Money Market Interest Basics
Money market accounts are a type of savings account that helps you build your balance over time while giving you more convenient access to your funds than you'd typically get with a regular savings account. Once you understand how money market interest works on a money market account, you can start putting it to work for you.
In general, money market interest starts accruing immediately—just as it does in any interest-bearing account. So, in order to make the most of your money, check to see that the interest on your money market account compounds daily. Compounding interest means that the interest you earn becomes part of your balance, so you earn interest on your interest. Daily compounding maximizes your return over time. The method that a bank uses to compound your interest is reflected in its annual percentage yields (APYs), so comparing APYs across several banks is a good way to be sure you’re comparing apples to apples.
With an Ally Bank Money Market Account, interest is compounded daily at a variable rate that's consistently among the most competitive in the country according to Bankrate.com. You can open and fund your account with any amount. You can use any Allpoint no-fee ATM—plus receive up to $10 reimbursement for fees charged at other ATMs nationwide each statement cycle. You also get free standard checks and a debit card for convenient access to your money.
Learn more at Allybank.com or call live, 24/7 customer service at 877-247-ALLY (2559).
Ally Bank, member FDIC
Comment on this article