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The Average Money Market Rate Is Only 0.63%—Here’s Why September Is a Good Time to Check Your Account

September 10, 2026 by Brandon Marcus Leave a Comment

A money market account paying 0.63% might sound like a perfectly respectable place to park cash until the math gets involved. At that rate, $10,000 earns roughly $63 over a year before taxes, assuming the balance stays put and the rate remains unchanged. The national average for money market deposit accounts sits at 0.63%, according to recent data tied to the FDIC’s national rate figures.

That number matters, but it does not tell the whole story. September offers a particularly useful moment to check a money market account because financial institutions continue to offer dramatically different yields, and some competitive accounts currently offer rates around 3% to 4% APY. A quick account review could reveal that the money sitting quietly in an old account has plenty of room to earn more.

The Average Rate Hides a Pretty Big Gap

The 0.63% figure represents a national average, not a recommendation for what a money market account should pay. Banks and credit unions can set their own rates, and the difference between an ordinary account and a competitive one can become surprisingly large. Current rate comparisons show some money market accounts offering roughly 3.50% to 4.00% APY, several times the national average. That makes the average useful as a benchmark, but not especially useful as a reason to settle.

Consider someone with $20,000 in cash earmarked for a home repair fund, emergency expenses, or another near-term goal. A 0.63% APY would produce about $126 over a year if the balance stayed constant, while a 4% APY would produce about $800 before taxes. The difference does not require a risky investment strategy, a stock-picking hobby or a financial wizard’s hat, just a different deposit account and a willingness to compare the terms.

September Makes a Good Account Checkpoint

September naturally creates a useful financial reset because summer spending has ended for many households and the final stretch of the year sits just ahead. That makes it a convenient time to review cash that has accumulated in checking, savings or an old money market account. A rate that looked competitive months ago may no longer look impressive today, especially when institutions adjust their yields as interest-rate conditions change. Money market rates can move, so an account that deserved a gold star last year may now deserve a polite side-eye.

The Federal Reserve also has a policy meeting scheduled for September 15 and 16, which adds another reason to pay attention to deposit rates this month. Federal Reserve decisions can influence the broader interest-rate environment, and banks can respond by changing what they pay on deposits. That does not mean anyone should try to predict the next rate move and rearrange every dollar accordingly. It simply means September provides a sensible excuse to check whether an account still earns a competitive return.

The Fine Print Deserves More Attention Than the Big APY

A higher APY looks great on a comparison chart, but the number alone cannot tell whether an account fits a particular household. Some money market accounts require minimum balances, impose fees or use rate tiers that reward larger balances. Others may offer conveniences such as debit-card access or check-writing features, which can make them more useful for money that needs occasional access.

Before moving money, check the account’s minimum balance, monthly fees, withdrawal rules, rate tiers and current APY. Also confirm whether the bank carries FDIC insurance or the credit union carries NCUA insurance, generally up to $250,000 per depositor at each insured institution for qualifying deposits. A flashy rate that disappears after a promotional period can look much less exciting once the promotion ends. The same goes for an account that charges a monthly fee large enough to nibble away at the interest. A few minutes with the account disclosure can prevent an unpleasant surprise later.

The Money Does Not Have to Stay in One Account Forever

A money market account can make sense when someone wants interest on cash without locking the money away in a CD. That flexibility can prove useful for an emergency fund, a major purchase planned within the next year or cash that needs to remain readily accessible. High-yield savings accounts can also offer competitive rates, so anyone comparing money market accounts should look beyond the name on the account and compare the actual APY and terms.

The important part involves matching the account to the job the money needs to perform. Cash needed next month should not chase a slightly higher yield at the expense of easy access, while cash sitting untouched for years may deserve a broader review of savings, CDs or other options. There is also no prize for loyalty to a bank that quietly pays less than its competitors. If another federally insured institution offers a substantially better rate with reasonable terms, moving some cash may make perfectly good financial sense.

Give That 0.63% Account a September Checkup

The 0.63% national average does not mean money market accounts have become useless, and it certainly does not mean every account paying around that rate needs an immediate exit. It does mean account holders have a useful benchmark for asking a simple question: Is this account still competitive? With some current money market accounts offering rates around 3% to 4%, the gap deserves attention.

September can turn that question into a quick financial housekeeping task. Pull up the account, check the current APY, read the fee schedule and compare a few alternatives before deciding whether to move anything. Even if the account remains the right choice, knowing what it pays removes the mystery. And if the rate has quietly fallen behind, a small banking chore could put considerably more of the household’s cash to work.

