Earn Up to 5.05% APY on Money Market Accounts in June 2023 – Best Rates Revealed!

Currently, the highest nationwide money market account offers a remarkable 5.05% APY, providing an excellent opportunity to grow your savings faster than ever before.

If you have funds that you don’t need immediate access to, placing them in a high-yield account can significantly boost your earnings. Money market accounts now rival high-yield savings accounts, with the leading annual percentage yield (APY) reaching 5.05%.

Key Highlights

• The top money market and savings accounts now yield up to 5.05% APY nationwide.
• Money market accounts often allow check-writing privileges, differentiating them slightly from savings accounts.
• The national average for money market accounts is just 0.61% APY, meaning the best accounts pay over eight times more.
• The leading account requires a minimum deposit of $500, with many other competitive options offering at least 4.15% APY.

Leading Money Market Account in June 2023

All America Bank, along with its online partner Redneck Bank, currently leads the market with a 5.05% APY money market account. Both banks are FDIC insured and operate primarily in Oklahoma.

With a minimum deposit of $500, you earn the top rate regardless of your balance, and there are no monthly maintenance fees.

Important Details

The 5.05% APY applies to balances up to $100,000. Amounts exceeding this will earn a lower interest rate.

Following closely, other money market accounts offer rates as high as 4.81% APY, with numerous accounts providing 4.15% APY or better.

These elevated rates come after the Federal Reserve's aggressive rate hikes throughout 2022 and 2023 to combat inflation, pushing savings and money market rates to levels unseen since 2007.

If you prefer, high-yield savings accounts may offer slightly higher returns, with the top savings account paying 5.17% APY and several others offering at least 4.85% APY.

Money Market vs. Savings Account: Which Is Right for You?

The distinction between money market and savings accounts has blurred over recent years. Traditionally, money market accounts offered higher interest rates but required larger minimum balances (often $25,000) and allowed check-writing, unlike savings accounts.

Today, many high-yield savings accounts carry "money market" in their names but function like regular savings accounts without check-writing features.

Minimum balance requirements and interest rates vary widely across both account types. Some money market accounts require no minimum deposit, while some high-yield savings accounts may require $25,000 or more.

To decide, consider whether check-writing is essential. If yes, focus on genuine money market accounts. If not, compare both types and select the account offering the highest APY that fits your balance and feature preferences.

Will Rates Continue to Rise?

Deposit rates have reached their highest levels since 2009, but further increases are possible. Deposit rates closely follow the Federal Reserve’s federal funds rate.

Although the Fed paused rate hikes in mid-June 2023, it signaled potential increases later this year, which could push savings and money market rates even higher. Conversely, any rate cuts would lower these yields.

Pro Tip

If you can set aside funds for a fixed term, consider certificates of deposit (CDs), which lock in higher interest rates for months or years. CDs provide stable returns unaffected by market fluctuations. Check our daily CD rankings to find the best rates for various terms.

Our Rate Tracking Methodology

Every business day, we analyze rates from over 200 federally insured banks and credit unions nationwide offering money market, savings, and CD accounts. To qualify, institutions must be FDIC or NCUA insured and have initial deposit minimums no greater than $25,000.

We only include banks available in at least 40 states and exclude credit unions requiring donations of $40 or more for membership. For detailed information on our ranking criteria, please refer to our full methodology.

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