Jumbo Money Market Account Rates
by Ellen Cannon | Money Rates Columnist
Jumbo money market accounts, like jumbo savings accounts and certificates of deposit (CDs), require a high minimum to earn a higher rate of interest, usually $100,000 to open.
While you need a higher opening deposit for a jumbo money market account, you'll likely be rewarded with a higher interest rate to grow your money. Another added benefit is deposits are insured by the Federal Deposit Insurance Corporation. Money market accounts are have FDIC insurance coverage up to $250,000 per depositor, per institution.
The national rate for jumbo money market accounts is 0.12%, according to the FDIC in the latest weekly rate update May 9, 2016. This is higher than the national rate for jumbo savings accounts.
Jumbo money market accounts vs. Jumbo CDs
One advantage a jumbo money market account has over a jumbo CD is liquidity – your money is available at any time whereas money invested in a jumbo CD has to remain there for the term of the CD (6 months, 1 year, 5 years or longer) in order to avoid early withdrawal penalties. If you do withdraw money from a jumbo account, though, you may be subject to fees if the balance goes below $100,000.
Accessibility to your funds is another reason to choose a jumbo money market account for your deposits. A jumbo account may come with the ability to write checks – although not all banks offer this. As with any financial vehicle, be sure to look at all of the terms and conditions of an account before you deposit your money.
Check the table below to research the best jumbo money market rates for your deposits.
Rates / APY terms above are current as of the date indicated. These quotes are from banks, credit unions and thrifts, some of which have paid for a link to their website. Bank, thrift and credit union deposits are insured by the FDIC or NCUA. Contact the bank for the terms and conditions that may apply to you. Rates are subject to change without notice and may not be the same at all branches.