In honor of Memorial Day, all Utah First branches will be closed on Monday, May 27, 2019. Online & Mobile Banking and our ATMs will be available for your convenience.
67_3-benefits-of-a-money-market-account

3 Benefits of a Money Market Account

A savings account should offer three key benefits: security, accessibility, and a good interest rate. But not all savings plans check all three boxes. For example, you could put money under your mattress where it’s readily accessible, but not exactly secure. And it’s certainly not earning any interest. Or, you could put your money in a traditional savings account where you’ll get increased security without sacrificing much convenience. But your interest rate won’t improve a lot either. A money market account, on the other hand, offers an intriguing balance between each of the three savings benefits. You get security and accessibility with the best money market rates you can find.

Security

As far as security is concerned, a money market account is similar to a normal checking account. That means your deposits will be federally insured up to an amount specified by the terms of your account. So, it’s a no risk savings option just like a traditional savings account with a credit union or bank.

Accessibility

The tradeoff with some high-interest savings and investment options is that you can’t withdraw your money without penalties. But with a money market account, you have easy access to your funds. Most accounts will let you make unlimited deposits and limit withdrawals to a certain number (usually six) per month.

Interest Rate

One of the best reasons to open a money market account is to get a higher interest rate on your deposits. Interest rates on money market accounts usually fall somewhere in between a traditional savings account and a certificate of deposit (CD). Again, a money market account hits the sweet spot, giving you better interest rate than a savings account with more flexibility than a CD.

If you’re looking to get a little of every benefit (security, accessibility, and interest rate) from your savings plan, consider opening a money market account. It’s a great way to save for large, infrequent purchases. And it might just be the smartest, most balanced way to save your money.

News & Events
Apr 30, 2019 / Money Tips

Life is all about finding the right fit. It’s true for friends, careers, communities, and even your financial goals. When you find the right fit for saving money, your financial goals can become realities. And at Utah First, it’s our job to help you find the best savings account for...

Apr 01, 2019 / Home Equity

A home equity line of credit is a versatile loan that can be used for just about anything. But because it involves borrowing money against your home’s equity, there are a few preferred ways to use your HELOC. Here are 4 wise ways to use your home equity line of credit. 1. Home...

Mar 21, 2019 / Money Tips

Being smart with your savings is the first rule of finance. But saving money is much easier said than done. With so many demands on your dollars, even before your paycheck comes in, savings can sometimes feel like an afterthought. Unfortunately, this is a backwards way of building wealth....

Corporate
200 E South Temple
Salt Lake City, Utah 84111
800-234-0729
Monday - Friday: 9:00 am - 5:30 pm
View In Google Maps
Routing & Transit Number: 324079500
NMLS # 446035

Utah First Federal Credit Union is federally insured
by the National Credit Union Administration.