And at Ally Bank, You’ll Get a Great Money Market Rate and No Monthly Maintenance Fee.
Higher interest rates aren’t what they used to be. With all the talk about low interest rates, it’s tempting to start thinking that money you set aside in a money market or savings account is just withering away. But financial experts are quick to say that’s simply not true: “It’s easy for people to get impatient in a low-rate environment and think they are losing traction because of inflation,” Chris Long, CFP, of Long Financial Planning in Chicago, told Ally Bank in an interview. “But we know that the biggest long-term predictor of financial success is the amount you save regularly, not how well your investments do.”
Money set aside in a money market or savings account often is serving several purposes. If it’s part of your emergency savings fund, which experts suggest should be between three and 12 months of your monthly living expenses, it generates peace of mind and confidence. Your money market or savings account also is earning interest—which helps your balance grow. Want to see how it works? Check out an online compounding calculator like this one from bankrate.com. Or take a look at this example:
- Let’s say your goal is to save $10,000 towards a new car, and you plan to set aside $500 per month to achieve that.
- After 20 months of saving in a non-interest bearing account, like some checking accounts, you’ll have reached exactly $10,000.
- But if you had been saving in a money market account earning an APY of 1 percent that compounds daily you’d have saved $10,088. Nearly $100 more for the same effort from you.
When you choose the Ally Bank Money Market Account, you get a variable money market rate that’s consistently among the most competitive in the country according to rates published by Bankrate.com, with no monthly maintenance fees. You get free standard checks and a debit card for convenient access to your money. You can use any Allpoint no-fee ATM—plus receive up to $10 reimbursement for fees charged at other ATMs nationwide each statement cycle.
Visit Ally.com or call live, 24/7 customer support at 877-247-ALLY (2559) today.
Ally Bank, member FDIC