If you’re looking to give your savings a boost, a money market account is a great option. If you’re like many people, however, you may not be familiar with what a money market account is, how it can benefit you, or how to open one.
We cover all of this and more below.
What is a Money Market Account?
A money market account is an account that’s designed to help you increase your savings. You can earn greater dividends than you would using a traditional savings account.
A higher dividend rate helps you reach your savings goals faster. You can also get peace of mind. If an unexpected expense arises, you'll have the cash to cover it, rather than needing to take on new or additional debt.
What Can I Use a Money Market Account For?
You can use a money market account to save for any of your financial goals. Many of our members use their money market accounts as a holding place for their emergency funds, while others use them to set aside savings for a large purchase or a down payment on a home or car. There are also many people who use money market accounts to pad their retirement savings, while keeping their money in a liquid, accessible state.
Our money market accounts give you easy access to your cash, making them a flexible savings option for any of your financial goals.
How Do I Open a Money Market Account with PSECU?
Opening a money market account with us is easy!
If you’re already a member, it just takes a few simple steps:
- Log into digital banking.
- Open the Menu in the top left corner.
- Select Add a Product under Accounts, and follow the prompts on the screen.
If you’re not a member, you're likely eligible to join. Then, you can follow the steps above.
What is the Minimum Balance Requirement for a Money Market Account?
The minimum balance required for a money market account can vary between financial institutions. However, we aim to make these accounts and their benefits accessible to as many members as possible by setting a low minimum balance requirement of just $500 to earn dividends.
What is the Dividend Rate on a Money Market Account?
The dividends you earn from a money market account will vary by financial institution. We offer a tiered dividend structure, which means that the more you save, the more you can earn. You can learn more about our tiers and current dividend rates here.
Can I Access My Money While It’s in a Money Market Account?
Yes! One of the biggest perks of our money market accounts is that you maintain 24/7 access to your cash through our digital banking channels. Plus, there are no withdrawal or transfer restrictions.
How Do I Move Money into My Money Market Account from My Other PSECU accounts?
If you want to move money into your PSECU money market account from your other PSECU accounts, it’s easy! Simply log into your account, select Transfer, and follow the prompts on the screen.
How Do I Move Money into My Money Market Account from an External Account?
If you want to move money into your PSECU money market account from an account at another financial institution, you’ll need to first set up the external transfer capability. Have your routing and account numbers from your other financial institution(s) handy and then follow the simple steps below.
- Once logged into your account, go to the Transfer area, select External Accounts, and then select Add External Account. Enter the other financial institution’s routing number, your account number, and the type of account. PSECU will send a small amount of money to the other financial institution to begin the verification process. It can take up to three business days for you to see the small deposit in the account you have at your other financial institution.
- Once the small deposit is in your account at your other financial institution, you’ll need to verify the deposit and enter that amount by selecting the Verify Account button in the external account details section.
- After you’ve successfully verified the small deposit, you may go to the Transfers area and schedule an external account transfer. Once you add your external account and complete the verification process, you won’t need to do it again unless you remove the external account and want to add it again.
How Do I Make the Most of a Money Market Account?
There are many things you can do to maximize your savings in a money market account. Our top three suggestions are below.
- Automate your savings. Have a portion of your direct deposit(s) transferred directly to your money market account each month.
- Move funds from other accounts. Not happy with the dividends you're earning at another financial institution? Move your money to PSECU and then transfer it into your money market account to increase your savings.
- Set a goal to reach the next tier. Having a clear vision of what you want to achieve can help you stay on track. Map out your path to your savings goal – whether you're building an emergency fund, saving for a large purchase or a home down payment, or planning for retirement.
Launch Your Savings with a Money Market Account Today
Are you ready to give your savings a boost? Open a money market account, or increase your balance in your existing one, to launch your savings today.
For more tips on how to increase your savings, visit the Savings section of our blog.
