Latest news with #Forbes Advisor
Forbes
3 days ago
- Business
- Forbes
Money Market Interest Rates Today: August 8, 2025 - Earn Up To 4.35%
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations. The highest money market account rate available today is 4.35% Changes from the Fed or your bank can quickly change money market rates Online banks typically offer the most competitive yields on the market. As of today, the highest money market rate is 4.35%, compared to a national average rate of 0.52%, according to Curinos. Here are today's money market account rates: A money market account (MMA) is a type of interest-bearing deposit account offered by banks and credit unions that works like other savings accounts: You deposit money into the account and earn interest on your balance. You can withdraw funds whenever you need to, but you may be restricted to six transactions per statement period. Money market accounts typically pay higher interest rates than other deposit accounts, including traditional savings accounts. And unlike typical savings accounts, they often offer debit cards, check-writing capabilities or both, providing convenient access to cash. Money market accounts often have higher deposit and balance requirements than many bank accounts. MMAs at banks are insured by the Federal Deposit Insurance Corp. (FDIC), while MMAs at credit unions are insured by the National Credit Union Administration (NCUA). In both cases, depositors are covered for up to $250,000 per account type, protecting your money in the event of bank failure. To open a money market account , start by comparing the best yields on the market, but only include those accounts with minimum requirements you can meet. In addition to rates and minimums, consider account fees, withdrawal limits and other features to find the best fit. When you're ready to open an account, submit an application online or at a bank branch. The application will ask for personal information, including your name, address, Social Security number, employment status and income. You'll also need to provide a government-issued ID. Once your application is approved, you can make your first deposit. Be sure to transfer at least the minimum opening deposit required. Money market accounts work like savings accounts in some ways and like checking accounts in others. Both MMAs and savings accounts: Let you deposit funds as you please Earn interest on your savings Are highly liquid Are safe deposit accounts May have withdrawal restrictions, balance requirements and monthly fees Similar to checking accounts and unlike most savings, money market accounts: Can come with debit cards, checks or both Tend to have higher fees Tend to have deposit and balance requirements Frequently Asked Questions (FAQs) Money market rates are variable and can change when economic conditions change, such as when the Federal Reserve alters interest rates or due to circumstances at a specific bank. There is no set schedule for when or by how much MMA rates change, so be on the lookout for notifications from your financial institution. Banks set money market account rates. The specific rate offered by an institution reflects the general interest rate environment and the bank's economics. For instance, a new online-only financial institution may offer a high rate to gain customers, whereas an established bank could count on generations of depositors. You can use a money market account calculator to see how much interest you'll earn. The amount of interest you earn is determined by the principal amount you deposit, the interest rate offered by your bank and the amount of time you save.
Forbes
4 days ago
- Business
- Forbes
Credit Card Debt Is Surging: Smart Ways To Pay It Off Faster In 2025
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations. Americans now hold a record-high $1.21 trillion in credit card debt, according to new data from the Federal Reserve Bank of New York. In the second quarter of 2025 alone, balances surged by $27 billion, signaling growing financial strain for millions of households. While post-pandemic spending habits may explain some of the increase, high interest rates, inflation and stagnant wages are making it harder for many to keep up with revolving debt. With average APRs exceeding 24%, credit card interest has become more than just a budgeting nuisance—it's a long-term liability. Balance transfer credit cards and a strict plan to pay down your debt can be the solution. With inflation and the cost of everyday living stretching household budgets, rising credit card debt has become a consequence for many Americans. If life's financial pressures push you to rely on credit cards, it's crucial to understand the cost of carrying a balance. Even modest balances can snowball under today's high interest rates. For example, a $5,000 balance at a 24% annual percentage rate (APR) can cost around $1,200 a year in interest alone if you don't pay it down. If you're only making minimum payments each month, it could take years—or even a decade—to pay your debt off, depending on your card's terms. Read more: Credit Card Minimum Payment Calculator If your credit card debt has high interest, utilizing a card with a 0% introductory APR offer can help. These cards typically offer 12 to 21 months without interest, so your payments go toward shrinking what you owe instead of just covering interest and fees. It's like pressing pause on the interest piling up. But it's not magic—You still need to stick to a payoff plan and avoid making new charges while you're paying your debt off. Also, be mindful that most balance transfer credit cards charge an upfront balance transfer fee, usually 3% to 5% of the balance you are transferring. A 0% APR introductory card can give you some breathing room while you figure out your next move. One option is the Discover it® Cash Back , which offers a 0% introductory APR for 15 months on purchases and eligible balance transfers. Then, a standard rate of 18.24% to 27.24% variable applies. A balance transfer fee of up to 5% of the amount transferred applies. If you can pay off your debt within the intro period, a card like this can be a tool to avoid interest from piling up. INTRO OFFER: Unlimited Cashback Match for all new cardmembers–only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year! There's no minimum spending or maximum rewards. You could turn $150 cash back into $300. Credit Score ranges are based on FICO® credit scoring. This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed. If you're considering a balance transfer credit card , here's how to approach using it strategically: Know your debt. Add up your credit card balances and determine which cards have the highest interest rates—the debt costing you the most. Check your credit. Most cards with 0% introductory APR offers require good to excellent credit to qualify. If your score isn't there yet, you might want to hold off or look into other ways to consolidate your debt . Read the fine print. Credit cards often charge a fee, usually between 3% to 5%, of the balance you are transferring to the card. Still, if you can pay off your balance during the intro period, the savings typically outweigh this upfront cost. Commit to a payoff plan. Divide your total transferred amount by the number of months in your 0% APR period. That's the monthly payment you need to make to eliminate your balance during the promotional period. Set up autopay and reminders. A late payment may cancel your promotional APR and trigger penalty interest rates. Setting up autopayments and payment alerts can help you stay on track. The jump in credit card debt isn't just a statistic—it's a warning sign for many families. Higher balances, climbing interest rates and economic uncertainty are creating serious financial pressure. You can take charge of your debt with a plan, potentially using a balance transfer card or exploring other ways to manage your debt. It is important to act now, as time is on your side when it comes to interest accumulating.
