Discover Bank Money Market vs Savings
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Discover® Bank boasts solid rates for both their money market and savings accounts. Find out which one is more suited for you.
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A Discover® Money Market account makes your cash more accessible through ATMs. While a Discover® Savings Account lets you focus on saving since you get no debit card.
Although both accounts offer competitive APY rates, there is a better option depending on your goals.
You can open the right account after reading this review. Read on.
Online Savings Account - Earn 4.25% APY
- No fees
- No minimum opening deposit
- No minimum balance required
Discover® Money Market Account vs Online Savings
Here's what you can get with the two account types:
- Discover® Money Market Account: has an APY of 4.00% for balances under $100,000; 4.05% for balances $100,000 and over. But a minimum opening deposit of $2,500 is required. Find out more.
- Discover® Online Savings: offers a 4.25% APY on all balances. There is no minimum opening deposit requirement. Find out more.
Interest earned in both accounts is compounded daily and credited monthly.[1][2]
| | |
| Get Deal | Get Deal | |
Money Market Account | Online Savings Account - Earn 4.25% APY | |
|---|---|---|
Money Market Account - | Online Savings Account - Earn 4.25% APY - | |
| Monthly Fee | ||
| APY | 4.00% for balances under $100,000; 4.05% for balances $100,000 and over | |
| Minimum Deposit to Open | ||
| Balance Requirement | ||
| Get Deal | Get Deal |
High-Yield Savings Premier - 5.36% APY
- No account activity or maintenance fees
- $500 minimum opening deposit
- FDIC insured
Yes, Discover is safe. They are a member of the FDIC (Certificate #5649) which means deposits are insured up to $250,000 per depositor, per ownership category.
Which Account Is Best for You?
Both Discover Money Market and Discover Online Savings will help you boost your funds through good rates. But here's how you can make a choice:
- Choose Discover Money Market: if you want easy access to your funds. It comes with a debit card for withdrawing money at ATMs across the U.S.
It's also a suitable option if you have $2,500 ready for the minimum deposit.
- Choose Discover® Online Savings: if you're focused on earning a high APY. No need to worry about initial deposits or maintaining a certain balance.
Why Choose Discover Money Market
Discover Money Market has an APY of 4.00% for balances under $100,000; 4.05% for balances $100,000 and over. It has no monthly maintenance fees, excessive withdrawal charges, or fees for insufficient funds.
Note that a minimum opening deposit of $2,500 is required. But if you already have a large amount of money, you can easily meet the initial deposit requirement with this account.
You also get a complimentary debit card with access to 60,000+ ATMs nationwide. This makes it easy to cash out. But you can also transact remotely through their online banking platform.
Learn more about Discover Money Market accounts.
Money Market Account
- Earn 4.00% APY for balances under $100,000
- Earn 4.05% APY for balances $100,000 and over
Pros
- Up to 4.00% for balances under $100,000; 4.05% for balances $100,000 and over
- $0 monthly maintenance fees
- No minimum balance required
- No excessive withdrawal fees
- Interest compounded daily
- Complimentary debit card
- Access to 60,000+ ATMs
- Check-writing abilities
Cons
- No physical locations
- $2,500 minimum opening deposit
- $30 outgoing wire transfer fee[3]
- Possible fee for use of non-Discover ATMs
Why Choose Discover® Online Savings
Discover Online Savings offers a 4.25% APY on all balances. It has no opening deposit, no balance requirement, and no maintenance fees. You also won't get charged for excessive withdrawals and insufficient funds.
It's a great choice for people who don't need regular access to their money. It doesn't come with a debit card, so you can prioritize saving rather than spending.
Learn more about Discover® Online Savings accounts.
