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- Money market interest rates vs. high-yield savings interest rates
- Average money market rate by account balance
- Average money market rate by bank
- Average money market account rate over time
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- The average money market account earns 0.23% Annual Percentage Yield (APY), according to the FDIC.
- The actual interest rate on a money market account may depend on the account balance and bank.
- Money market interest rates can change over time.
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A money market account functions like a savings account — it earns a small amount of interest and can help money grow, and has monthly limits on withdrawals.
Your money market account's interest rate will vary based on several factors, including the balance, which bank you use, and the current interest rate market.
See our picks for the best money market accounts »
Featured Money Market Account
UFB Secure Money Market
UFB Direct, FDIC insured through Axos Bank
Perks
Earn 5.25% Annual Percentage Yield (APY). $0 minimum deposit. FDIC Insured.
Fees
$10 monthly service fee
Annual Percentage Yield (APY)
5.25% (as of 11/16/2023)
Minimum Deposit Amount
$0
Pros
- No minimum opening deposit
- High interest rate
- Check writing included
- Debit card option
- Possible to waive monthly maintenance fees
Cons
- $10 monthly service fee
Insider’s Take
You may favor the UFB Secure Money Market if you would like a bank account that includes paper checks and a debit card.
Product Details
- Earn 5.25% APY*.
- No monthly maintenance fees with a $5,000.00 balance, otherwise fee is $10.00 per month.
- Access your funds 24/7 with easy-to-use digital banking tools.
- Enjoy peace of mind with FDIC insurance up to the maximum allowable limit – Certificate #35546.
- * The Annual Percentage Yield (APY) is accurate as of 11/16/2023. The interest rate and corresponding APY for savings is variable and is set at UFB's discretion. This is a tiered variable rate account. Interest rates may change as often as daily without prior notice. Fees may reduce earnings.
Money market interest rates vs. high-yield savings interest rates
Money market accounts will typically have higher interest rates than the average savings account's interest rate. But, among banks that have both high-yield savings accounts and money market options, high-yield savings accounts often come out on top.
| Bank | Current money market interest rate (Annual Percentage Yield - APY) | Current high-yield savings interest rate (APY) |
| Ally | 4.40% | 4.35% |
| Synchrony | 2.25% | 4.75% |
| CIT Bank | 1.55% | 4.65% |
| Discover (Member FDIC) | 4.20% to 4.25% | 4.35% (as of 11/08/23) |
| PenFed Credit Union | 0.05% to 0.15% | 3.00% |
Average money market interest rates by account balance
Your account's balance will influence your interest rate.
According to data from S&P Global, the higher your balance, the higher your interest rate. Here are the average interest rates across six different account balances:
| Account balance | Average Annual Percentage Yield (APY) |
| $2,500 | 0.17% |
| $10,000 | 0.20% |
| $25,000 | 0.24% |
| $50,000 | 0.28% |
| $100,000 | 0.33% |
| $250,000 | 0.37% |
Some money market accounts could have a minimum account balance, so make sure that the account you're considering fits your balance.
Average money market rate by bank
Each bank sets different rates for its money market accounts. Money market accounts are offered at both brick and mortar banks and online banks. Here are current money market interest rates offered by several popular banks.
| Bank | Money market interest rate |
| Ally Money Market Account | 4.40% |
| Synchrony Money Market Account | 2.25% |
| CIT Bank Money Market Account | 1.55% |
| Discover Money Market Account (Member FDIC) | 4.20% to 4.25% |
| Pentagon Federal Credit Union Money Market Savings | 0.05% to 0.15% |
| Sallie Mae Money Market Account | 4.25% |
| PNC Premiere Money Market Account | 0.02% to 1.75% (varies by location) |
Some banks offer higher interest rates for people with several accounts at one bank. Check with your bank to see if a special relationship rate could apply to your money market account.
Featured Money Market Account
UFB Secure Money Market
UFB Direct, FDIC insured through Axos Bank
Perks
Earn 5.25% Annual Percentage Yield (APY). $0 minimum deposit. FDIC Insured.
Fees
$10 monthly service fee
Annual Percentage Yield (APY)
5.25% (as of 11/16/2023)
Minimum Deposit Amount
$0
Pros
- No minimum opening deposit
- High interest rate
- Check writing included
- Debit card option
- Possible to waive monthly maintenance fees
Cons
- $10 monthly service fee
Insider’s Take
You may favor the UFB Secure Money Market if you would like a bank account that includes paper checks and a debit card.
Product Details
- Earn 5.25% APY*.
- No monthly maintenance fees with a $5,000.00 balance, otherwise fee is $10.00 per month.
- Access your funds 24/7 with easy-to-use digital banking tools.
- Enjoy peace of mind with FDIC insurance up to the maximum allowable limit – Certificate #35546.
- * The Annual Percentage Yield (APY) is accurate as of 11/16/2023. The interest rate and corresponding APY for savings is variable and is set at UFB's discretion. This is a tiered variable rate account. Interest rates may change as often as daily without prior notice. Fees may reduce earnings.
Average money market account rate over time
Money market accounts' interest rates may fluctuate over time. Money market rates tend to change with the overall economy and interest rates set by the Federal Reserve.
According to data from the FDIC, the average money market interest rate has generally decreased since 2009.
In 2022, the Federal Reserve has raised interest rates several times. As a result, the average money market account has slowly gone up again. The average money market interest rate is currently 0.23% APY for accounts with balances under $100,000, according to data from the FDIC.
Liz Knueven
Personal Finance Reporter
Liz was a personal finance reporter at Insider. Before joining Insider, she wrote about financial and automotive topics as a freelancer for brands like LendingTree and Credit Karma. She earned her bachelor's degree in writing from The Savannah College of Art and Design. She lives and works in Cincinnati, Ohio. Find her on Twitter at @lizknueven.
Editorial Note: Any opinions, analyses, reviews, or recommendations expressed in this article are the author’s alone, and have not been reviewed, approved, or otherwise endorsed by any card issuer. Read our editorial standards.
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