Top 5 APY High Yield MMA Rates
Top 5 APY High Yield MMA Rates
The Federal Open Market Committee (FMOC) is responsible for setting federal funds rate which is an interest rate that institutions lend balances to the Federal Reserve and other institutions overnight. The current federal funds rate is below 0.25% (the lowest value according to their charts dating back to 1990).
The federal fund rate is one of the primary factors banking institutions use to determine the APY rate on many of their investment products. Even though the federal fund rate is below 0.25% there is still many good deals to be had for the average investor.
Here is a list of the top 5 MMA rates listed by in descending order. These rates are good as of Jan. 14th, 2009.
Lender: Dollar Savings Direct (New York, NY)
APY: 4.00%
Rate: 3.92%
Minimum Deposit: $1,000.00
Lender: Bank of Internet USA (San Diego, CA)
APY: 3.51%
Rate: 3.45%
Minimum Deposit: $100.00
Lender: Venture Bank Direct (Dupont, WA)
APY: 3.50%
Rate: 3.45%
Minimum Deposit: $1.00
Lender: GMAC Bank (Midvale, UT)
APY: 3.25%
Rate: 3.20%
Minimum Deposit: $1.00
Lender: Goldwater Bank (Scottsdale, AZ)
APY: 3.10%
Rate: 3.06%
Minimum Deposit: $1,500.00
I hope this list helps. While all of these institutions are FDIC insured, they are not all equal. For instance, the only bank I the above list that is above a 3 star rating is GMAC Bank. While the bank with the highest rate (Dollar Savings Direct) only has a 1 star rating.