A money market savings account is a type of savings account that is offered by banks and other financial institutions.
It is similar to a traditional savings account but with some important differences.
One of the biggest differences is that money market savings accounts typically offer higher interest rates than traditional savings accounts.
This is because the funds deposited into a money market savings account are used to invest in low-risk securities, such as Treasury bills and short-term corporate bonds.
The interest earned on these investments is passed on to the account holders in the form of higher interest rates.
Another difference between money market savings accounts and traditional savings accounts is the minimum balance required to open the account.
Money market savings accounts typically require a higher minimum balance than traditional savings accounts.
This is because the funds deposited into a money market savings account are used for investing