Would a higher money market rate make you consider moving your cash, or does convenience matter more when choosing where to keep savings?

$50,000 Sitting in Savings? Here’s What That Money May Be Costing You

August 25, 2026 by Brandon Marcus Leave a Comment

A $50,000 savings balance looks fantastic on a bank statement, and in many ways, it represents something worth celebrating: financial breathing room, an emergency cushion, and the ability to handle an unpleasant surprise without reaching for a credit card. But there is another side to that shiny number. If the money sits in an account paying little or no interest, the cash may quietly lose purchasing power while doing almost nothing besides taking up space.

That does not mean anyone should dump $50,000 into the stock market tomorrow morning and hope for the best. Cash has a job, and some jobs require cash. The trick involves figuring out how much money needs to stay immediately accessible, how much can earn more somewhere else and whether the current account actually pays enough to justify keeping such a large balance there.

A Big Savings Balance Can Have a Small Payoff

Consider two people with the same $50,000 sitting in savings. One checks the account occasionally, feels good about the balance, and never checks the interest rate. The other checks the rate, compares alternatives, and asks whether every dollar needs to remain in that particular account. That second person may discover that the biggest problem does not involve having too much cash, but having too much cash in the wrong place.

Savings accounts can serve an important purpose because they provide liquidity without exposing emergency money to stock-market swings. Still, convenience does not automatically make an account competitive. A bank may advertise a savings account prominently while paying a rate that barely moves the needle. When a substantial balance sits there for years, the opportunity cost can become much more interesting than the monthly statement suggests.

The First Question: How Much Cash Actually Needs to Stay Cash?

Before moving a dollar, figure out what the $50,000 needs to accomplish. An emergency fund, an upcoming home purchase, a planned tax payment or money earmarked for a major repair deserves different treatment from cash that has no specific purpose. Money needed within the near future generally deserves more protection from market volatility than money intended for a goal several years away.

That exercise can expose a surprisingly simple situation: the entire $50,000 may not need the same job. Perhaps part of it belongs in an easily accessible emergency fund while another portion can sit in a higher-yield savings account, money market deposit account or certificate of deposit, depending on the person’s timeline and need for access. The goal does not involve making cash disappear into complicated investments. The goal involves giving each chunk of money a purpose instead of letting the entire balance idle by default.

Check the Interest Rate Before Doing Anything Dramatic

The easiest place to start involves checking the account’s current annual percentage yield, or APY. Do not rely on what the account paid last year, what a bank representative mentioned months ago or what the account earned when interest rates looked completely different. Banks can change savings rates, and promotional rates can carry conditions or expiration dates.

Taxes matter, too. In the United States, the IRS generally treats interest from bank accounts as taxable income, even when the account simply credits the interest and the account holder does not spend it. That does not make interest a bad thing, of course. It simply means the comparison should focus on the after-tax result when two choices offer similar levels of safety and accessibility.

Safety Matters More Than Squeezing Out Every Last Dollar

A higher yield can look irresistible until the fine print enters the room wearing a tiny lawyer hat. Before moving a large balance, check whether the account carries federal deposit insurance, whether the advertised rate applies to the entire balance, and whether the institution imposes withdrawal restrictions, minimum balances, or other conditions. FDIC insurance generally protects eligible deposits at insured banks up to applicable limits, so account structure matters when someone keeps substantial cash at one institution.

Certificates of deposit can offer a predictable rate in exchange for locking money away for a set period, which can work nicely for cash that does not need instant access. Treasury securities can also serve certain cash-management goals, although they work differently from bank deposits and carry their own rules. The right choice depends less on chasing the highest number and more on matching the account or security with the money’s purpose.

Cash Has Another Cost: Lost Opportunity

Here comes the uncomfortable part. Money that sits in a very low-yield account cannot simultaneously earn a potentially higher return somewhere else. That does not guarantee that stocks, bonds, or other investments will outperform cash, because markets can fall and investments can lose value, but it does highlight the difference between protecting money and growing money.

Suppose $50,000 represents money that someone will not need for many years. Keeping every dollar in a low-interest savings account may offer plenty of emotional comfort while sacrificing potential long-term growth. A diversified investment strategy may make more sense for money with a long time horizon, while cash remains appropriate for emergencies and short-term goals. The key distinction involves time, not bravery.

