Premium Money Market Accounts
Premium money market accounts are generally offer higher rates in return for a higher minimum balance versus regular money market accounts. Or, they can be part of a relationship package. For instance, if a consumer opens a certain type of checking account and maintains a minimum balance in it, they may quality for a premium money market account also.
Often, premium money markets have higher rates but that is not always the case. Other than a higher rate and more selective opening criteria, there is no difference between a premium and regular money market account. Like a regular money market, Premium MMs are FDIC insured.
Consumers should choose a premium money market account if they are willing to deposit the minimum balance requirement or fulfill the other conditions of the account and the account pays a higher rate than other savings accounts or regular money market accounts available.
· Higher interest rate than a savings or regular money market account, usually.
· Other advantages are the same as a regular money market account.
· May require a higher minimum balance than a regular money market or savings account or come with other requirements.
· Other disadvantages are the same as a regular money market account.
To see how this account compares to other similar types of investments, please view the BestCashCow income guide. View it here.