MONEY MARKET ACCOUNT FAQ

• How does a Money Market Account work?

  A Money Market account offers easier access to your funds than a certificate of deposit (CD) Account while generally offering higher rates than a regular savings account.

  Here's what you need to know:

  • There are no minimum deposit requirements or minimum balance requirements.
  • Tiered rates mean you earn higher interest rates when your balance reaches $2,500, $20,000, $50,000, $100,000, and $250,000.
  • A Money Market is considered a deposit account because you can make ongoing contributions with no restrictions.
  • Make up to six electronic withdrawals each month using Online and Mobile Banking or through an automatic transfer to pay a bill.
  • Make additional withdrawals at a branch, via ATM transfer, or over the phone.
  • These withdrawal restrictions make a Money Market Account ideal for an emergency fund or to cover one particular bill each month, like your mortgage.

• Is a Money Market Account a good idea?

  Here are a few points to help you decide if a Money Market Account is the best option for you or if another type of account might meet your needs better.

  • A Money Market Account is a good idea if you plan to make regular deposits so your savings grows faster and you can earn higher rates.
  • Your Money Market funds are insured by the National Credit Union Administration (NCUA) up to $250,000, so your money will be more secure than investing in the stock markets.
  • Money Markets are not a good idea if you need to make regular, ongoing withdrawals because there are federal restrictions on how many electronic withdrawals you can make per month.
  • If you need to use your account regularly to pay bills and make purchases, a checking account will be better.
  • If you have at least $500 and don't need your funds for some time, you may prefer to open a Certificate and earn higher rates for longer terms.
  • Treasury Bills may offer higher rates than a Money Market Account, but the bills don't pay interest until you reach the end of your chosen maturity period.
  • If you're saving for your future, you might want to explore the benefits and tax advantages of an IRA, even if you already have a workplace retirement plan like a 401(k).

  When it comes to Money Market Accounts vs. Savings Accounts, the choice is yours. In general, a Money Market Account is designed to encourage you to save more aggressively and achieve a higher balance, while a savings account is ideal for establishing good savings habits.

• Do I need to join Wasatch Peaks Credit Union to open a Flex CD?

  Yes, you need to join the credit union, and becoming a member is easy! You simply need to meet these criteria to become a part-owner of our financial institution:

  • You are an immediate family member of an existing member-owner, such as a parent, child, brother, sister, spouse, or surviving spouse.
  • You live, work, worship or attend school in Weber, Morgan, or Davis Counties in Utah.