The $50,000 Does Not Need One Single Job

The smartest move may involve dividing the money rather than choosing one winner. One portion can handle emergencies, another can cover a known expense, and another can pursue longer-term growth through an appropriate investment strategy. That approach can preserve liquidity without forcing every dollar into the same financial bucket.

A useful review starts with three questions: When will this money need to be available, how much loss could the account holder tolerate, and what return does the current account actually provide? Those answers can reveal whether the $50,000 belongs entirely in savings or deserves a more deliberate mix. There is no prize for making money complicated, and there is certainly no prize for taking unnecessary risk. But there is also little reason to let a large cash balance sit on autopilot forever.

Give Every Dollar a Job Before It Gets Comfortable

A $50,000 savings balance can represent security, flexibility, and a terrific financial foundation. It can also represent an opportunity cost if the money sits in an account that pays very little while the owner’s goals require something different. The answer does not involve blindly chasing yields or treating the stock market like a slot machine. It involves reviewing the cash, checking the rate, considering taxes and insurance, and matching each dollar with the job it needs to perform.

That small review can turn a passive pile of cash into an intentional financial plan. The money can remain safe where safety matters, stay accessible where accessibility matters, and pursue growth where the timeline allows it. In other words, $50,000 does not need to sit quietly in the corner just because it feels comforting there. It can work without putting the whole financial house at risk.

Could your current savings account be doing more for your $50,000, or do you prefer keeping the money completely liquid?

The $100,000 Cash Problem: When Keeping Too Much Money “Safe” Creates a Different Kind of Risk

August 22, 2026 by Brandon Marcus Leave a Comment

A six-figure cash balance can feel like the financial equivalent of a fortress. The money sits there, untouched, ready for an emergency, a house purchase, a business opportunity, or simply the next expensive thing life decides to throw through the window. But once cash reaches $100,000, keeping every dollar parked in the same place can create a different kind of risk: the money may remain stable while its purchasing power and potential growth quietly slip away.

That does not mean anyone should rush out and invest every dollar in the stock market. Cash serves a valuable purpose, and plenty of people sleep better knowing they can cover a major expense without selling an investment at an inconvenient moment. The real question involves balance, because “safe” can describe what happens to the account balance while ignoring what happens to the money’s buying power, income potential, and overall role in a financial plan.

Cash Can Be Safe Without Being Completely Risk-Free

Cash has an obvious superpower: predictability. A dollar sitting in an FDIC-insured bank deposit does not suddenly become 80 cents because the stock market had a terrible Tuesday, and the owner can generally access the money without worrying about market timing. FDIC insurance generally covers eligible deposits up to $250,000 per depositor, per insured bank, for each ownership category, so a $100,000 deposit at an insured bank falls below the standard insurance limit.

That protection matters, but it does not make cash immune to every problem. Inflation can reduce what those dollars can buy, especially when a savings account pays little interest, and a large balance can tempt someone to treat every dollar as equally useful simply because every dollar looks identical on a statement. A person with $100,000 in cash therefore may have excellent short-term security while still carrying a long-term financial risk that never appears as a scary red number.

The Bigger Problem May Be What the Cash Isn’t Doing

Imagine someone keeps $100,000 in a savings account because a future home purchase might require a large down payment. That decision could make perfect sense if the purchase sits close on the horizon, because market volatility could create a nasty surprise just when the money needs to come out. The same strategy becomes harder to justify when the purchase remains a vague “someday” idea and the entire balance continues sitting in cash for years.

Money has jobs, and not every job requires the same tool. Emergency savings needs accessibility, while money earmarked for a near-term purchase needs stability, but money intended for a distant financial goal may have a different job entirely. Leaving long-term money in cash can create opportunity cost because the owner gives up the possibility of earning returns from investments that carry appropriate levels of risk, and that tradeoff can become increasingly important as the years pass.

The $100,000 May Need Several Different Jobs

One of the simplest ways to rethink a large cash balance involves separating the money according to purpose rather than treating the entire pile as one giant emergency fund. A household might keep readily accessible cash for genuine emergencies, reserve additional money for a known upcoming expense, and consider different options for money that does not need to support either job. That approach turns a vague question about whether $100,000 feels “safe” into a much more useful question about what each portion needs to accomplish.

