LIFamilies.com - Long Island, NY


RSS
Articles Business Directory Blog Real Estate Community Forum Shop My Family Contests

Log In Chat Index Search Rules Lingo Create Account

Quick navigation:   

what exactly is a money market account?

Posted By Message

hunnybunnyxoxo
this is what it's all about

Member since 11/07

3321 total posts

Name:
Lisa

what exactly is a money market account?

how does it work? what is it?
thanks!!

Posted 10/16/08 3:50 PM
 
Long Island Weddings
Long Island's Largest Bridal Resource

CookiePuss
Cake from Outer Space!

Member since 5/05

13794 total posts

Name:

Re: what exactly is a money market account?

You don't even know what a loaded question this is...

"Money Market

A segment of the financial market in which financial instruments with high liquidity and very short maturities are traded. The money market is used by participants as a means for borrowing and lending in the short term, from several days to just under a year. Money market securities consist of negotiable certificates of deposit (CDs), bankers acceptances, U.S. Treasury bills, commercial paper, municipal notes, federal funds and repurchase agreements (repos).

The money market is used by a wide array of participants, from a company raising money by selling commercial paper into the market to an investor purchasing CDs as a safe place to park money in the short term. The money market is typically seen as a safe place to put money due the highly liquid nature of the securities and short maturities, but there are risks in the market that any investor needs to be aware of including the risk of default on securities such as commercial paper. "

Posted 10/16/08 3:52 PM
 

neenie

Member since 5/05

22351 total posts

Name:

Re: what exactly is a money market account?

I think its like a higher interest savings account (the one i have has like a 1.97% interest rate). I dont know if there's more to it though- i use it basically as a holding account for my stock investments.

Posted 10/16/08 3:55 PM
 

Jenn627
Laaaaaaaambert!

Member since 5/08

9813 total posts

Name:
Jenn

Re: what exactly is a money market account?

You're also limited in the amount of withdrawals you do in a month...

For instance I believe in my money market account - I'm only allowed to make 3 withdrawals per month...


It's a higher interest savings account / less restrictive than a CD.

Posted 10/16/08 4:32 PM
 

hunnybunnyxoxo
this is what it's all about

Member since 11/07

3321 total posts

Name:
Lisa

Re: what exactly is a money market account?

so it works like a savings.. you are limited to withdrawals.. and they give you a higer interest rate b.c the bank is investing your money
- but aren't all banks doing that? investing your money..

anyhow, so what is the best bank for money market accounts?

thanks again!! i am trying to peace this all together!!

Posted 10/16/08 4:56 PM
 

neenie

Member since 5/05

22351 total posts

Name:

Re: what exactly is a money market account?

there are some savings accounts that are offering much higher interest rates than the MM accounts, and with fewer restrictions- that may be worth looking into.

What are you looking for in a MM account (meaning, why that over a high interest savings account)?

I dont keep much in my MM account- just transfer funds into it that i'm intending to use to buy shares (its with the same company). Most of our $$ (thats not invested) is in a high interest savings account.

Posted 10/17/08 2:19 AM
 
 

Potentially Related Topics:

Topic Posted By Started Replies Forum
Money Market Acct or Savings?? KPtoys 6/9/08 13 Families Helping Families ™
Question about IngDirect & Money Market (Credit Union) hazeleyes33 2/12/08 9 Families Helping Families ™
best money market accounts Kara 12/31/07 3 Families Helping Families ™
The money your DC has in their savings account? JerseyMamaOf3 3/10/08 5 Parenting
If you had money in a savings account.... BunnyBaby 11/29/07 40 Families Helping Families ™
Who knew 7-11 was a "meet" market? (Unnecessarily long account of today's coffee experience) Goldi0218 11/15/07 26 Families Helping Families ™
 
Quick navigation:   
Currently 144370 users on the LIFamilies.com Chat
New Businesses
1 More Rep
Carleton Hall of East Islip
J&A Building Services
LaraMae Health Coaching
Sonic Wellness
Julbaby Photography LLC
Ideal Uniforms
Teresa Geraghty Photography
Camelot Dream Homes
Long Island Wedding Boutique
MB Febus- Rodan & Fields
Camp Harbor
Market America-Shop.com
ACM Basement Waterproofing
Travel Tom

      Follow LIWeddings on Facebook

      Follow LIFamilies on Twitter
Long Island Bridal Shows