Online Savings Account - Earn 4.25% APY
- No fees
- No minimum opening deposit
- No minimum balance required
Pros
- Good 4.25% APY on all balances
- No monthly maintenance fees
- No initial deposit or balance requirement
- Interest compounded daily
Cons
- No physical locations
- No debit card and ATM access
- $30 outgoing wire transfer fee
There is a limit of 6 withdrawals or transfers per month for both money market and savings accounts.[4] However, this is currently not being enforced due to changes in federal law.[5]
- Western Alliance Bank:
High-Yield Savings Premier - 5.36% APY - CIT Bank Platinum Savings:
5.05% APY - UFB Secure Savings:
Earn up to 5.25% APY - CloudBank 24/7:
High Yield Savings Account - 5.24% APY - Customers Bank:
High-Yield Savings Account - 5.11% APY - Nelnet Bank:
High-Yield Savings Account - 5.22% APY - RBMAX:
High-Yield Savings Account - 5.15% APY - Mission Valley Bank:
High Yield Savings Account - 5.12% APY - Quontic:
High Yield Savings - 4.50% APY - Adda Bank:
High Yield Savings Account - 4.90% APY
Bottom Line
Discover's Money Market and Online Savings accounts are both great options for you to increase your funds.
If you prefer having easy access to your money, opening a Discover Money Market account is your best bet. Just be ready to make an initial deposit of $2,500.
Meanwhile, if you want to earn a high APY without any deposit or balance requirements, choose a Discover Online Savings account. It's a good place to make your money work hard!
References
- ^ Discover. Online Savings Interest, Retrieved 9/26/23
- ^ Discover. Interest/APY, Retrieved 9/26/23
- ^ Discover. What fees and service charges are associated with my Money Market Account?, Retrieved 9/26/23
- ^ Federal Reserve Board. Regulation D Reserve Requirements, Retrieved 9/14/2023
- ^ Federal Reserve Board. Federal Reserve Board announces interim final rule to delete the six-per-month limit, Retrieved 9/14/2023
Online Savings Account - Earn 4.25% APY
- No fees
- No minimum opening deposit
- No minimum balance required
Chase Total Checking® - $300 Bonus
- New Chase checking customers enjoy a $300 bonus when you open a Chase Total Checking® account with qualifying activities
- Access to more than 15,000 Chase ATMs and more than 4,700 branches
- Chase Mobile® app - Manage your accounts, deposit checks, transfer money and more -- all from your device.
- JPMorgan Chase Bank, N.A. Member FDIC
- Open your account online now
- Available online nationwide except in Alaska, Hawaii and Puerto Rico. For branch locations, visit locator.chase.com.
- Chase Overdraft Assist℠ - no overdraft fees if you're overdrawn by $50 or less at the end of the business day or if you're overdrawn by more than $50 and bring your account balance to overdrawn by $50 or less at the end of the next business day*
Bank of America Advantage Banking - $200 Bonus Offer
- The $200 bonus offer is an online only offer and must be opened through the Bank of America promotional page.
- The offer is for new checking customers only.
- Offer expires 5/31/2024.
- To qualify, open a Bank of America Advantage Banking account through the promotional page and set up and receive qualifying direct deposits totaling $2,000 or more into that new account within 90 days of opening.
- Bank of America will attempt to pay bonus within 60 days.
- Additional terms and conditions apply. See offer page for more details.
- Bank of America, N.A. Member FDIC.
U.S. Bank Smartly® Checking and Standard Savings - Up to $700 Bonus
Earn up to $500 with a new Bank Smartly Checking account. Complete the following within 90 days of account opening:
- Enroll in online banking or the U.S. Bank Mobile App
- Make two or more direct deposit(s) totaling $3,000 to $4,999.99 to earn $100, $5,000 to $9,999.99 to earn $300 or $10,000 or more to earn $500
Earn up to $200 with a new Standard Savings account.
- Make new money deposit(s) totaling $15,000 or more by July 17, 2024
- Maintain that balance until October 31, 2024
Offer may not be available if you live outside of the U.S. Bank footprint or are not an existing client of U.S. Bank or State Farm.
CIT Bank Platinum Savings - 5.05% APY
- 5.05% APY with a balance of $5,000 or more
- 0.25% APY with a balance of less than $5,000
- $100 minimum opening deposit
- No monthly maintenance fee
- Member FDIC
Write to Darlene Santos at feedback@creditdonkey.com. Follow us on Twitter and Facebook for our latest posts.
Note: This website is made possible through financial relationships with some of the products and services mentioned on this site. We may receive compensation if you shop through links in our content. You do not have to use our links, but you help support CreditDonkey if you do.
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