Forbes
01-08-2025
- Business
- Forbes
Tackling Money Anxiety: Why High-Yield Savings Accounts And Sinking Funds Are Game Changers For Young Adults
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations. A new survey from Empower finds that Americans spend nearly four hours each day thinking about money. Gen-Z leads the pack, averaging 4.82 hours daily. Bills, debt and the fear of not making ends meet are a constant source of anxiety that affects many people's physical and mental health. The same Empower survey found that 36% of Americans lose sleep over their financial worries. As heavy as the mental load may be, a surprisingly simple tool can help you feel more in control: a high-yield savings account with separate sinking funds. Empower's poll shows that younger generations feel pressure from all sides. More than half of respondents—57%—report worrying about paying their bills, with rising costs, debt and housing expenses contributing to the stress. Gen-Z is the most likely to constantly check their bank accounts and feel emotionally drained by their financial situation. Many members of this generation are juggling soaring living costs and paying off student loans on entry-level pay. With student loan debt in the U.S. totaling $1.777 trillion, financial anxiety isn't just a passing thought—it's a daily weight they carry. If you've ever felt like your paycheck is completely gone in the blink of an eye, sinking funds might be a game-changer. A sinking fund refers to setting aside money for specific expenses in advance. Instead of saving one significant lump sum for emergencies, you break your savings into categories, such as a new car, next vacation, medical expenses or holiday gifts for the family. That way, you're not panicking when those costs arise—you've already planned for them. Now imagine those savings buckets actually earning you money while they sit. That's where a high-yield savings account (HYSA) comes in. Unlike a regular savings account, the best HYSAs offer higher interest rates, so your money quietly grows in the background. You can set up multiple sinking funds in one place, because let's be honest—after a full day of work, who has the energy to manage multiple banking apps and platforms? Just set the money aside and let it do the work for you. If you use a high-yield savings account to label or bucket your savings, you can manage all your sinking funds in one place while watching your monthly balances increase. This setup brings structure and peace of mind. Instead of spending hours each day focusing on 'what ifs,' you've created a small system that prepares you for anticipated and unanticipated expenses. To see how quickly your money can grow, let's say you open a HYSA with a 3.50% APY that compounds monthly. If you deposit $300 upfront and each month after, by the end of one year, you'd have $3,968.99, of which $68.99 comes from interest alone. That's almost $70 earned passively, just by letting your money sit and grow. To see how much interest you can earn with your HYSA's terms, use Forbes Advisor's savings calculator . When selecting an HYSA, shop around to find the best rate. You'll want to find an account that offers at least 3.00% APY, does not charge monthly maintenance fees and allows you to organize multiple sinking funds within your account. For example, the Capital One 360 Performance Savings Account™ currently offers a 3.50% APY. It also charges no maintenance fees, there is no minimum balance requirement to maintain your account and you can set up multiple accounts for different sinking funds. Open a high-yield savings account. Start by looking for an account with no monthly fees and a competitive APY. Many banks make it simple to open an account online without needing to visit a branch. List your goals. Consider recurring expenses like vet bills, holiday gifts or travel, and create a separate sinking fund for each. Set a monthly savings goal. Estimate the cost of each goal and divide it by the number of months until you'll need the money. Then, automate monthly transfers to your sinking funds accordingly. Track and adjust. Life changes, and your sinking funds should too. Revisit your setup every few months to tweak your categories or contributions. No savings system will eliminate all financial stress, but tools like sinking funds can lift a massive weight off your shoulders. For Gen-Z and anyone feeling constant financial pressure, having a HYSA broken into manageable pieces and earning interest while you sleep can bring emotional relief. If you spend hours a day thinking about money, you deserve a system that works just as hard as you do. And remember: Taking care of yourself matters more than the number in your bank account.
