What is the difference between money market accounts and a money market mutual funds?
Money market accounts are savings accounts which earn interest and are made available by financial institutions that are FDIC insured. These money market accounts have limitations regarding transactions. Generally speaking, you are allotted at most five to six withdrawals or transfers a month. Financial institutions pay a higher interest rate to money market accounts than a savings account. Often you will find money market accounts that require a minimum deposit or balance.
