How to Find Information on Money Market Accounts

Investing in a money market account is relatively safe. It works like a savings account, usually with a higher minimum deposit. Money market accounts are like IOU's issued by the U.S. government or by large corporations. Because they are short-term investments, your money stays liquid. Follow these steps to learn more about them.

Instructions

Difficulty: Moderate

Steps for Finding Information On Money Markets

1. Calculate how much you can invest. Some money market accounts require a minimum deposit of $10,000.
2. Research money market rates online. Money-rates.com has a great comparison chart of money market rates, yields, minimum deposit and other information.
3. Identify which banks offer the best interest rates for the amount you can invest.
4. Research those banks online. Request information from those you're interested in investing in.
5. Read through the information on their money market programs. Note deposit and withdrawal limitations as well as minimum balances and fees. Compare the features of their accounts. Determine which one works best for you.

What to Look For:

• http://www.money-rates.com

Tips & Warnings

• Shop around for the best rates.
• Start looking at money market options at your own bank.
• Look for interest deals and program bonuses for opening a money market account. For example, some banks offer discounted brokerage fees for clients that open a money market as well as another account.
• Read through the rules and restrictions before you open it. Don't be surprised later! Understand the fees and restrictions on withdrawing your money. How is interest calculated?