NerdWallet’s Picks for Money Market Accounts at Community Banks

by  on JANUARY 22, 2013

Do you ever find yourself wondering what a money market account is? It’s okay to ask. Money Market accounts are special deposit accounts that offer high interest for your money and usually limit withdrawals. The advantage to choosing money market accounts at community banks is that they can offer you great interest rates and community banks tend to invest in local small businesses. Money market accounts typically require a higher minimum balance to avoid fees, but money market accounts have an advantage over savings accounts in that their rates perform better. So, if you’re the kind of person who has a lot of money to deposit and you can maintain a high account balance month to month without needing to access your account everyday, money market accounts are a good bet for earning good interest on your savings.

First Community Bank (Columbus, OH)

With the HIFI Money Market account at First Community Bank, higher balances automatically earn interest that is compounded daily. Tiered interest is based on your balance, so you could earn up to 0.50% APY, and even if you only have one cent in your account, you still earn interest. You must maintain $1,000 in your account to avoid a $5 monthly fee, but with the HIFI Money Market account, you get unlimited bank cash withdrawals, free Internet banking and e-statements, and you can write up to 3 checks and get 5 cashier’s checks a month. Check out the HIFI Money Market account at First Community Bank locations in Columbus, Whitehall and Sedalia, Ohio. Accounts are available to anyone in the immediate market area.

Horizon Community Bank (Lake Havasu, AZ)

The Money Market Account at Horizon Community Bank offers interest compounded and credited monthly. Transfers are limited to 6 transfers or checks per statement cycle, and you must maintain a $2,000 monthly balance to have the $9 service charge waived. If you stay within the guidelines, you’ll have access to a personalized, rewarding account. Your statements are delivered electronically as e-statements so you can avoid pesky paper pileups. Horizon Community Bank has branches in Lake Havasu, Parker, Quartzsite and Fort Mohave, Arizona.

Mission Community Bank (San Luis Obispo, CA)

Mission Community Bank, with branches in San Luis Obispo, Atascadero, Paso Robles, Santa Maria and Arroyo Grande, has two money market accounts: Mission Money Market and Community Club Money Market. The Mission Money Market account is available for $100 to open and earns interest with limited check writing. A $2,500 balance is required to avoid an $8 monthly service charge. Transfers from a Mission Money Market or Community Club Money Market account to another account, or to third parties, are limited to 6 per month. Deposits and over-the-counter withdrawals are unlimited. The Community Club Money Market Account is available with a $10,000 opening deposit and requires a daily balance of $25,000 to avoid service fees. Both accounts have free online banking and free monthly e-statements.

Citizens Union Bank (Shelbyville, KY)

Citizens Union Bank, or CUB for short, is trying to make a difference in its customers’ lives. Their CUB Money Market Deposit Checking offers more flexibility than any CD, and its easy withdrawals and competitive interest rates make it a good option for your savings. The account is $2,500 to open, and you’ll earn better interest rates for higher balances. You get 6 withdrawals a month, so stay within those requirements and you will see your savings grow. With convenient online statements and CUB phone access, there’s no reason you shouldn’t check out CUB Money Market deposit checking at one of CUB’s 15 branches in North and North Central Kentucky.

Independence Bank (Owensboro, KY)

Independence Bank encourages you to “Follow the Revolution” and “Let Freedom Ring” by checking out theirmoney market accounts. These accounts are great for people who are looking to make limited withdrawals and who want to see that their savings are safe and growing. Independence Bank’s standard money market account offers competitive interest and 6 withdrawals a month, but the NOW account lets you make more withdrawals while still earning interest. With 11 locations in Kentucky, make sure you check out the Independence Bank nearest you.

Community Bank of the Cumberlands (Jamestown, TN)

Money Market Checking at Community Bank of the Cumberlands is designed for the big saver who likes to earn daily interest that rises as more money is deposited into the account. Deposits and over-the-counter withdrawals are unlimited, and you get 6 checks per month, 3 of which can involve a third party. You’ll need $2,500 to open and maintain the account to avoid a $10 monthly fee, and you get secure online access to your account and statements. Community Bank of the Cumberlands has locations in Cookeville and Jamestown, Tennessee.

i-bank (Memphis, TN)

Considered one of the nation’s top 100 banks by SNL Financial, i-bank (or Independent Bank) offers a greatMoney Market Savings account for people in the Memphis area. With just $100, you can start earning interest that is paid on daily collected balances, and tiered interest rates means that the more you have in your account the more you earn. You can make 6 withdrawals a month, and transfers made to one of i-bank’s loans are unlimited. To avoid a $15 monthly fee, you must maintain a $5,000 daily balance. i-bank has 10 locations in the Memphis area.

River City Bank (Sacramento, CA)

With 8 locations in the Sacramento area, River City Bank makes saving money in their Money Market Accountseasy and accessible. Perfect for people with $5,000 or more in savings, Money Market at River City Bank offers interest compounded daily and paid monthly with tiered interest rates. The $10 service charge is waived when you keep a $5,000 average daily balance. You get unlimited deposits, 6 withdrawals/transfers and 6 checks per month in addition to free online banking.

Capital Community Bank (Provo, UT)

Capital Community Bank offers you the chance to increase your savings while still accessing your money. TheMoney Market Account is only $25 to open and the $10 monthly service fee is waived if you maintain a $1,000 daily balance. The account gives you a free ATM/debit card, unlimited in-person and ATM withdrawals through the free MoneyPass Network and 6 third-party debits or transfers a month. Interest is compounded daily and paid monthly, and the more you put in your account, the better the rate. With branches in Orem, Provo, Salem and Pleasant Grove, Capital Community Bank is the best option for your money.

SharePlus Federal Bank (Plano, TX)

Offering two great options for saving, SharePlus Federal Bank is looking for people with significant savings who want to see their money grow. The Money Market Plus account offers interest when you maintain a balance of $2,500 or more and waives the $15 monthly fee for accounts with $5,000 or more. Not to mention, the account offers free online banking/bill pay, e-statements, account alerts and Money Link Sweep, which automatically sweeps idle funds from your checking account into your Money Market account to make sure you get the interest you deserve. The Platinum Money Market is a good option if you have $10,000 or more in savings. A $25,000 minimum daily balance erases the $25 service fee, but you only need $10,000 to earn interest. The Platinum account also gets the same free perks as Plus. Check out SharePlus Federal Bank’s two branches in Plano and Dallas to learn more.

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