Federal Reserve cuts have caused drop in money market account rates, but some high-yield options available.

From Yahoo Finance: 2025-04-06 06:00:00

The Federal Reserve has cut its target rate three times in 2024, causing deposit rates like money market accounts to drop. The national average money market account rate is currently 0.64%, but some top accounts offer rates of 4% APY and higher. TotalBank is currently offering the best money market account rate at 4.47% APY with a $25,000 minimum deposit.

The amount of interest you can earn from a money market account depends on the annual percentage rate (APY). For example, with $1,000 in an MMA at 0.64%, you’d earn $6.42 in interest after one year. But with a high-yield account at 4%, you’d earn $40.81 in interest. Depositing more money in an account can increase your potential earnings significantly.



Read more at Yahoo Finance: Money market account rates today, April 6, 2025 (best account provides 4.47% APY)