Forbes
31-07-2025
- Business
- Forbes
Money Market Interest Rates Today: July 31, 2025 - Earn Up To 4.5%
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations. The highest money market account rate available today is 4.50% Changes from the Fed or your bank can quickly change money market rates Online banks typically offer the most competitive yields on the market Right now, the average money market rate sits at 0.52%, but the best rate today is 4.5%, according to Curinos. Here are today's money market account rates: A money market account , or MMA, is an interest-bearing deposit account you can open at a bank or credit union. These are insured up to $250,000 per depositor by the Federal Deposit Insurance Corp. (FDIC) at banks, or the National Credit Union Administration (NCUA) at credit unions. The insurance protects your balance if your bank fails. As with other savings accounts, your money in an MMA will grow as it earns interest, and you can add or withdraw funds at any time. You may also be able to write checks or use a debit card. However, depending on the bank, you could be limited to six transactions per statement period. Money market accounts may offer higher interest rates than typical savings accounts. In exchange, they often require higher minimum deposits and balances . To open a money market account , start by comparing the best yields on the market, but only include those accounts with minimum requirements you can meet. In addition to rates and minimums, consider account fees, withdrawal limits and other features to find the best fit. When you're ready to open an account, submit an application online or at a bank branch. The application will ask for personal information, including your name, address, Social Security number, employment status and income. You'll also need to provide a government-issued ID. Once your application is approved, you can make your first deposit. Be sure to transfer at least the minimum opening deposit required. Money market accounts act like a hybrid between savings accounts and a checking account. Both MMAs and savings accounts: Let you deposit funds as you please Earn interest on your savings Are highly liquid Are safe deposit accounts May have withdrawal restrictions, balance requirements and monthly fees Similar to checking accounts and unlike most savings, money market accounts: Can come with debit cards, checks or both Tend to have higher fees Tend to have deposit and balance requirements Frequently Asked Questions (FAQs) Money market rates are variable and can change when economic conditions change, such as when the Federal Reserve alters interest rates or due to circumstances at a specific bank. There is no set schedule for when or by how much MMA rates change, so be on the lookout for notifications from your financial institution. Banks set money market account rates. The specific rate offered by an institution reflects the general interest rate environment and the bank's economics. For instance, a new online-only financial institution may offer a high rate to gain customers, whereas an established bank could count on generations of depositors. You can use a money market account calculator to see how much interest you'll earn. The amount of interest you earn is determined by the principal amount you deposit, the interest rate offered by your bank and the amount of time you save.
Forbes
30-07-2025
- Business
- Forbes
Money Market Interest Rates Today: July 30, 2025 - Rates At 4.5%
Editorial Note: We earn a commission from partner links on Forbes Advisor. Commissions do not affect our editors' opinions or evaluations. The highest money market account rate available today is 4.50% Changes from the Fed or your bank can quickly change money market rates Online banks typically offer the most competitive yields on the market The current average money market rate is 0.52%, while the highest rate is up to 4.5%, according to Curinos. Here are today's money market account rates: A money market account (MMA) is a type of interest-bearing deposit account offered by banks and credit unions that works like other savings accounts: You deposit money into the account and earn interest on your balance. You can withdraw funds whenever you need to, but you may be restricted to six transactions per statement period. Money market accounts typically pay higher interest rates than other deposit accounts, including traditional savings accounts. And unlike typical savings accounts, they often offer debit cards, check-writing capabilities or both, providing convenient access to cash. Money market accounts often have higher deposit and balance requirements than many bank accounts. MMAs at banks are insured by the Federal Deposit Insurance Corp. (FDIC), while MMAs at credit unions are insured by the National Credit Union Administration (NCUA). In both cases, depositors are covered for up to $250,000 per account type, protecting your money in the event of bank failure. Before opening a money market account , look into at least a few options with different banks or credit unions. Compare minimum balance requirements, monthly fees, withdrawal limits and annual percentage yields (APYs) to choose the best fit. Also, check out the conditions to earn the highest interest rates. You can typically apply for a money market account online or in person. You will need to provide personal information such as your name, employment status and income, address and Social Security number, and show a government-issued ID. Once you're approved, you can make your initial deposit. Money market accounts work like savings accounts in some ways and like checking accounts in others. Both MMAs and savings accounts: Let you deposit funds as you please Earn interest on your savings Are highly liquid Are safe deposit accounts May have withdrawal restrictions, balance requirements and monthly fees Similar to checking accounts and unlike most savings, money market accounts: Can come with debit cards, checks or both Tend to have higher fees Tend to have deposit and balance requirements Frequently Asked Questions (FAQs) Money market rates are variable and can change when economic conditions change, such as when the Federal Reserve alters interest rates or due to circumstances at a specific bank. There is no set schedule for when or by how much MMA rates change, so be on the lookout for notifications from your financial institution. Banks set money market account rates. The specific rate offered by an institution reflects the general interest rate environment and the bank's economics. For instance, a new online-only financial institution may offer a high rate to gain customers, whereas an established bank could count on generations of depositors. You can use a money market account calculator to see how much interest you'll earn. The amount of interest you earn is determined by the principal amount you deposit, the interest rate offered by your bank and the amount of time you save.
