in the Mid-Atlantic region of the United States. The company has fared better over the years despite the fact that banking sector is still in a financial quagmire. The company offers many direct banking features including its basic online account. Mortgage, loans and other features are also offered by the company.

Under this account, customers are offered an APY of 1.60% for an investment of $2,500. There is also a chance of winning 10% quarterly bonuses on interest earned if the average balance exceeds or equals $15,000

Apart from basic accounts, Capital One money market also has other options for its customers. A high yield market account offers an APY of 1.20% with general banking features included in the package. Customers can use free checks, ATMs and online transfers, among other services.

Capital One interest rates are higher than market average and sometimes as high as three times the national average. The lowest interest rates are accrued on the company’s Business Money and Business Money market accounts; they are 1.10% APY and 1.01% APY, respectively. These rates are subject to change in case of market fluctuations and other factors.

Certificates of Deposit, on the other hand, yield 3.00% APY for a 4-year term. The bank would pay 2.00% APY on a 2-year term certificate. No monthly fees are charged on these accounts. An average interest rate on these CDs would be 0.5% for 1-year term with the APY in the same range.

Here at Money Market Rates 101, we like to keep you up to date on the latest available returns.  Today, we’re looking at money market rates at USAA.

United States Automobile Association is a premier financial services company that offers a number of saving accounts at different Annual Percentage Yields. USAA Money Market rates are on par with the general market standards. In fact, the company offers better APY as compared to other companies and financial services institutions.

Money market rates at USAA vary on the total amount of money deposited in a savings account. The company offers two broad categories of savings account. The first one – USAA Savings – is related to personal banking. This account can be opened with a deposit of $25 with a variable APY of 0.60%. APYs for amounts greater than $25,000 is currently placed at 0.80%. Similarly, Performance First accounts start with a basic investment of $10,000 at 0.70% APY and can go upwards of $50,000 at 0.80% APY. USAA rates for money markets, especially APY, varies as per the changing. The company offers free funds transfers to any other bank in the US.

The company offers tiered rates service that are directly related with the extent of savings. Additionally, it does not charge any monthly service fees and allows its customers to draw cash from any ATM; the company will refund the fee in case the other bank charges some amount.

Online banking facilities are available with the company. Additionally, customers can also check their balance and other financial information by using the iPhone applications.

Ally Bank (formerly GMAC Bank) has a lot to offer anyone looking for high yield returns.  Ally Bank Money Market accounts are popular because they have some of the highest yields in the industry and some of the best options and offers to go with that.  We here at Money Market Rates 101 are going to show you what they’re offering right now and how it can help you.

The Ally Money Market rates come with no minimum deposit or balance requirements to avoid fees.  You can start with $1 or $100,000, it’s up to you.  Their return is good with rates at Ally Bank being 1.55% annual percentage yield (APY).  That rate is variable, of course, with the market, but is consistently high.

Other inclusions in the Ally Bank Money Market account include a check card, fifty free checks, no ATM fees (they even pay the fees from other ATMs - up to four per month), interest is compounded daily, and you get six transactions per cycle (month) without a fee.

Although rates at Ally Bank are consistently higher than the national offers and averages, these are not gimmick rates to get someone in the door before dropping it a month or two later.  The Ally Money Market rates are consistently high all the time.

Using a calculator, since the interest compounds daily, it’s easy to see that at 1.55% APY $50,000 gains $775.94 in the first year.  Those are great rates.

Definitely worth considering, in our book.  Ally Bank is FDIC insured to the fullest extent of the law.

There are a lot of funds to consider and we here at Money Market Rates 101 hope that our information helps make the decision easier for you. Today, we’re going to look at Fidelity Money Market Fund offers and show you how rates at Fidelity are doing.

First, be aware that money market funds aren’t necessarily the highest returning funds out there.  They are, however, considered to be the most stable with generally higher returns than most certificate of deposit and other savings investments in like amounts of time.  They are also liquid, so they can be “cashed out” quickly.

While rates at Fidelity in these funds are low, they got a lot of attention when the financial crisis began to tank most market investments quickly.  The Fidelity Money Market Fund, however, lost little and actually showed gains during the otherwise down market.  So while Fidelity Money Market rates aren’t high, they are steady.

Like most money market funds, these funds are liquid, so they are not a fixed investment.  The rates at Fidelity in these funds are usually higher than comparable certificate of deposit or high yield savings are.  They are not, however, FDIC insured as are banks.

Rates of return vary, but the taxable funds are most common because they are the easiest to get into.  Municipal and State funds are usually tax-free and are therefore popular long-term retirement funds.  Whatever your Fidelity Money Market Fund choice, talk to your financial adviser before making a decision.

There are a lot of ways to invest money at Vanguard.  We here at Money Market Rates 101 want to show you the best rates at Vanguard right now.  Finding the greatest return from your Vanguard Money Market Fund is the surest way to keep steady, healthy, high returns.

The most common and widely used fund is the Vanguard Prime Money Market Fund (VMMXX).  The income from this fund, however, is taxed at both state and federal levels, so it is not considered a good retirement fund.  It does have some of the best Vanguard money market rates, however.

The Prime Fund is a low-risk investment fund with some of the steadiest rates at Vanguard.  It requires $3,000 minimum to invest and has an expense ratio of 0.28%, one of the lowest for this category.  It’s shown steady increases in growth since 1999 with a growth averaging 3.34% annually over the past ten years.

The popular Treasury Fund in the Vanguard Money Market Fund portfolio is closed to new investment right now and has hit some real rocky roads this year as the U.S. Treasury continues to keep interest rates low, thus making Treasuries less appealing.

If you live in California, New Jersey, New York, Ohio, or Pennsylvania, a state-specific Vanguard Money Market Fund might be right for you.  These are good retirement funds, buying bonds from those states and keeping them tax-exempt on returns so your retirement money is not taxed.  These kinds of funds are often called “double tax free” funds.

Other rates at Vanguard can be gained by investing in AMT (tax-free) Vanguard Money Market Fund offers.  These have specific rules, however, and may not have the kind of Vanguard money market rates you’re looking for.

None of these investments, of course, are insured by the FDIC, being market investments and not bank offers.

There are four basic accounts for Fidelity MMA rates and we here at Money Market Rates 101 are going to look at them and then compare them to yesterday’s post that shows the national best rates right now.  Those of our readers who are interested in Fidelity money market rates and those who wonder what a local bank has over national offers will see how this can pan out.

By far the best money market rates at Fidelity are the special offer on balances over $50,000 which have a 2.00% annual percentage yield (APY) which beats the national best at UFB Direct with a 1.85% APY.  Of course, you’ll need that $50,000 to get this rate.

Other Fidelity money market rates are at or around national average right now and the minimum to open a MMA at Fidelity is $2,500 which pays a 0.75% APY, as do most Fidelity MMA rates right now.

A $10,000 balance can get you money market rates Fidelity of 1.00% APY and a corporate MMA can yield 1.25% APY on that deposit.

If you’re local to a Fidelity Bank, you should consider an account there if you need the convenience of a local branch, have the money to get that special rate, or are otherwise already attached to Fidelity.  It’s a very good, solid, respectable local bank and is, of course, FDIC insured to the fullest extent of the law.