The exact amounts depend on income, expenses, upcoming purchases, job stability, debt, taxes, and personal comfort with investment risk. Someone preparing to buy a home soon should not necessarily invest money earmarked for the closing table just because the stock market has historically offered stronger long-term growth potential. Someone who has already covered near-term needs, however, may want to examine whether a large idle cash balance actually belongs in a longer-term investment strategy rather than a savings account.

Where You Park the Money Matters More Than It Seems

“Cash” does not always mean one specific financial product, and that distinction can cause confusion. A money market deposit account at an FDIC-insured bank qualifies as a bank deposit within applicable insurance limits, while a money market fund represents a mutual fund and does not receive FDIC insurance.

Brokerage accounts create another wrinkle because firms may automatically move uninvested cash into bank sweep programs or other arrangements. A bank sweep can place cash into deposits at participating FDIC-insured banks, potentially extending FDIC coverage across multiple institutions, while cash placed into a money market fund follows different rules and risks. That makes the fine print surprisingly important, especially when a statement simply labels everything as “cash” and leaves the details hiding somewhere several clicks deep.

The Goal Isn’t to Make Every Dollar Take a Gamble

The solution to excessive cash does not involve turning a savings account into a casino. A better approach starts with identifying how much money genuinely needs immediate access, how much needs protection from near-term market swings, and how much can serve longer-term goals without creating financial panic when markets fluctuate.

Someone who feels nervous about investing a large lump sum can also take a measured approach rather than making a dramatic overnight move. The important step involves matching the financial tool to the job instead of assuming that maximum cash equals maximum financial safety. Cash can protect against one kind of risk while exposing a portfolio to another, and a sensible plan acknowledges both sides of that equation.

When “Safe” Starts Costing More Than It Protects

The most important question for a $100,000 cash balance is not whether the money feels safe. It is why every dollar needs to remain cash, what could happen if the money stayed there for years, and whether another account or investment could handle some of those jobs more effectively.

A large cash balance can represent excellent financial discipline, especially when it supports a clear purpose. It becomes a problem when fear turns temporary savings into permanent parking, leaving money stuck in neutral long after its original assignment disappears. The smartest move may not involve doing something dramatic at all, but simply giving each dollar a job, checking where that dollar sits, and making sure “safe” does not quietly become another word for “standing still.”

What do you think: How much cash feels like enough, and when does a large savings balance start to feel more like a missed opportunity than financial security?

I Saved $5,000 in Change — Then Found Out Banks Might Not Take It

April 28, 2026 by Brandon Marcus Leave a Comment

A jar of loose coins rarely gets much respect, but over time, it can quietly grow into something impressive. Many households toss spare quarters, dimes, and pennies into containers without thinking twice, only to discover years later that those coins add up to thousands of dollars. That kind of slow, steady accumulation feels almost effortless, which makes it one of the simplest saving habits around. The surprise doesn’t come from the saving itself—it comes at the moment someone tries to cash it in.

Banks, which seem like the obvious destination for turning coins into usable cash, don’t always welcome large quantities of change. Policies have shifted over the years, and not every branch handles coins the same way anymore. Some institutions have removed coin-counting machines entirely, while others charge fees or impose strict limits. That leaves savers stuck in an unexpected situation, holding onto a pile of money that suddenly feels harder to access than expected.

Why Some Banks Refuse Large Coin Deposits

Banks operate with efficiency in mind, and handling massive amounts of loose change disrupts that flow more than most people realize. Counting coins takes time, requires specialized machines, and demands extra labor from staff who already juggle multiple responsibilities. Many financial institutions decided the cost and hassle outweigh the benefits, especially as digital banking continues to dominate everyday transactions. As a result, some banks simply stopped offering coin-counting services altogether.

Even banks that still accept coins often impose conditions that frustrate customers. They may require coins to be rolled in specific denominations, limit how much can be deposited at once, or charge service fees that eat into savings. Credit unions sometimes offer better options, but policies vary widely depending on location and membership status. The end result feels ironic: someone can save diligently for years, only to face roadblocks when trying to use that money.

The Hidden Costs of Cashing In Coins

Turning coins into spendable cash doesn’t always come free, and those fees can add up quickly. Coin-counting machines found in grocery stores or retail locations often charge around 10% to 12% of the total amount. On a $5,000 stash, that means losing hundreds of dollars just to convert coins into bills or digital funds. That kind of loss stings, especially after years of careful saving.

Some services offer fee-free options, but they usually come with trade-offs. For example, certain machines provide store gift cards instead of cash, which limits how the money can be used. While that works for regular shoppers, it doesn’t help someone who needs flexibility. These hidden costs turn what seemed like a smart, painless saving method into a situation that requires strategy and planning.

Smart Ways to Convert Coins Without Losing Money

Avoiding unnecessary fees starts with exploring all available options before cashing in. Local banks and credit unions still offer free coin services in some cases, especially for account holders. Calling ahead can save time and prevent frustration, since policies vary widely between branches. Some institutions even provide coin-counting machines exclusively for members, making them a valuable resource for frequent savers.

Another effective approach involves rolling coins manually, even though it takes effort. Banks that don’t offer counting services often accept rolled coins without charging fees, provided they meet standard packaging requirements. This method requires patience, but it preserves the full value of the savings. For those with large amounts, spreading deposits over multiple visits can also help avoid limits or scrutiny.

Why Saving Change Still Works in a Digital World

Despite the challenges of cashing in, saving loose change remains a surprisingly powerful habit. It creates a form of “invisible saving” where small amounts accumulate without impacting daily budgets. People rarely miss a handful of coins, but over time, those small contributions grow into meaningful sums. That psychological advantage makes coin saving accessible to almost anyone, regardless of income level.

Digital tools may dominate modern finance, but physical cash still plays a role in building financial discipline. Dropping coins into a jar creates a tangible reminder of progress, which motivates continued saving. Unlike automated transfers, this method feels hands-on and rewarding. Even with the inconvenience of cashing in, the long-term benefits often outweigh the drawbacks.

Common Mistakes That Can Cost You Money

Many savers make avoidable mistakes when handling large coin collections, and those missteps can reduce the total value. Waiting too long to check bank policies often leads to last-minute scrambling and unnecessary fees. Assuming all banks offer the same services also creates frustration, since policies differ significantly between institutions. A little research early on can prevent these headaches.

Another common error involves overlooking damaged or foreign coins mixed into the collection. Coin-counting machines may reject these, slowing down the process or causing discrepancies. Sorting coins beforehand ensures a smoother experience and avoids confusion at the deposit stage. Small details like this make a big difference when dealing with large amounts of change.

The Real Lesson Behind a $5,000 Coin Surprise

Saving money doesn’t always follow a straight path, and even the simplest habits come with unexpected twists. A pile of coins may seem straightforward, but turning it into usable funds requires awareness and planning. Financial institutions continue to evolve, and their policies don’t always align with traditional saving methods. Staying informed helps avoid surprises and keeps hard-earned money intact.

What would happen if a hidden jar in your home turned into thousands of dollars tomorrow—would you know the best way to cash it in? Let’s chat about it below in our comments.

The Average Money Market Rate Is Only 0.63%—Here’s Why September Is a Good Time to Check Your Account

The Average Rate Hides a Pretty Big Gap

September Makes a Good Account Checkpoint

The Fine Print Deserves More Attention Than the Big APY

The Money Does Not Have to Stay in One Account Forever

Give That 0.63% Account a September Checkup

You May Also Like…

$50,000 Sitting in Savings? Here’s What That Money May Be Costing You

A Big Savings Balance Can Have a Small Payoff

The First Question: How Much Cash Actually Needs to Stay Cash?

Check the Interest Rate Before Doing Anything Dramatic

Safety Matters More Than Squeezing Out Every Last Dollar

Cash Has Another Cost: Lost Opportunity

The $50,000 Does Not Need One Single Job

Give Every Dollar a Job Before It Gets Comfortable

You May Also Like…

The $100,000 Cash Problem: When Keeping Too Much Money “Safe” Creates a Different Kind of Risk

Cash Can Be Safe Without Being Completely Risk-Free

The Bigger Problem May Be What the Cash Isn’t Doing

The $100,000 May Need Several Different Jobs

Where You Park the Money Matters More Than It Seems

The Goal Isn’t to Make Every Dollar Take a Gamble

When “Safe” Starts Costing More Than It Protects

You May Also Like…

I Saved $5,000 in Change — Then Found Out Banks Might Not Take It

Why Some Banks Refuse Large Coin Deposits

The Hidden Costs of Cashing In Coins

Smart Ways to Convert Coins Without Losing Money

Why Saving Change Still Works in a Digital World

Common Mistakes That Can Cost You Money

The Real Lesson Behind a $5,000 Coin Surprise

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